Application to revise rate; KSEB to increase electricity charge by 30.19 paisa; summer surcharge also demanded

THIRUVANANTHAPURAM: KSEB has demanded a huge hike in electricity rates for three years with operating losses at Rs 2613 crore. An application was made to the State Regulatory Commission.

The demand is to increase the rate by 30.19 paise per unit this year, 19.50 paise next year and 1.8 paise the following year. KSEB has also demanded a summer surcharge of 10 paise per unit during January-May. This will raise the rate sharply in summer. This is in the name of controlling excessive consumption in summer. The goal is to increase revenue. A higher rate is also demanded for nighttime electricity. With summer and nighttime surcharges and general increases, there will be a huge rate increase in the summer season.

Robbery at Rooftop Solar too

KSEB has also demanded tariff revision for rooftop solar customers. At present, electricity from the grid at night is equivalent to the solar power supplied to the grid during the day. It is suggested that less than 80% of the electricity supplied to the grid during the day should be returned at night. The reason given by KSEB is that the electricity returned at night costs about eight and a half rupees while electricity supplied to the grid during the day costs just three-quarters of a rupee per unit.

Loss

3020.3 crore in 2024-25

2837.26 crore in 2025-26

2882.09 crore in 2026-27

Additional revenue if rates are increased

812.16 crore in 2024-25

549.10 crore in 2025-26

53.82 crore in 2026-27

The operating loss this time includes Rs 400 crore as allocation to the Master Trust for pension distribution. This loss was due to KSEB's failure to manage the Master Trust. This liability is also imposed on consumers through the tariff revision application.

Before raising rates, the Regulatory Commission will conduct a causal analysis and take public evidence. The announcement of tariff revision will be made after that. The tariff was last increased in the state on November 1st last year. The new application was submitted after its term expired on June 30 this year.