The controversy over Kerala’s short-term electricity procurement through the GNA Energy platform has intensified, with Leader of Opposition Pinarayi Vijayan and Chief Minister V.D. Satheesan exchanging allegations over the government’s decision. While Pinarayi accused the government of manufacturing a power crisis to justify the deal, Satheesan maintained that the procurement was necessary to prevent potential power cuts, based on warnings from the Kerala State Electricity Board (KSEB).
Pinarayi questioned the transparency of the agreement and demanded the disclosure of all documents related to the GNA transaction. He argued that electricity procurement decisions should primarily be taken by KSEB and expressed concern over the Chief Minister's intervention despite differing positions reportedly taken by the Power Minister and the board.
He also rejected Satheesan's claim that the previous LDF government had procured electricity through GNA, asserting that no such purchase had taken place during its tenure. Further, Pinarayi raised concerns over an alleged SEBI investigation into GNA over suspected insider trading involving confidential information from the Central Electricity Regulatory Commission and alleged manipulation of Indian Energy Exchange shares. He questioned the government's decision to engage a company facing such allegations.
Responding to the charges, Satheesan defended the procurement decision and challenged Pinarayi's claim that Himachal Pradesh had agreed to reduce its electricity supply rate from ₹14.50 to ₹12.50 per unit. Citing the KSEB chairman's position, he said the board had received no such assurance from the Himachal Pradesh government and questioned the source of the opposition's information. He also offered to make the GNA power purchase documents public.
Satheesan argued that electricity procured through GNA at ₹3.50 per unit was considerably cheaper than the proposed Himachal Pradesh supply, which would cost around ₹9.50 per unit even after the claimed rate reduction. He added that the Himachal Pradesh agreement exceeded the ₹10-per-unit tariff ceiling set by the Electricity Regulatory Commission.
The Chief Minister further explained that additional daytime power available through GNA would help the state regulate hydropower generation and conserve reservoir water for the summer months. Rejecting allegations that the government had deliberately created a power shortage, he maintained that the decision was taken in the state's financial and energy interests.
Satheesan also denied bypassing the Power Minister in the procurement process, clarifying that the relevant file had been forwarded to him by the minister for a final decision. He questioned how Pinarayi could allege interference by the Chief Minister's Office without access to the file's movement details.