Overview
- State officials said on Friday that daily demand has risen to about 5,200 MW, roughly 1,000 MW higher than last year, while generation has fallen and that gap amounts to an estimated 700–900 MW deficit.
- Low monsoon inflows have cut hydropower output and a nationwide coal shortage has reduced thermal generation and the availability of short-term market imports.
- Kerala State Electricity Board cannot quickly replace lost supply because long-term power purchase agreements require competitive tenders, eligible suppliers and regulatory approval that take several months to complete.
- The government is enforcing rolling power restrictions, repaying 530 MW of power borrowed in March–April with full repayment due by September 30, and fast-tracking battery energy storage projects including a proposed 500 MW BESS at Brahmapuram once land is cleared.
- A cancelled 25-year PPA for 465 MW is before the Supreme Court and Kerala’s long-standing reliance on central allocations and short-term purchases — it generates about 25% of its own power and has not built a major plant since Idukki — means consumers should expect ongoing curtailments and higher prices until new supply or storage comes online.