• Public views sought by PUCSL

The Ceylon Electricity Board (CEB) stated  it would provide the clarifications requested by the Public Utilities Commission of Sri Lanka (PUCSL) regarding the revision of the electricity tariff it submitted on 15 May, before today (24).

Claiming that there is a possibility of reducing electricity tariffs by 27% instead of by 3% as proposed by the CEB, the PUCSL had informed the former to resubmit a proposal on par with the actual cost reductions.

When contacted by The Daily Morning yesterday (23), CEB Chairman, Nalinda Illangakoon said the CEB had received a letter from the PUCSL, in which clarifications regarding the proposed electricity tariff revision had been sought on or before today. "We have to provide the relevant clarifications as the PUCSL is the regulatory authority. We will send them accordingly."

In response to a query on the allegations by PUCSL Chairman, Janaka Ratnayake that the CEB had prepared the relevant tariff revision without considering the actual cost reduction data, Illangakoon said: "If there is any official issue, they should send it to us. I cannot reply to what they say at media briefings."

Ratnayake recently said electricity consumers should receive an immediate  tariff reduction by approximately 20%, given the reductions in the electricity demand, foreign exchange rates and fuel prices. He said the electricity tariff revision  presented by the CEB should be in accordance with the data he had presented on the reduction in electricity consumption and electricity generation costs. The relevant proposal had been submitted to the PUCSL by the CEB on 15 May.

Ratnayake said there is a possibility to reduce electricity tariffs by 27%, but that the CEB had submitted a proposal to reduce by  3% only, thereby concealing the correct cost related data.

Meanwhile, Ratnayake revealed that the electricity tariffs are expected to be revised with effect from 1 July. The PUCSL will announce the new electricity tariffs on 30 June, he said, adding that public opinion on the matter will also be considered in the final tariff revision, as per Section 30 of the Sri Lanka Electricity Act and Section 17 of the PUCSL Act. “We have invited comments and suggestions from the public regarding the 3% electricity tariff reduction presented by the CEB and the alternative proposal presented by the PUCSL,” Ratnayake said, issuing a statement in this regard. Accordingly, the public has been invited to submit their comments and suggestions, in writing, to the PUCSL, from 1 to 20 June, while an opportunity will also be given to make oral submissions.

He raised concern pertaining to the increasing energy poverty in Sri Lanka, adding that as per  Government statistics, the number of families currently facing extreme poverty stands at a figure of three million. “This group uses between zero to 60 units of electricity per month. According to the new data on electricity consumption, the number of electricity consumers who do not use a single unit per month has increased to 436,000 as of February. About 600,000 consumers who used more than 90 units per month fell into the category of consuming less than 60 units. These data show that energy poverty has increased due to the recent increase in electricity tariffs. This situation should be rectified immediately,” he emphasised.

Ratnayake noted that with the upcoming tax revision, the PUCSL aims to “give justice” to those who were unfairly affected by the “baseless tariff revision” implemented in February, including those in the domestic sector, religious places and tourist hotels. He explained that the tariffs in religious places should be reduced in an affordable manner, adding that attention will also be paid to those sectors that help generate foreign exchange. “In order to maintain the tourism industry, export industries, etc., sustainably, energy costs should be reduced as much as possible,” he said.