Sri Lanka Customs has seized a stock of foreign-manufactured cigarettes worth Rs. 60 million at the Bandaranaike International Airport (BIA). 4 men aged 25 to 30, returning from Dubai, were arrested during the bust—the largest such seizure in recent history. Customs officers uncovered the concealed cigarettes in 20 travel bags as the suspects attempted to exit separately. The individuals are residents of Wellampitiya, Dematagoda, Bambalapitiya, and Koswatta. Investigations are ongoing into the smuggling attempt.

Rs. 60 mn. worth of foreign cigarettes seized at BIA

The Department of Prisons announced open visits for inmates on 12 and 13 May in celebration of Vesak Poya Day. Relatives will be allowed to bring food parcels, sweets, and hygiene kits for inmates during these visits. The initiative will be implemented across all prisons in Sri Lanka while following health guidelines.

Open visits allowed for inmates on Vesak Poya Day

11 people have now been confirmed dead after a Sri Lanka Transport Board (SLTB) bus plunged down a precipice at Gerandi Ella, Ramboda, this morning (11), police said. The fatal crash occurred along the Nuwara Eliya - Gampola main road while the bus was en route from Kataragama to Kurunegala via Nuwara Eliya. Earlier reports indicated that 5 men and 3 women were among the dead, but the final death toll has risen to 11. Around 25 others injured in the accident have been hospitalised at Nuwara Eliya and Kotmale. The identities of the deceased are yet to be confirmed as investigations continue.

Death toll rises to 11 in Ramboda bus tragedy

Police stated that 8 people have died after a Sri Lanka Transport Board (SLTB) bus veered off the road and fell down a precipice in Gerandi Ella, Ramboda, early this morning (11). The deceased included 5 men and 3 women, while at least 37 others were injured and admitted to the Nuwara Eliya and Kotmale hospitals. The accident occurred along the Nuwara Eliya - Gampola main road; the bus was operating from Kataragama to Kurunegala via Nuwara Eliya. Police are yet to identify the victims. Investigations into the cause of the accident are ongoing.

8 dead, 37 injured in Ramboda bus tragedy

The Department of Meteorology has forecast showers or thundershowers in several areas, including the Western, Sabaragamuwa, Central, Uva, Southern, and Northern provinces, as well as the Ampara and Batticaloa districts after 1.00 p.m. Fairly heavy rainfall above 50mm is likely in parts of Uva province and in the Ampara and Batticaloa districts. A few morning showers are also expected in the Western province and in Puttalam, Galle, Matara, and Ratnapura. The public is urged to take precautions against temporary strong winds and lightning during thundershowers. Misty conditions are expected in parts of the Central and Uva provinces during the morning hours.

