THIRUVANANTHAPURAM: The draft directive of the Electricity Regulatory Commission stated that the profit received by KSEB through the sale of electricity should be transparent and it should be included in the operating income to reduce the rates of domestic consumers. The draft directive also proposed to waive the cross-subsidy charge levied on large industrial units.

The cross-subsidy is charged from industries that purchase non-KSEB electricity directly and bring electricity using KSEB lines. This is not a nominal fee for using the power line, as other states charge. It is the amount charged to discourage the purchase of electricity directly from outside. The Electricity Board argues that it can provide electricity to domestic consumers at a lower cost by charging this amount from industries. The new central power policy also proposes to avoid measures like cross-subsidy.

Profit should be shared

• KSEB should advertise the amount of surplus power available for sale on the website or in the media. Production and distribution costs should also be advertised.
• Excess power generated and additional power purchased from other entities under long-term contracts may be sold. Half of the profits should be paid to consumers.