A high-power committee of the ruling United Democratic
Front (UDF) in Kerala has recommended to the government
that electricity-based industries should be allowed to
bring power from outside the state. The committee also
asked to liberalise the norms to produce electricity in
the private sector.
A few corporates
like Indian Aluminium Company (IAC) have given a memorandum
that they are in a crisis due to the hike in the power
tariff. Their demand is that either the rates should be
lowered or they should be allowed to bring electricity
from outside the state.
They have also
warned that unless their demand is met the industries
will be closed down. UDF convener Oommen Chandy said the
committees recommendations will be made after considering
The UDF recommends
reasonable rent for using the lines of the Kerala State
Electricity Board (KSEB) to bring power from outside.
Another recommendation is that those business houses that
start their own power projects should be allowed to use
the entire power generated at their stations. As per the
existing rules, half the power should be bought from the
said the norms have been made liberal because the response
for starting power stations in the private sector is not
very enthusiastic. He also said the industrial units are
given the permission to bring power because it was impossible
to give power at a reduced rate to IAC alone.
The committee has
also asked the government to introduce the joint university
bill in the next assembly section. A nine-member subcommittee
has been empowered to look into the issues in the handloom