Kerala Government Weighs Exit From GNA Energy's 500-MW Power Purchase Deal

Kerala's UDF government is exploring a face-saving exit from a 500-MW power purchase deal with GNA Energy Private Limited, as KSEB officials say the purchase lacks a competitive tender and is unlikely to win State Electricity Regulatory Commission approval. The New Indian Express reported the move on November 10, 2026.

Why KSEB Doubts The GNA Deal

KSEB officials said the GNA proposal could face serious regulatory hurdles because the purchase is being pursued without a competitive tender, and that existing rules do not provide for procurement in this manner. They said the commission was unlikely to approve such a deal and was unlikely to overlook procedural concerns in a deal of this scale, citing an earlier power purchase case.

A KSEB top source said the board's official demand forecast continued to project a power deficit of around 865 MW in November and a similar shortfall in December. The source said current availability of electricity in the real-time market, largely due to winter conditions in north India and increased generation from coal-based plants, could not be treated as dependable. The source pointed to October, when demand rose to around 5,500 MW against the projected 4,500-4,600 MW, forcing KSEB to resort to load shedding after it failed to procure sufficient power from the real-time market.

KSEB's top management and Electricity Minister Sunny Joseph were reportedly in favour of a Himachal Pradesh proposal, routed through PTC India, which offered a supply profile better suited to peak-hour demand and extended into the summer months. Chief Minister V D Satheesan defended the GNA deal, arguing that its quoted tariff would save the state around Rs 2,232 crore compared with the Himachal offer. "The alternative proposal from Himachal Pradesh, routed through PTC India, could have also faced questions over the absence of a tender," a source said. "However, its government-to-government nature might offer a possible justification."

GNA Energy's Trading And Analytics Business

GNA Energy Private Limited is a CERC-regulated Indian OTC electricity trading platform serving DISCOMs, renewable developers, C&I consumers and MSMEs, with an AI-powered GNAi analytics platform for forecasting, price projection, battery dispatch optimization and resource adequacy, according to akta.pro company records. The company was founded in 2015 and has an estimated revenue of $1 million-$5 million.

The same records show GNA Energy obtained Central Electricity Regulatory Commission registration to establish and operate an OTC Platform for the Indian Power Market under PMR 2021. The company launched GNAi, an AI-powered power intelligence platform, at the Bharat Electricity Summit 2026 in New Delhi, integrating grid, weather and smart meter data for demand and generation forecasts, price projections, battery dispatch optimization and procurement planning. GNAi integrates data from IEX, HPX and PXIL, and GNA Energy serves the entire Indian power market with its OTC platform and GNAi analytics platform covering those exchanges.

KSEB's Pending Power Approvals

KSEB awaits state government approval to continue buying power from Himachal Pradesh at Rs 14.5/unit, as a peak-hour shortage of about 900MW looms from November 1, The Times of India reported. KSEB may receive up to 540 MW from the Sinnar thermal plant in Maharashtra from January 2027, with a PPA in final vetting at Rs 5.18 per unit, the New Indian Express reported.