KSEB chalks out action plan to bring down power consumption

Rs 90-cr campaign aims to minimise costly power purchase.
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The campaign is part of the board’s wider plan to avoid resumption of load-shedding during peak hours.
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R.K. Nair /Bussinessline

Thiruvananthapuram, Nov. 6 Concerned at the steady rise in power consumption, the Kerala State Electricity Board (KSEB) has chalked out a Rs 90-crore action plan on the lines of last year’s successful campaign to bring down consumption and discourage overuse.

A senior KSEB official told Business Line that the State Government has made a budget allocation of Rs 20 crore for this year’s campaign and Rs 70 crore would be borne by the board. The campaign is mainly targeted at domestic consumers numbering 75 lakh households.

KSEB proposes to supply 1.5 crore compact fluorescent lamps (CFLs) at a subsidised rate as part of the campaign. Each household will get 2 CFLs at Rs 15 apiece.

Last year, 10 lakh CFLs were distributed free of cost. Like last year, celebrities may be roped in to spread the message, the official said.

‘Worrying trend’

The campaign is part of the board’s wider plan to avoid resumption of load-shedding during peak hours. The consumption trend, however, has been worrying, the official said. The board has recorded 13.4 per cent growth in consumption this year, even during the monsoon months.

The official said the highest peak-hour consumption recorded in October was 2,911 MW as against 2,750 MW in June last year. Consumption is bound to go up considerably in summer months, which is currently estimated at 3,000 MW.

The projected annual demand for this year is 17,229 million units (mu). The combined capacity of hydel power stations in the State is 6,560 mu. Though the allocation from the Central pool is 1,041 MW, the State gets only 800-850 MW. The rest of the demand is met through costly liquid fuel stations, apart from purchasing from external sources.

Extra capacity

The board hopes to generate 210 MW more power from Moozhiyar and Kuttiadi hydel stations. Five of the six generators at the Moozhiyar station, which was shut down following an accident last year, are operational now, adding 110 MW to the grid. Kuttiadi station has 100 MW added capacity now.

Cost differences

KSEB’s average earning is Rs 3.27 a unit. Power from the Central pool costs between Rs 1.80 and 3.24 a unit. The State’s share of 180 MW from NTPC’s thermal plant at Kayamkulam comes at Rs 7 a unit. Power from external sources costs up to Rs 8 at present.

The campaign to bring down consumption is aimed at reducing the gap between income and outgo. According to the KSEB official, three factors helped the board tide over the crisis last year. The State Electricity Regulatory Commission (SERC) was sympathetic to the board’s plight and permitted it to impose a 50-paise-per-unit “thermal surcharge,” which was withdrawn in March.

Secondly, low crude oil prices during the global recession helped bring down generation costs at liquid fuel stations. Fuel prices have almost doubled since then. A proposal for fuel price alignment, linking power tariff to oil prices, is pending before SERC.

According to the KSEB official, what helped the board the most last year was cooperation from consumers who kept consumption low, especially during peak hours.

He expressed the hope that this year’s campaign will also receive a similar response and reduce the financial burden on the board, averting the need for reintroduction of load-shedding.