Power struggle over Kudankulam

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Tamil Nadu’s insistence on staking claim for the entire power generated from the soon-to-be-commissioned Kudankulam nuclear power plant, has come as a shock to the energy-starved state which had pinned its hopes on the key project after the centre objected to at least a dozen hydroelectric schemes, citing environmental impact.

Power minister Aryadan Mohammed says the state has always had bitter experiences with Tamil Nadu when it came to power projects, especially the Kayamkulam thermal power project.

“As per the agreement signed during the term of the E.K. Nayanar ministry, both beneficiaries – Kerala and Tamil Nadu, would pay fixed monthly charges. After drawing power from the plant for over five years, Tamil Nadu has now suddenly stopped purchasing saying it cannot dole out Rs 10.45 per unit. The entire burden falls on Kerala which has the daunting task of remitting a fixed monthly cost of Rs 24.40 crore,” he said.

The Kerala State Electricity Board, despite suffering a loss of Rs 2,000 crore, continues to purchase from the thermal plant.

“So it is not due to non-availability of power that Tamil Nadu is putting forth unjust demands,” the minister pointed out, adding that the state is not in a position to draw more power from the National Thermal Power Corporation’s power plant.

Currently, the state’s annual energy consumption adds to around 3400 MW.

While a study by the Central Electricity Authority foresees the demand to rise to 6000 MW by 2020-21, it cites a 10 per cent annual hike when it comes to the state’s energy requirements.

At present, the state can only generate 1600-1700 MW of electricity. For the rest, it depends on central allocation (1367 MW) besides purchasing at a high cost (`16-17) from the power grid and private parties.

“In such a scenario, why should Kerala lose out on Kudankulam when it has a right to draw 266 MW (13 per cent) from the plant, according to the Gadgil formula? Nobody can justify Tamil Nadu’s demand for full quantum of power,” the electricity minister said.

Aryadan Mohammed, while citing that the centre is holding up a bunch of the state’s proposed power projects which have a combined output of 870 MW, over environment issues, demanded at least 250 MW from the unallocated quota of the Kudankulam project.

“The centre has the right to allocate the unallocated quota. As Kerala presents the worst picture when it comes to power, it should get allocation from the unallocated quota. The state is losing out in the production of 870MW in the name of environment protection. The centre has the responsibility of covering this loss,” the minister argued.

The Kudankulam nuclear plant is expected to generate 2,000 MW of power. The first unit is expected to be commissioned next month and the second unit is expected to start generating power a couple of months after the first unit starts functioning.

The Kudankulam nuclear plant is expected to generate 2,000 MW of power. As per the Gadgil formula, Tamil Nadu is expected to get 925 MW of power from the two 1,000 MW units and Kerala, 266 MW power.

What Kudankulam brings to the table
The Kudankulam nuclear plant is expected to generate 2,000 MW of power.

The first unit is expected to be commissioned next month and the second unit is expected to start generating power a couple of months after the first unit starts functioning.

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