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Apr 22nd
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Home Activities Conference Reforms in power sector have failed to yield results: KSEBOA

Reforms in power sector have failed to yield results: KSEBOA

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KSEBOAThe Kerala State Electricity Board Officers Association (KSEBOA) said that two decades of reforms in the power sector have failed to yield results. While the combined loss of all electricity boards stood at Rs.3,000 crore in 1991, now, 20 years later, the loss had mounted to Rs.74,000 crore.

Addressing the media here on Thursday in connection with the 17th Sate conference of the KSEBOA, president K.A. Sivadasan and general secretary B. Pradeep said even the Electricity Act 2003 enacted for the purpose of boosting the reforms could not be of much use for the reform process. In 2003, the subsidy provided by the State governments to the electricity boards was Rs.10,800 crore. In 2010, this touched Rs.34,000 crore. Though the reforms were introduced with a view to bringing down tariff rates through competition, the fact is that the rates had gone up. Transmission loss had come down only by a negligible amount.

During the period, the debt burden of the electricity boards had soared from Rs.96,458 crore to Rs.2,63,127 crore. In fact, power crisis in the country had only escalated. The much publicised target of the reform process was that electricity would reach all houses by 2012. But electricity was a distant dream for 89,000 villages.

The KSEBOA leaders said in sharp contrast to the reforms process implemented elsewhere in the country, Kerala had adopted an alternative policy during 2006-2011, which produced some positive results.

The major achievement was to retain the KSEB in the public sector, that too in a more efficient manner.

The debt burden of the KSEB which stood at Rs.5,356 crore in 2003 could be brought down to Rs.1,066.5 crore in 2011. Transmission loss had been appreciably reduced to 16.09 per cent making Kerala a model State in this sector. As part of the energy conservation measures undertaken by the KSEB, 1.5 crore CFLs were distributed to consumers.

Total electrification was implemented in 86 Assembly constituencies and Kerala was one among the few States in the country where there was no load shedding or power cuts.

But the 17th and 18th power surveys showed that the power requirement of the State would double in the next 10 years. The present requirement was 3100 MW, which would touch 6000 MW during 2021-2022. Therefore, there was a need to considerably augment power production within the State.


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