The Kerala Government is planning to implement a novel project that aims to recycle water that is discharged from 13 dams of the Kerala State Electricity Board (KSEB) in order to generate 6155 MW of electricity in response to rising power demand. The Public Sector Enterprise THDC India Ltd and the Agency for New and Renewable Energy Research and Technology (ANERT) are expected to enter into a contract for the project's implementation. However, experts have questioned its legitimacy, claiming that the agreement would be in violation of the Electricity Act. The transfer of the KSEB's authority to pump water into its dams is subject to legal obstacles. In its capacity as a Company, the KSEB does not have the authority to transfer its assets to another party. The ambitious project can now only be implemented with prior approval from the Electricity Regulatory Commission. The draft agreement stipulates that the water being discharged from the hydroelectric power stations at Kakki-Moozhiyar, Chenkulam-Kallarkutty, Ponmudi-Kallarkutty, Kallarkutty-Lower Periyar, Sholayar-Edamalayar, Peringalkuthu-Edamalayar, Sholayar-Parambikulam, Kakkayam-Peruvannamoozhi, Siruvani-Kanjirappu will be used to produce 6155 MW electricity. The Governments of India and Uttar Pradesh jointly own THDCIL, formerly known as Tehri Hydro Development Corporation Limited. Due to changes in the power generation output from these stations, the Central Government's policy to increase solar and wind power generation may cause significant fluctuations in the country's power distribution network over the next two years. In this scenario, the Center is willing to provide funding for the construction of maximum hydroelectric stations in order to strengthen the country's power distribution network. The THDCIL was established to make use of the industry's enormous potential. High-level committee to monitor the project According to the draft agreement, THDCIL will own 74% of the company formed by pumping stations. Rest will be held by ANERT. The THDCIL Chairman will serve as the new company's chairman. Due to the need for electricity to pump back the water that is discharged from the hydroelectric power stations to the upper reservoirs, the project will result in an increase in the price of the power that is generated. In order to keep an eye on how the project is carried out, a high-level committee will be established with the Chief Secretary as its head and members including the Principal Secretary (Power).