Keralam faces narrow window to tie up additional power

A senior KSEB official said power procurement could not be initiated at short notice when demand outstrips availability.
Among the options being pursued is a proposed long-term agreement to procure 540 MW from the Sinnar Thermal Power Plant in Maharashtra.
Among the options being pursued is a proposed long-term agreement to procure 540 MW from the Sinnar Thermal Power Plant in Maharashtra.(Representative image)
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THIRUVANANTHAPURAM: The uncertainty surrounding the GNA and Himachal Pradesh power purchase proposals has underscored the challenge before Keralam of securing adequate power well ahead of the summer demand peak. Experts and former senior KSEB officials say the state must negotiate and tie up supply in advance rather than depend on last-minute tenders or the unpredictable spot market.

Variable rainfall patterns in the state, increased power generation at thermal plants in north India and lower winter-time consumption there could temporarily ease Keralam’s power deficit in the coming days, experts said. However, the relief may be short-lived, making it essential to secure additional supply well ahead of the summer demand peak.

Former KSEB chairman and managing director N S Pillai told TNIE that the utility periodically reviews the power situation, assesses the likely deficit and identifies ways to bridge the gap. However, the exercise needs to be carried out more efficiently and meticulously to ensure adequate supply.

He attributed the present power shortage as a ripple effect of the Kerala State Electricity Regulatory Commission (KSERC) striking down long-term power purchase agreements, totalling 465 MW, entered into by the KSEB. “For ideal power management, KSEB should have a judicious mix of long-term, short-term, real-time, day-ahead and power-swap arrangements. These should be entered into with proper foresight,” Pillai said.

A senior KSEB official said power procurement could not be initiated at short notice when demand outstrips availability. Supply agreements have to be negotiated and finalised in advance, while identifying suppliers and securing regulatory clearances also take time.

The official warned that waiting until February to float tenders for the subsequent period could prove risky, as there was no assurance that generators would offer power by then. The risk of a deficit is expected to increase during February and March, when demand could rise substantially.

“The real-time market, meanwhile, offers no assured supply. Its availability depends on the power position across the country and can fluctuate, making it an unreliable option for meeting a substantial and sustained deficit,” the official said.

Among the options being pursued is a proposed long-term agreement to procure 540 MW from the Sinnar Thermal Power Plant in Maharashtra.

Keralam’s Power Dependence

Power purchased in 2024-25 | 26,286 MU

KSEB’s internal generation in 2024-25 | 7,394 MU

November 9 consumption met through net imports | 90.5%

Reservoir storage as on November 9, 2026 | 66%

Lower reservoir storage than a year ago | 631 MU

Sources:KSEB, Kerala State Load Despatch Centre

* MU = million units