The Kerala State Electricity Board (KSEB) has sought legal advice on options before it with a High Court Single Bench rejecting its plea against the new Central regulations on inter-State power transmission charges payable by the State.
The KSEB will decide whether to appeal against the December 2 Single Bench verdict once the advice is received, a KSEB official said.
Under the Central Electricity Regulatory Commission (Sharing of Interstate Transmission System Charges and Losses) Regulations, 2020, the transmission charges payable by the State are likely to shoot up to around ₹1,500 crore per year. Normally, it comes to approximately ₹550 crore.
This additional financial burden could trigger a hike in power tariffs if the burden is passed on to the consumers. Tariffs could rise by as much as 50 paise per unit, KSEB officials said.
The KSEB has written to the CERC and the Union Power Ministry about its reservations with regard to the new regulations.
The new regulations require States such as Kerala to share the charges for underutilised high-capacity transmission lines passing through other States. The KSEB contention is that this requirement contradicts the Tariff Policy which dictate that usage should be the basis of calculating transmission charges.