There is a standardized excuse utilized by state power monopolies whenever the balance sheet bleeds: "We are forced to buy expensive electricity from outside grids, and the consumer must bear the burden."

This is the exact defense I've heard presented at grievance forums — framed as an inescapable law of economics. But when an auditor looks at the ledger, the narrative collapses. The crisis is not a lack of energy. The crisis is systemic inefficiency, and the ordinary consumer is being forced to subsidize it.

"The management makes the mistakes. The customer pays the fine."

1️⃣ The "Expensive Power" Smokescreen

When a utility board claims it must purchase power at premium rates from external sources, it is confessing to a failure in strategic forecasting. Why is expensive power being bought at all?

Because internal generation projects are delayed or abandoned. Because the infrastructure to support widespread, decentralized green energy — local solar grids — is bogged down in administrative friction and faulty software. Because instead of incentivizing proactive consumers who generate their own solar power, the system too often penalizes them, wipes energy banks without compensation, and discourages grid independence.

The financial burden of purchasing outside power is the direct cost of institutional inefficiency. Yet the utility does not absorb this cost — it simply adjusts the tariff and passes the penalty onto the common man.

2️⃣ The Double Standard of Enforcement

The most glaring hypocrisy of this system is how it enforces its own rules.

The Citizen

An ordinary consumer with a flawless payment history contests an erroneous bill or a software glitch. The response is immediate: a threat of disconnection.

The Defaulter

Large institutional and industrial arrears accumulate for years. The response tends to be grace periods, restructuring, and negotiation — not the kill switch.

WHAT THE PUBLIC RECORD SHOWS

Total KSEB arrears outstanding≈ ₹3,000 crore
Owed by the state public sector alone≈ ₹1,320 crore
Private-sector arrears not tied up in any court case≈ ₹1,006 crore

KSEB's own figures, as reported in the Kerala press — the standard "court stay" excuse doesn't explain the portion with no legal case attached at all.

The system treats a ₹3,000 billing error for a citizen as a critical emergency requiring a kill switch, while treating hundreds of crores in institutional arrears as a mere administrative footnote.

3️⃣ The Missing Capital

When a utility receives government budget allocations for infrastructure and green energy development, where does the capital actually go? It rarely goes toward upgrading the archaic billing software that double-charges consumers, or toward timely payouts for solar prosumers. Too often, funds are absorbed by the operational overhead of a system that isn't held to the same standard it enforces on its customers.

The Auditor's Conclusion

A public utility monopoly cannot demand corporate-level pricing while operating with government-level inefficiency.

If a utility is forced to buy expensive external power due to its own failure to execute projects, that is an internal management failure. You cannot ethically weaponize threats of disconnection against ordinary citizens to fund the financial gaps left by large defaulters and systemic inefficiency.

Accountability must work both ways.
If the meter is running for the citizen, the audit must run for the system.

AA

Antony Ancil — Kollam, Kerala

30+ years UAE · Founder, Venad Global Consultancy · Administration & Facilities Management · ISO 9001 · IOSH Managing Safely.