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Kerala to purchase wind power from Adani Group

Kerala to purchase wind power from Adani Group

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Kochi : Though the state government opposed Adani Group in taking over the Thiruvananthapuram airport, it has welcomed the company when it comes to power supply.

The Kerala State Electricity Board (KSEB) has decided to purchase 75 megawatt wind power from Adani Group. This 75 megawatt is out of the 300 megawatt wind power purchased from external sources. With this, the government will have to pay Rs 2025 crore in 25 years.

As per the contract with SECI, 81 crore units of power at a rate of Rs 2.9 per unit and 41.3 crore units at a rate of Rs 2.82 per unit will be purchased. This costs Rs 8785 crore for 25 years.

Only 78.7 crore units of non-conventional energy need to be bought as per the direction of Regulatory Commission. But 123 crore units of power will be purchased as per the contract. According to statistics, crores of units of power is saved by KSEB every year.

The experts in the board opined that they need to get a Renewable Energy Certificate (REC) instead of buying wind power. This costs only Re 1 per unit. This allows trading of the saved energy.

Meanwhile, KSEB chairman NS Pillai said that Kerala requires more electricity in the current situation which is why wind power is bought. The tender procedures are transparent and power will be purchased from those who quote the lowest price.

Permission of the State Electricity Regulatory Commission is required for purchasing power. REC certificate cannot be obtained as Kerala faces a shortage of 200-300 megawatt power. This is purchased from power exchange paying Rs 6-7 per unit, NS Pillai said.

Source : mathrubhumi
Anand Gupta Editor - EQ Int'l Media Network