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Amid power crisis, Kerala govt directs KSEB to take control of Maniyar hydro project
The Kerala government has directed the Kerala State Electricity Board (KSEB) to take control of the Maniyar small hydroelectric project from Carborundum Universal Ltd, as the state faces a power crisis. The move follows a years-long controversy over the project’s concession as the original 30-year agreement ended in December 2024 and debate over extending it persisted into 2025.
Why It Matters
The decision affects electricity supply in Kerala and tests the state’s approach to concession agreements and investment climate during a power crisis.
Timeline
4 Events
April 29, 2026: Kerala directs KSEB to take control of Maniyar hydro project
April 29, 2026
The Kerala government directed KSEB to take control of the Maniyar small hydroelectric project from Carborundum Universal Ltd, amid a statewide power crisis.
2025: LDF government reportedly in favour of extension
2025
During 2025, the LDF government was reported to be in favour of extending the contract, with the Industries department stressing ease of doing business and attracting investments.
Early 2025: Hesitation over takeover; Carborundum seeks extension; UDF opposes
2025
In early 2025, the state government hesitated to allow KSEB to take over the Maniyar project after the agreement ended; Carborundum Universal Ltd sought a 25-year extension, while the Congress-led UDF Opposition opposed it.
End of Maniyar SHEP's 30-year agreement
December 2024
The Maniyar small hydroelectric project's 30-year agreement ended in December 2024, paving the way for potential KSEB involvement and triggering subsequent policy debates.