THIRUVANANTHAPURAM: The State Electricity Regulatory Commission has issued a fresh order to immediately restore the long-term power contracts of 465 MW which were cancelled by its own order. It has been clarified in the order that the action is in the interest of the state government and KSEB. It was also directed to submit a report within one month after the implementation of the agreement. This will solve the electricity crisis in the state. However, it remains to be seen whether the concerned companies will provide electricity at the rate at the time of cancellation.

465 MW was being provided by three companies namely Jhabua Power Ltd, Jindal Power Ltd, and Jindal Thermal Power Ltd. 115 MW was paid at 4 rupees 15 paisa and 350 MW at 4 rupees 29 paisa. In the new tenders invited by KSEB to buy power when the contract was cancelled, other companies demanded between Rs 7.80 and Rs 8.88. With this, the government and KSEB decided to go back to the old agreement.

465 MW power contracts were cancelled by the Regulatory Commission last May. The contracts that existed since the time of Aryadan Muhammed were cancelled. They were cancelled due to non-compliance. The demand to restore the long-term contract was raised when the rains decreased and there was a power crisis.