Kerala sets record by selling electricity worth Rs 1000 crore outside

Power exchange, also called as spot market, is an electronic platform that enables electricity auction. This system controlled by the central electricity regulatory commission is under the ownership of the private sector.

Thiruvananthapuram: KSEB has set a record by selling electricity outside Kerala as the increase in rainfall turned a boon. In the last financial year ended March 31, the board had sold electricity worth Rs 1000 crore through power exchange.

The electricity board chairman B Ashok said that heavy rains received in the past three years have aided the board to sell such a large amount of electricity outside.

The electricity consumption in the state reduced considerably when the industries and shops were shut down due to the Covid induced lockdown. Apart from this, the board received a better price for the electricity sold as the power production in the country has been under stress due to the coal crisis.

In a normal rainy season, water to produce 700 crore units will be filled in the dams per year. But, in 2021-22, the dams held water enough to produce 900 crore units.

The board sold electricity via power exchange only when the price remained high on the platform. Otherwise, the board sold electricity in the domestic market itself.

However, the central regulatory commission introduced a ceiling price for electricity in the power exchange. The maximum price has been fixed at Rs 12 per unit. Often KSEB had attained Rs 20 per unit through power exchange due to the power crisis in the nation.

Though KSEB could attain a considerable profit through this, it has requested the regulatory commission to increase the electricity price in the state. The profit earned through power exchange has been used to fill the loss while the remaining loss is considered to be incurred with rise in price.