By IANS
New Delhi : Foreseeing an acute power crisis in Kerala, the state government has sought more powers to frame its electricity policy even as it plans a drastic change in its power tariff for industry.
Kerala's electricity board has recommended radical changes in electricity charges for the railway transaction, industrial units, techno parks and high-tension commercial consumers, said state officials visiting the national capital to hold consultations with the central government.
Pointing out that the cross-subsidy surcharge was a measure to sustain the capability of distribution companies and the state electricity boards to provide power at an affordable charge to the rural sector, Electricity Minister A.K. Balan said: "The suggestion to rationalise tariff by reducing cross-subsidy will seriously affect agriculture and small scale industrial production sectors.
"The state governments should be given freedom for fixing surcharge in order to sustain the current level of cross-subsidy in line with the provisions of the Electricity Act 2003," he said.
Balan, who was here to attend the state power ministers' meet, said that there would not be any changes in the rates for households and small-scale industries.
The state electricity board favours raising the railway transaction rate, which it says is at the lowest in the country, from Rs.2.25 to Rs.3.20, the rate for high-tension consumers in the commercial sector from Rs.3.20 to Rs.4.20 and for the techno parks from Rs.2.05 to Rs.7.
"The techno parks across the state had been given a licensee status – to distribute the given power to the small consumers in the given area – at power grid rate of Rs.2.05. Actually, they are not eligible for it as many small units in the techno parks are not eligible for lesser rate," said a senior official requesting not to be named.
While the state's production cost for each unit is Rs.3.15, the farmers are given power at 65 paise and the households rate starts at 95 paise.
According to Balan, Kerala was planning a capacity addition of 610 MW through hydel and non-conventional sources during the 11th Five-Year Plan. "The state needs more power as there are ambitious projects like Smart City and Metro Rail in Kochi coming up."
Balan said the state would soon initiate an ambitious coal-based power project in Orissa from where it was planning to draw 1,000 MW.
"We are planning to install this project at Orissa's Baitharani region where the central coal department would identify the area for mining coal according to its availability. The power project can be installed there itself from where the state can draw electricity for 25 years," the official explained.