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Electricity Minister A.K. Balan dedicated the Kuttiyadi Tailrace Hydro electric Project to the nation at a function at Kakkayam in Kozhikode district on 09-11-2008. The Minister said the Centre had asked Kerala to explore the possibilities of setting up a thermal power plant. The Industries Department had been made the nodal agency to carry out the study.

Mr. Balan said the 100-MW Kuttiyadi Additional Extension Project would be dedicated to the nation by March. The State would select only eco-friendly projects. However, the eco-friendliness of a project should not be judged by politicians and economists. Only the Environment and the Forest departments should do so. He said some people harboured doubts even after these departments cleared projects. They should change their attitude, the Minister said.

He said that without electricity there would not be any development in the State. The Minister said load-shedding imposed in the State was partly due to poor rainfall and low supply from the Central grid. Mr. Balan said that once the Kuttiyadi Additional Extension Project was commissioned, the total capacity at Kuttiyadi would go up to 228.75 MW. The project dedicated on Sunday made use of the water released after generating power by the Kuttiyadi and Kuttiyadi extension projects. The new project had an installed capacity of 3.75 MW with three generators of 1.25-MW capacity each. It was expected to generate 17.1 million units of power a year. The project locked the tailrace waters of these two projects with the help of a check dam and then diverted it to the . The project cost was Rs.14.91 crore.