Kerala’s reported new power tariff policy has drawn criticism from former Electricity Minister K Krishnankutty, who warned that higher rates and surcharges could increase the financial burden on households. The five-year policy, announced by the Kerala State Electricity Regulatory Commission, is scheduled to come into effect on April 1, 2027.
Speaking to reporters in Palakkad on Monday, Krishnankutty attributed the proposed increase to what he described as mismanagement and poor planning under the United Democratic Front government. He questioned how the losses cited in connection with the policy had been calculated and said the consequences would be felt by ordinary electricity consumers.
According to the report, the tariff policy is aimed at recovering around Rs 5,000 crore in losses incurred by the Kerala State Electricity Board. The source did not provide the detailed tariff slabs, proposed surcharge rates or the categories of consumers that would be affected by the increase.
Krishnankutty said the Left Democratic Front government had transformed the KSEB into a profitable enterprise during its 10-year tenure through what he described as proper planning. He also questioned the reported loss position in the context of frequent power cuts and load shedding, arguing that reduced electricity consumption should be considered when assessing the board’s financial performance.
The former minister said the policy could adversely affect the common people. He suggested that the impact could be eased if the state government waived the taxes it collected from the KSEB, although the report did not specify the value of those taxes or indicate whether such a proposal had been formally taken up by the government.
Krishnankutty also pointed to the completion of battery storage facilities as a possible source of relief. The report did not provide details on the capacity, location or completion schedule of those facilities, nor did it state how they would affect tariffs or the board’s losses.
The reported policy places the financial position of the KSEB and the cost of electricity supply at the centre of Kerala’s utility debate. The commission’s decision is expected to determine how the reported losses are recovered from April 1, 2027, while the detailed structure of the new tariff policy remains necessary to assess its impact on different consumer groups.
