KSEB experiments with power barter system

The Kerala State Electricity Board (KSEB) is embarking on a power barter system to make optimum use of the surplus power it generated from the Southwest monsoon that has filled up the dams during the past two months.

KSEB sources told
The Hindu
that from a windfall of 1,500 MU it gained from the monsoon a decision has been made to supply 900 MU to other States that are battling a deficit through a trader approved by the Central Electricity Regulatory Commission (CERC).

The Board would not levy any price for the power transferred from the State to the beneficiary identified by the trader, but the beneficiary State would have to return it once the domestic demand and deficit peak.

The plan is to harness the varying seasonal power demand in various States to the advantage of Kerala. On receiving copious rain all generating stations in the State are now operating in full swing so that the water that reached the reservoirs is not wasted.

The daily power consumption between midnight to 6 a.m. ranges between 2,500 and 3,000 MW and evening peak load consumption ranges from 3,500 to 3,600 MW.

With the advent of summer, the board is anticipating a demand surge by 500 MW and managing it would be a tough task.

Focus on NI States

Many North Indian States that are engaged in hectic farming activities are now facing a power shortage and hence would only be too willing to tap the offer placed by the board. The Board would engage a trader to identify such States and route the 900 MU it holds to them on condition that it would be returned to meet the power scarcity.

Once winter hits the North Indian States, demand would plummet and returning the power drawn from the State would not be challenge for them too.

Gains for board

Moreover, generators from which the Board draws electricity tend to revise the power tariff during the summer months.

In this context, the proposed power barter system is expected to yield considerable gains to the board.

Earlier too the Board had experimented with such system, but at a very small scale. This is perhaps the first major bid to exchange such a major quantum of power.

The trader for striking the deal would be identified through a competitive bid and the formalities would be completed soon, sources said.

Aim at using surplus power generated from Southwest monsoon

Board anticipating a demand surge by 500 MW during summer

A trader will be engaged to identify States that need additional power

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