Kerala Power Crisis Deepens as Peak Demand Soars and Swap Returns Mount
Kerala faces a power shortfall of around 600 MW as peak demand surges past 5,400 MW and swap return obligations add 3.4 mu of daily pressure.
Kerala's electricity supply position has come under severe strain, with soaring peak demand and a daily return obligation under power-swap agreements compounding the crisis.
According to State Load Despatch Centre data, the State had anticipated a peak demand of 4,850 MW for September. Instead, rising temperatures have pushed demand to 5,450 MW, prompting the Kerala State Electricity Board (KSEB) to impose power cuts.
Under the swap arrangements, the board must return electricity borrowed from other States to manage high consumption between January and April 2026. An official said the KSEB is returning 0.87 mu across three hours, 1.043 mu over 16 hours, 0.237 mu in one hour, 0.624 mu over two hours, and 0.688 mu over another two hours — a total of 3.4 mu returned across staggered slots over a 24-hour period daily. The arrangement remains in effect until September 30, with the power drawn under a bilateral contract required to be returned.
Officials said the KSEB typically relies on run-of-the-river hydel projects — such as the Thottiyar small hydro project, which operates without reservoir storage — to meet swap commitments during September. This year, however, reduced river discharge and high domestic demand have compounded the crisis.
The board also routinely attempts to purchase electricity from the real-time energy market to handle peak deficits. An officer said bids were placed to procure 3,000 to 4,000 MW from the real-time market, but actual supply cleared was under 100 MW.
With peak demand exceeding 5,400 MW, the KSEB managed to arrange 4,850 MW from internal and external sources, leaving a shortfall of around 600 MW that had to be managed through peak-hour load shedding.
On Thursday, power consumption in the State stood at 96.02 mu, compared with 87.57 mu on the same day last year. Hydel stations generated 24.83 mu on Thursday, with officials attributing the spike in demand to hot weather conditions linked to El Niño.
The water level in the Idukki reservoir was 2,368.46 ft (63% capacity) on Friday, against 2,382.04 ft (76%) on the same day last year.