Kerala State Electricity Board spends ₹1,190 crore on power purchases during April-August 2026
The Kerala State Electricity Board reported spending ₹1,190 crore on power purchases between April and August 2026. The regulatory commission is reviewing future procurement requests while criticizing the board for delays in renewable energy projects.
Why it matters
High procurement costs and delays in green energy infrastructure impact state fiscal health and electricity tariff stability for consumers.
The Kerala State Electricity Board (KSEB) informed the Kerala State Electricity Regulatory Commission on Thursday that it spent ₹1,190 crore on power purchases during the five-month period from April to August, 2026.
The power procurement was made under short-term contracts and via power exchange. The commission conducted a hearing on Thursday (September 3, 2026) on the KSEB’s petition seeking permission to procure electricity to meet the projected additional demand for the period from September 1, 2026 to May 15, 2027.
The commission noted that the power purchase cost, ranging between ₹9.50 and ₹12.50 a unit, was on the higher side and urged the utility to try and get it reduced.
The commission is expected to clear the proposal only after a detailed examination.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in