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Home KSEB After decades, higher usage has KSEB smiling

After decades, higher usage has KSEB smiling

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ConsumptionFor the first time since 1990s, the state electricity board (KSEB) is cashing in on the sharp increase in power consumption. The consumption level that dropped to below 50mu/day after the onset of monsoon is now inching towards the 60mu mark.

The reason for the cheer is that the consumption shoots up at a time when the board is able to generate more hydel power and is struggling to sell the excess power during off-peak hours to traders outside the state at reasonable price.

Since the average realisation of price per unit of power is Rs 4. 20 in the state, the price for the same in the market is much lower after the good monsoon in the whole of south India. Hence, for the board, more demand for power this time around means more profit than selling it outside.

"It's true that more demand for power means more money to the board at this particular point of time. But the fact that the consumption level is peaking to 58mu or 59mu per day is also a cause of worry for the board. If the trend continues, it would lead to a very difficult situation once the boons of monsoon elapse in another few months,'' said KSEB chairman M Sivasankar. As most of the hydel projects under the board are run off the river types that don't permit storage of water beyond a marginal level, the increased water flow due to the heavy monsoon would go unutilised if not tapped on a real-time basis.

It was in this background the board recently floated an open tender for the sale of 200mw power for a month from August-end. However, the tender received a lukewarm response as only two firms participated even after the last date for submitting bids was extended for another six days from August 24.

For the first time since 1990s Kerala State Electricity Board (KSEB) is cashing in on the sharp increase in power consumption.

The consumption level that dropped to below 50mu per day after the onset of monsoon is now inching towards 60mu mark.

The reason for the cheer is that the consumption shoots up at a time when the board is able to generate more hydel power and is struggling to sell the excess power during off peak hours to traders outside the state at reasonable price.

Since the average realisation of price per unit of power is Rs 4. 20 in the state, the price for the same in the market is much lower after the good monsoon in the whole of south India. Hence, for the board, more demand for power this time around means more profit than selling it outside.

"It's true that more demand for power means more money to the board at this particular point of time. But the fact that the consumption level is peaking to 58mu or 59mu per day is also a cause of worry for the board. If the trend continues, it would lead to a very difficult situation once the boons of monsoon elapse in another few months,'' said KSEB chairman M Sivasankar.

As most of the hydel projects under the board are run off the river types that don't permit storage of water beyond a marginal level, the increased water flow due to the heavy monsoon would go unutilised if not tapped on a real-time basis. It was in this background that the board recently floated an open tender for the sale of 200mw power for a month from August-end. However, the tender received a lukewarm response as only two firms participated in the same even after the last date for submitting bids was extended for another six days from August 24.

 

Source- TOI

 

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