Thundershowers expected in multiple provinces this afternoon

<ul><li>PUCSL reveals Rs. 52/unit cost gap</li><li>Ministry urged to correct Cabinet brief</li><li>Old estimate: Rs. 20.15/unit; projected cost: Rs. 35.81-72.11/unit</li><li>Costs may rise if plant underperforms</li></ul> The Public Utilities Commission of Sri Lanka (PUCSL) has raised the alarm over a staggering Rs. 52 per unit discrepancy in the projected cost of electricity generation from the second 300 MW Liquefied Natural Gas (LNG) Combined Cycle Power Plant in Kerawalapitiya.In a letter addressed to the Secretary of the Ministry of Energy on 3 April, the commission has accused the ministry of presenting misleading figures to the Cabinet, calling for immediate clarification and transparency in the interest of public accountability.According to the PUCSL, the Ministry of Energy, in Cabinet Memorandum No.11/2025/P dated 31 January, has stated that the levelised cost of electricity from the Sahasdhanavi Ltd. project will be Rs. 20.15 per kilowatt-hour (kWh).However, the commission has pointed out that this figure is based on outdated assumptions from the 2021 bid submission, including a Natural Gas (NG) price of $ 10 per Metric Million British Thermal Unit (MMBtu), diesel at Rs. 110 per litre, and an exchange rate of Rs. 195 per US Dollar.&nbsp;The PUCSL has stressed that these inputs no longer reflect current economic conditions and energy market realities.Using the financial model submitted by the Ceylon Electricity Board (CEB), the commission has recalculated the levelised cost of electricity, updating it with current market prices and an exchange rate of Rs. 300.75 per US Dollar. Assuming a plant factor of 46%, the PUCSL has evaluated three scenarios.In Scenario 1, with NG priced at $ 11.2 per MMBtu and diesel at Rs. 286 per litre, the levelised cost is Rs. 35.81/kWh.&nbsp;Scenario 2, which includes the terminal costs for LNG at $ 15.5 per MMBtu, brings the cost to Rs. 43.25/kWh.&nbsp;Scenario 3, where diesel is used exclusively throughout the project’s operational life, shows the cost surging to Rs. 72.11/kWh, as stated in the letter.The PUCSL has warned that these figures may rise further if the plant operates below the assumed 46% plant factor, stressing that the Cabinet must be made aware of the true financial burden of the project.&nbsp;Although the PUCSL has approved the draft Power Purchase Agreement (PPA) between the CEB and Sahasdhanavi on 15 April, it has now called upon the ministry to rectify the record and prevent what it describes as a serious misrepresentation of national energy costs.The Cabinet of Ministers has granted approval for the establishment of a second 300 MW LNG-based power plant in Kerawalapitiya, as part of Sri Lanka’s Least Cost Long-Term Generation Expansion Plan for the 2018-’37 period.The approval process began in September 2020, when the then Cabinet had authorised the CEB to develop the proposed power plant, as per the Cabinet memorandum dated 25 August 2020. Following this, an international competitive bidding process was initiated on 21 June 2021, with proposals being submitted by 15 December 2021.&nbsp;After evaluating the bids, the Cabinet-Appointed Negotiating Committee (CANC) had recommended the award of the contract to Lakdhanavi Ltd., the lowest evaluated bidder, in April 2022. In the same month, the PUCSL had approved the draft project agreements, as required under Clause 43 of the Sri Lanka Electricity Act No.20 of 2009.In October 2023, the Cabinet had authorised the CEB to issue a Letter of Intent (LOI) to Lakdhanavi, approving the construction of a 300 MW combined cycle dual-fuel gas power plant in Kerawalapitiya on a Build-Own-Operate-Transfer (BOOT) basis.&nbsp;The Cabinet had further authorised the exploration of cost-saving methods, including sharing infrastructure between the two LNG power plants at the site, to reduce capital costs and lower the levelised tariff. This approval was based on the Cabinet memorandum dated 10 October 2023.However, the project faced several challenges, including changes in tax policies, such as the removal of Value-Added Tax (VAT) exemptions and an increase in VAT rates, which significantly impacted construction costs.&nbsp;Additionally, fluctuations in diesel prices, the devaluation of the Sri Lankan Rupee, and difficulties in securing foreign financing due to the country’s economic conditions led to adjustments in the project agreements.As a result, the levelised tariff was revised from Rs. 19.7302 per kWh to Rs. 20.1545 per kWh.In response to these issues, amendments to the draft PPA have been made, including the introduction of provisions to address diesel price fluctuations and the inclusion of bridging finance as a requirement for achieving financial closure.The current Cabinet has approved the updated PPA in January this year, ensuring the successful implementation of the project.Additionally, the Cabinet has authorised the finalisation of other agreements, including the Liquid Fuel Supply Agreement (LFSA) with the Ceylon Petroleum Corporation (CPC) and the Implementation Agreement (IA) with the Secretary to the Treasury.Furthermore, the Cabinet directed the Controller General of Imports and Exports to grant approval for the necessary advance payments required for importing equipment, machinery, and spare parts for the construction and operation of the power plant.When asked whether the Energy Ministry would submit the PUCSL’s clarified tariff to the Cabinet, Ministry Secretary Prof. Udayanga Hemapala said he did not have that information yet as he was in Bhutan on work.This issue was also raised in Parliament on Thursday (8) by Opposition MP Dr. Harsha de Silva.

