The latest electricity price hike in crisis-hit Sri Lanka has left many reeling; the 66% increase in electricity prices in a move the Government hopes will adhere to guidelines which is expected to facilitate an International Monetary Fund bailout adds to the burdens of Sri Lankans already struggling with inflation and constant price hikes of essential commodities.
As inflation hovered above 54% Year-on-Year in January, day-to-day survival has become precarious for many and long-term financial stability has become no more than a pipe dream. With the new utility costs set to take effect from this month, the debt-ridden nation’s human cost is mounting, as the economic woes push many Sri Lankan households into poverty.
According to the latest World Bank update on Sri Lanka, poverty is projected to remain above 25% in the next few years, owing to the multiple risks to households’ livelihoods. Further, the negative outlook on the economic condition for 2023 and 2024 suggest that poverty may even increase further.
Moreover, the World Bank revealed that the poverty rate in urban areas had tripled from 5% to 15% between 2021 and 2022, leading to the erosion of livelihoods and productive potential of the people. The real value of earnings of the employed was also expected to have declined by over 15% between 2021 and 2022 and many households have had to rely on negative coping mechanisms in the face of falling incomes.
Despite attempts to adjust to steadily worsening standards of living as costs of essential goods and services skyrocket, many are living on a knife’s edge, working themselves to the bone for an income that barely covers the day’s or month’s necessities. For many, dreams of a well-earned retirement after a life of work have been taken away, leaving them with no option but to continue working at jobs with ever-diminishing returns just to support themselves or their families, with no end in sight.
Here, The Sunday Morning journalist Maneesha Dullewe and photojournalist Pradeep Dambarage share the stories of people making a living in a city where everything is becoming more expensive by the day
Rathnapala – Three-wheeler driver
What we earn isn’t enough; I have to pay for electricity and water, but what I earn is only enough to buy daily supplies needed at home. We pay the electricity and water bills with what my wife earns. After electricity costs increased, we don’t even use the fan at home. My children are married, only my wife and I are at home, but it is still difficult to manage. We can only buy a kilo of rice, some vegetables, and meat for the day; no more than three items. We haven’t had any milk in the house for about two weeks now, we only drink plain tea. There is no relief for us; we are living for the sake of living, it’s not like we can simply die. I get up at about 4-5 a.m. and come to Colombo to find rides, then go home at about 9-10 p.m. My life is spent entirely on the road. It wasn’t like this before – we are people who used to live well and even built our houses by driving three-wheelers.
Nishantha Wijesinghe – Fishmonger at Wellawatte Market
In order to do business here, we have to pay rent, electricity and water bills, and employee wages, all of which have increased. Things are not like they were before, when we could pay workers Rs. 2,500 as daily wages; now no one is willing to work for those wages, they expect at least Rs. 3,500. As such, our expenses have increased while income has dropped, so we are managing with great difficulty. We are small-scale businessmen and this situation has greatly affected us, since we have no other means of income.
Vijitha – Transportation app driver
Even working 24 hours is not enough to make a living. What I earn is not enough to fulfil my necessities. It is even difficult to eat three meals. There’s also less orders now, since it is difficult for customers as well.
Senevirathne – Store owner
The income I earn is not enough to live on. If this continues, we will have to resort to theft. We only eat one meal a day and even this with great difficulty. I have two children and we have to look after their families as well. No matter who comes into power, we are trapped. Business is a little show these days and it is not like before. I am 68 years old; this is an age when we should be at home, but we have to work instead.
Chandralatha – Street fish seller
We are doing this because of poverty. I have four children and I come here with my mother to sell fish. My husband doesn’t have a job. Even before we buy food we have to pay electricity and water bills. It is very difficult to find anything to eat, but what can you do? There’s no fixed income from this. If I can’t sell my wares today, I will have to sell them at a lower price when I return home to the village. We have reduced our food intake at home since we must live according to our means. Sometimes there’s no food; even today, we haven’t eaten anything since morning, we will only be able to eat after selling this. Even if we are hungry, the children need things for school. Even if it is difficult, we must face what comes.
Arunapala – Street vegetable stall owner
I have three children. I have no other sources of fixed income. My wife doesn’t work, so we depend on this job. I have been doing this for more than 20 years at this same place. Since everything has increased in price, it is very difficult for us. There is no alternative since this is the only thing I can do, so this is how I make my living. Business is slow, but there are days when there are some sales. Otherwise, there’s nothing to do but to face things as they come. It is difficult, but we manage somehow without being a burden on anyone.
M.F. Fowzie – Tailor
Business has been down since Covid, and now it has dropped further. The items we use have gone up in price. Wages also need to be increased and electricity costs have increased, which leads to complaints from customers about increased prices of goods. It’s not like we can reduce staff. Looking at the situation, I don’t understand how to continue. The prices of the goods we need have tripled. We can’t tell the customers this; some customers understand while others take their business elsewhere. While prices and expenses have increased, our profit has reduced. With the increase in electricity prices, we have even wondered whether we should take up some other employment. Since we can’t cut down on things we must spend on, what we have to do is reduce spending on extra things. For instance, we still give employees tea three times a day, which costs about Rs. 3,500 per day.
D.S. Kumara – Garbage collector
I have been doing this for seven years. Things have now become very difficult. My wife also works and the children’s education is covered with that money. There is nothing left over after paying for everything. When it comes to electricity and water bills, we can only pay about half [of the bill] each month.
Suraiya Deen – Stall owner at Galle Face Promenade
My life is spent here working in all weather, come rain or shine. Some days there are no sales, but yesterday I made Rs. 5,000. I live in Henamulla and it costs me Rs. 1,000 to go home at night after work. If I spend Rs. 1,000 from the pay I receive here, what do I have left? We pay the electricity and water bills with my husband’s pay. These days I only cook occasionally and I also use a wooden stove now.
Malini – Parking ticket collector
My sister has cancer and she lives with me. She is also working here as a ticket collector. What we earn isn’t enough for her medicine. We also don’t have work on weekends since there is no school and therefore no crowds. We also have my sister’s daughter and aunt living with us, and we pay around Rs. 11,000 for electricity. My sister can’t sleep without the fan after her treatments. We have washing machines, but we no longer use them. We only use lights, the fan, and the fridge. We will soon start buying kerosene and using lamps instead, since we can’t afford it otherwise. Only God knows how we will continue to make a living.