KSEB
The State government's decision to exempt domestic consumers who use up to 120 units a month from the latest power tariff hike by providing a monthly subsidy of Rs.10 crore is likely to further worsen the financial crisis grappling the Kerala State Electricity Board (KSEB).
Board sources said that the government already owes Rs.250 crore as subsidy arrears to the KSEB and the latest decision to grant relief to a large section of domestic consumers without providing adequate financial support will again push it to the brink of a deeper financial crisis. Following an earlier tariff revision in September last year, the government had announced to compensate the financial loss incurred by the KSEB by paying a monthly subsidy of Rs.25 crore. The Cabinet decision to grant subsidy is bound to be reviewed in three months.