300 MW Kerawalapitiya LNG Plant: Cabinet misled on LNG deal?

The State-run Ceylon Electricity Board (CEB) is unlikely to receive an immediate 10% increase in electricity tariffs in June, despite President Anura Kumara Dissanayake’s recent announcement, as the Public Utilities Commission of Sri Lanka (PUCSL) clarified that any revision required a formal tariff submission from the CEB.“We cannot act without a formal submission,” PUCSL Director General Damitha Kumarasinghe told The Sunday Morning, referring to the CEB’s failure to submit a proposal in February – an omission that limits the scope for any interim tariff adjustment.While President Dissanayake stated during a television programme that electricity tariffs would increase in June, he also assured that post-June rates would still be lower than those in December 2023.&nbsp;He added that the CEB would submit its tariff proposal by 15 May and that the PUCSL was expected to make a decision within two weeks of submission.The President further explained that tariffs had been reduced by 20-30% in January and that the same amounts would not be added back in the upcoming revision.However, PUCSL Director General Kumarasinghe elaborated on the workings of the Bulk Supply Transaction Account (BSTA), through which consumer payments were allocated to generation, transmission, and distribution.&nbsp;If the BSTA balance fluctuates beyond ±15%, the PUCSL can authorise a temporary tariff adjustment of up to 10%. However, he stressed that this mechanism could not replace a full tariff review. Since the February submission was missed, this route is no longer available.Commenting on the CEB’s reported losses, Kumarasinghe noted that while the International Monetary Fund (IMF) expected quarterly profitability, such expectations were not always technically feasible. “Tariffs are based on forecasts influenced by external factors like global oil prices and exchange rate volatility,” he said.He further clarified that Sri Lankan law mandated cost-reflective tariffs over a longer horizon, typically up to two years, rather than quarter-by-quarter profitability.“The Electricity Act clearly states that only ‘efficient costs’ can be passed on to consumers,” he said, adding that inefficiencies – such as unnecessary fuel usage or delays in planned projects – would not be considered in tariff decisions.Kumarasinghe also addressed public concerns over the curtailment of rooftop solar power, confirming that the PUCSL had requested a detailed report from the CEB to assess the losses incurred. Due to the initial report being incomplete, additional data has been requested.He also criticised delays in implementing renewable energy and battery storage infrastructure. “If these projects were part of the 2024 and 2025 generation plans but haven’t been executed, we must question whether these delays are prudent or efficient,” he said.Kumarasinghe also reiterated that the PUCSL’s role was not guaranteeing CEB profitability, but involved ensuring fairness and transparency. “We must strike a balance between protecting consumers and maintaining the utility’s sustainability. Inefficiencies will not be passed on through tariffs,” he added.

Electricity tariffs: Hike unlikely as CEB misses Q2 submission

<ul><li>Ruwanweliseya false alarm</li><li>SriLankan flight incident linked to Indian warning</li><li>Russian Embassy incident under investigation</li></ul> A German national was arrested earlier last week in connection with a mysterious incident involving the handing over of a laptop to a security officer attached to the Russian Embassy in Colombo, triggering concerns about potential security threats.The incident occurred on 28 April, when a foreign woman reportedly handed over a laptop to the embassy officer and fled the scene.&nbsp;A complaint had been filed at the Cinnamon Gardens Police Station, prompting a joint investigation by the Cinnamon Gardens Police and the Colombo South Division Criminal Investigation Bureau.Investigators soon identified the suspect as a German woman.On 4 May, the Magistrate’s Court in Hulftsdorp imposed a travel ban on her, pending further inquiries. Despite the ban, the suspect had attempted to leave Sri Lanka via the Bandaranaike International Airport (BIA) on Wednesday (7).She was intercepted by Airport Police and handed over to the Cinnamon Gardens Police. On Thursday (8), the suspect was produced before the Hulftsdorp Magistrate’s Court No. 1 and released on bail.Acting Police Spokesperson ASP Fredrick Wootler, speaking to The Sunday Morning, said that one of the bail conditions required her to unlock the laptop, with which she had complied.&nbsp;The Police now has the device in its custody and is analysing its contents. So far, no security threat has been identified.ASP Wootler confirmed: “So far we have not identified any security threat. The Cinnamon Gardens Police has taken over investigations and the matter is being looked into thoroughly. Despite her initial hesitation to unlock the laptop, she complied with the court’s bail condition. The contents of the laptop are being scrutinised, but no threat has emerged so far.”Recently a call alerting the Police emergency hotline (119) about a bomb at the Ruwanweliseya proved to be a false alarm, while last week a SriLankan Airlines flight was thoroughly inspected upon arrival at the BIA following an alert from Indian authorities that a suspect in an Indian terror plot was aboard the flight.Minister of Public Security Ananda Wijepala urged the public to remain calm.“We have to investigate everything and we are doing what we can to ensure a safe environment,” he said.“We investigated the Ruwanweliseya bomb threat and discovered that the information was a false flag. Likewise, when the Indian authorities alerted us about a suspected terrorist travelling on a SriLankan Airlines flight, we searched the flight thoroughly and found nothing. Even in the case of the German lady, we are taking every measure to get to the bottom of it.&nbsp;“Information is being gathered and intelligence is being studied. There’s no necessity to spread panic because no threat has been detected so far. I assure you that there’s no threat,” he said.Deputy Minister of Public Security Sunil Watagala added that assumptions of a public threat were premature.“There cannot be an assumption of a public threat because there has been no incident to trigger such alarm. However, considering that these matters can prove to be serious, I am certain the National Security Council (NSC) is paying heed to these factors and will be discussing it at its meetings.”Ministry of Defence Spokesperson Col. Nalin Herath said: “These matters are serious, so it will definitely be taken up at the next NSC meeting.”

