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Thiruvananthapuram: The Kerala government on Monday said that electricity charges were revised six times during the first and second terms of the Pinarayi Vijayan government, resulting in a cumulative hike of 26.02 per cent since 2016.

The latest revision came in 2025, when the rates were increased by 1.75 per cent, Minister for Electricity K Krishnankutty said while responding to questions raised by legislators.

The minister pointed out that the increase during the Pinarayi government's tenure was significantly lower than the cumulative hike during the previous UDF government. Between 2011 and 2016, when the Oommen Chandy-led UDF was in power, electricity charges were only revised three times, but the total increase stood at 47.93 per cent. The steepest hike during that period was in 2012, when the rates were raised by 24 per cent.

Overall, the state has witnessed a cumulative increase in electricity charges of 73.95 per cent since 2011, the minister said. He added that the rise in production costs, power purchase expenses, and changes in central laws had made periodic tariff revisions unavoidable. 

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However, he noted that while electricity purchase costs increased in proportion to consumption, the average per-unit power purchase price has shown a declining trend. He added that operation and maintenance (O&M) expenses have also been kept under control, helping to prevent steeper tariff hikes.

The minister said that central policy reforms, along with the commissioning of new interstate transmission lines, led to changes in electricity procurement costs, including transmission charges. However, by exercising financial restraint across expenditure heads, the government was able to prevent tariff hikes from crossing a certain limit.

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He further noted that the Kerala State Electricity Regulatory Commission does not allow the entire approved revenue gap to be recovered through tariffs, which has also helped contain price increases.

To manage costs, the government has entered into power swap arrangements with northern states during the monsoon months, when hydropower availability in Kerala is high. Under this system, surplus power is supplied to other states and returned during the summer months, reducing the need to purchase electricity at higher market rates.

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The minister also highlighted steps taken to expand renewable energy sources, commission and expand hydropower projects, reduce transmission and distribution losses, and optimise manpower and IT-based services. These measures, along with interest cost restructuring and partial government support to absorb losses in certain years, have helped contain electricity tariff increases, he said.

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