Kerala Launches New KSEB One-Time Bill Arrear Settlement

The Government of Kerala has rolled out a One-Time Settlement (OTS) Scheme for consumers with long-pending electricity bill arrears, through the Kerala State Electricity Board (KSEB). The notification was issued on May 19, 2025, aiming to offer relief to consumers and recover long-standing dues.

Key Features of the Scheme:

✅ Full Waiver of 18% Interest on 10+ Year Arrears

  • 100% interest waiver on arrears that are more than 10 years old.

✅ Reduced Interest Rates for Other Arrears

  • 4% interest on arrears between 5–10 years old (down from 18%).

  • 6% interest on arrears between 2–5 years old.

✅ Flexible Payment Options

  • Interest amounts under the scheme can be paid in 6 equal monthly installments.

✅ Extra Discount for Lump-Sum Payments

  • Consumers who pay the entire outstanding bill amount and interest at once will get a 5% discount on the outstanding bill.

  • This means they only need to pay 95% of the principal bill amount.

Applicability:

  • Low tension consumers can avail the service at their respective section offices.

  • High tension consumers need to approach the Special Officer Revenue Office.

  • The scheme also covers:
    • Cases under revenue recovery or court proceedings
    • Electricity post rental arrears of cable TV operators

Objective:

This move is aimed at clearing the backlog of dues while offering significant relief to consumers, particularly those affected by prolonged financial stress or legal complications. It also helps KSEB recover locked revenue in a structured, amicable manner.

Consumers are encouraged to take advantage of the scheme at the earliest and approach their respective KSEB offices for detailed billing and payment options.

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