Opposition flays power tariff hike, govt blames deals made during UDF rule

Congress MLA Anvar Sadath, who gave the notice for an adjournment motion to discuss the issue, cited a media report that KSEB had recorded operational profit for the past five years.
Image used for representational purpose only. (File Photo)
Image used for representational purpose only. (File Photo)

THIRUVANANTHAPURAM: Raising the recent power tariff hike in the assembly, the Opposition accused the government of trying to put the burden arising out of the ‘mismanagement’ and ‘corruption’ in KSEB on the common man. The government on its part defended the tariff hike, saying it was to offset the losses that the state utility suffered due to power purchase deals executed during the previous UDF government’s tenure.

Congress MLA Anvar Sadath, who gave the notice for an adjournment motion to discuss the issue, cited a media report that KSEB had recorded operational profit for the past five years. He asked what warranted the power tariff hike of 6.6% if the state power utility achieved an operational profit of `1,466 crore in the previous fiscal. If the benefits of the profit were passed on to the customer, the tariff could have been reduced by 40 paise per unit, he reasoned.

The Congress MLA also pointed out that KSEB had failed to collect over `2,700 crore as dues from defaulters. Even if half of the total dues were recovered, the tariff hike could have been avoided, he said. Sadath also referred to the ouster of B Ashok as the chairman and managing director of KSEB for not acquiescing to the diktats of the officers’ union affiliated to the ruling party.

In his reply, Electricity Minister K Krishankutty said there was no link between the tariff hike and the pending dues of KSEB. He said the power utility was actively engaged in collecting all pending dues. Turning the tables on the Opposition, the minister said the previous UDF government hiked power tariff by a total of 44% during its five-year tenure. On the other hand, the increase in power tariff during the previous six years of LDF rule was a little over 18%. He also listed out numerous concessions given to the consumers during the time of the pandemic. The minister indicated that the losses suffered by KSEB were due to various agreements signed during the UDF government’s tenure.

Leader of the Opposition V D Satheesan said the government had recommended a 18.18% hike to the state electricity regulatory commission but the latter reduced it to 6.6%. “On the one hand, the government takes credit for the profit achieved by KSEB and, on the other, claims the power utility is in a crisis while passing on the burden to the consumer,” he said.

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