The State Electricity Regulatory Commission has told the Kerala State Electricity Board (KSEB) not to pass up opportunities for sourcing much-needed electricity for the State via bids invited by Renewable Energy Implementing Agencies (REIA) from time to time.
The Commission found that the KSEB had missed a chance to secure 166.66 MW of power from Satluj Jal Vidyut Nigam Ltd (SJVN) at ₹4.46 per unit for a period of 25 years due to a delay on its part. “Whatever be the reason, this type of laxity would not be tolerated in future and the cost of such failure shall not be allowed to pass on to the consumers of the State,” the commission observed, while passing orders on a KSEB petition on the proposed procurement.
A joint venture of the Centre and the Himachal Pradesh government, SJVN is a designated REIA along with NTPC, NHPC and Solar Energy Corporation of India (SECI).
“Kerala also has the right to get adequate share of renewable energy power from the bids invited by these REIAs. KSEB is generating and procuring power from sources inside and outside the State to meet the electricity demand of the State. Hence, KSEB should be vigilant and take due care and attention for tying up sufficient quantum from the bids invited by REIAs,” the commission said.
It noted a “clear evidence of negligence and failure” on the KSEB’s part in failing to strike the deal. In November 2023, SJVN informed the KSEB of the availability of 1,500 MW power from interstate transmission system-connected renewable energy (RE) power projects under tariff-based competitive bidding. However, the KSEB communicated its readiness to purchase 166.66 MW four months later, in March 2024, the commission found. SJVN responded that the entire quantum of 1,500 MW had been booked by other utilities.
KSEB needs to closely monitor bids floated by REIAs such as SECI, NTPC, NHPC, and SJVN, the commission said. The latter also did not accept the reasons cited by KSEB to limit the proposed procurement to 166 MW.
While the commission rejected the KSEB petition calling it “infructuous,” it wanted the power utility to apprise it of the measures adopted to tie up power under recent bids invited by REIAs.
