The Kerala State Electricity Board Limited is the successor entity of Kerala State Electricity Board which was constituted by the Government of Kerala as per order no. EL1-6475/56/PW dated 7-3-1957 of the Kerala State Government under the Electricity (Supply) Act 1948 for carrying out the business of Generation Transmission and Distribution of electricity in the state of Kerala.

As per section 172 (a) of the Electricity Act 2003 and as mutually decided by the Government of India and Government of Kerala KSEB had continued as Transmission utility and Distribution licensee till 24-09-2008.
In exercise of powers conferred under sub-sections (1) (2) (5) (6) and (7) of section 131 of the Electricity Act 2003 State Government vide the notification G.O (Ms).37/2008/PD dated 25 September 2008 vested all functions properties interests rights obligations and liabilities of KSEB with the State Government till it is re-vested the same in a corporate entity.

In exercise of the powers conferred under Section 131 (2) of the Electricity Act 2003 Government of Kerala (GoK) notified Kerala Electricity Second Transfer Scheme (Re-vesting) 2013 vide GO (P) No. 46/2013/PD dated 31st October 2013. Through this notification all the assets liabilities rights and obligations of erstwhile KSEB vested into State Government by first transfer scheme dated 25.09.2008 were re-vested to the successor entity i.e. Kerala State Electricity Board Ltd (KSEBL).