Fri Dec 27 10:01:08 UTC 2024: ## Kerala Government Bails Out State Electricity Board with ₹494 Crore
**Thiruvananthapuram, December 27, 2024** – The Kerala government has approved a ₹494.29 crore bailout for the Kerala State Electricity Board (KSEB) to cover 90% of its losses incurred during the 2023-24 fiscal year. This move fulfills an undertaking made to the Union government to secure additional borrowing capacity linked to power sector reforms.
The KSEB reported a total loss of ₹549.21 crore for 2023-24. To access the additional borrowing, the state government was obligated to absorb 90% of the losses incurred by its public sector distribution companies. The state’s commitment included covering future KSEB losses “in a graded manner.”
Kerala Finance Minister K.N. Balagopal recently requested the central government to extend the 0.5% of gross state domestic product (GSDP) additional borrowing allowance tied to power sector reforms to the 2025-26 fiscal year during a pre-Union Budget meeting.
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