Kerala's Power Struggle: Controversial Tariff Hike Sparks Political Tension

The Congress-led UDF opposition accuses the Kerala government of hiking electricity tariffs to favor Adani by altering power purchase agreements, raising KSEB's debts significantly. The government's tariff increase has led to high electricity costs for consumers, prompting widespread protests and allegations of corruption and privatization efforts.


Devdiscourse News Desk | Thiruvananthapuram | Updated: 07-12-2024 13:46 IST | Created: 07-12-2024 13:46 IST
Kerala's Power Struggle: Controversial Tariff Hike Sparks Political Tension
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The Congress-led UDF opposition has accused Kerala's government of raising electricity tariffs to benefit the Adani conglomerate by modifying power purchase agreements. According to them, these changes have heavily indebted the Kerala State Electricity Board (KSEB) and passed financial burdens onto ordinary citizens.

Opposition leaders claim the state terminated a favorable long-term power deal signed in 2016, opening the door for Adani's entry. This has allegedly forced KSEB to buy electricity at significantly higher rates, incurring a daily loss of over Rs 12 crore and increasing its debt to Rs 40,000 crore.

The recent 16 paise per unit hike adds to the mounting public frustration and has led to protests organized by Congress. Critics argue that these moves hint at potential KSEB privatization and corruption within the state's leadership, demanding the tariff hikes be rescinded.

(With inputs from agencies.)

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