Public and national security: NSC to address recent incidents?

Amid concerns over Sri Lanka’s dwindling foreign exchange reserves, the Central Bank of Sri Lanka (CBSL) has clarified that vehicle imports are not directly responsible for the decline.It noted that such transactions were funded through the domestic foreign exchange market rather than through official reserves.As confirmed by Sri Lanka Customs Spokesperson Seevali Arukgoda, the Government had earned Rs. 92 billion in tax revenue as of Friday (9), following the lifting of the import ban on 1 February.Sri Lanka’s Gross Official Reserves (GOR) fell from $ 6,531 million in March to $ 6,326 million in April, reflecting a drop of $ 205 million in a month, bringing forth doubts about whether vehicle imports had contributed to the dip in the reserves.A high-ranking official of the CBSL explained that the country’s GOR fluctuated based on inflows and outflows involving the Government and the Central Bank itself.“In general, there are inflows and outflows to reserves. Inflows include CBSL foreign exchange purchases and loan receipts of the Government, while outflows include loan repayments and foreign exchange sales by the CBSL,” the official said. “Depending on the net inflow or outflow, the GOR will increase or decrease.”With the lifting of the long-standing ban on vehicle imports in 2024, speculation has arisen about a potential strain on the country’s fragile economic recovery. However, the official noted that the CBSL remained committed to building up reserves.“It depends on future flows, but the CBSL will continue its effort for reserves buildup through foreign exchange purchases,” the official added.

Rs. 60 mn. worth of foreign cigarettes seized at BIA

Open visits allowed for inmates on Vesak Poya Day

Open visits allowed for inmate ...

Death toll rises to 11 in Ramboda bus tragedy

Death toll rises to 11 in Ramb ...

8 dead, 37 injured in Ramboda bus tragedy

8 dead, 37 injured in Ramboda ...

Thundershowers expected in multiple provinces this afternoon

Thundershowers expected in mul ...

300 MW Kerawalapitiya LNG Plant: Cabinet misled on LNG deal?

300 MW Kerawalapitiya LNG Plan ...

Electricity tariffs: Hike unlikely as CEB misses Q2 submission

Electricity tariffs: Hike unli ...

Public and national security: NSC to address recent incidents?

Public and national security: ...

Vehicle imports: Rs. 92 b earned in two months

Vehicle imports: Rs. 92 b earn ...

Open visits allowed for inmates on Vesak Poya Day

Open visits allowed for inmate ...

Death toll rises to 11 in Ramboda bus tragedy

Death toll rises to 11 in Ramb ...

8 dead, 37 injured in Ramboda bus tragedy

8 dead, 37 injured in Ramboda ...

Thundershowers expected in multiple provinces this afternoon

Thundershowers expected in mul ...

300 MW Kerawalapitiya LNG Plant: Cabinet misled on LNG deal?

300 MW Kerawalapitiya LNG Plan ...

Electricity tariffs: Hike unlikely as CEB misses Q2 submission

Electricity tariffs: Hike unli ...

Public and national security: NSC to address recent incidents?

Public and national security: ...

Vehicle imports: Rs. 92 b earned in two months

Vehicle imports: Rs. 92 b earn ...

Bringing the news paper to your fingertips

Open visits allowed for inmates on Vesak Poya Day

Open visits allowed for inmate ...

Death toll rises to 11 in Ramboda bus tragedy

Death toll rises to 11 in Ramb ...

Bringing the news paper to your fingertips

8 dead, 37 injured in Ramboda bus tragedy

8 dead, 37 injured in Ramboda ...

Thundershowers expected in multiple provinces this afternoon

Thundershowers expected in mul ...

300 MW Kerawalapitiya LNG Plant: Cabinet misled on LNG deal?

300 MW Kerawalapitiya LNG Plan ...

Electricity tariffs: Hike unlikely as CEB misses Q2 submission

Electricity tariffs: Hike unli ...