KSEB is heading towards becoming another KSRTC, and there is no doubt that Kerala will face power outages in the coming years. Without change, it will not be possible to save KSEB. The Chairman’s statement emphasizes the need for public investment to bring money into KSEB. It also calls for the privatization of KSEB.
The Chairman explained that KSEB has to take overdrafts at high interest rates, amounting to around ₹400 crore per month, to cover daily expenses. The average monthly income is ₹150 crore, while expenses are ₹1950 crore. ₹900 crore is needed to purchase electricity every month, and ₹300 crore is required to repay loans. No other government department collects this much money in a month. If we calculate the total money collected annually, it would resemble a parallel government, similar to the central railways.
KSEB charges electricity rates from Malayalis that are equivalent to the basic rates of electricity in developed countries. The Malayali, whether in Europe, Canada, the US, or the Gulf, is not any different. However, the amount they pay for electricity in Kerala is on par with what wealthy people pay in their respective countries. Yet, despite paying such high rates, we do not even receive reliable electricity. Even with such high electricity tariffs, how did KSEB end up in such a financial crisis?
