Electricity tariff hikes in two stages in 2023

COLOMBO (News 1st) - Sri Lanka's Cabinet approved a hike in electricity tariffs under two steps in January and June 2023.

A statement from Sri Lanka Parliament said that although the electricity tariff has been increased in the past, it is not sufficient to cover the loss of the electricity board and thus, the request to increase the electricity bill has received cabinet approval. 

This was disclosed at the Sub Committee on Identifying the Short & Medium-Term Programmes related to Economic Stabilization of the National Council held on Wednesday (29).

Accordingly, the Cabinet has approved increasing the electricity tariffs under two steps in January and June 2023.

Accordingly, the relevant measures are to be taken to obtain approval of the Public Utility Commission, said Rohan Seneviratne, Additional General Manager of the Electricity Board.

The electricity bill should increase by about 70% to cover the current loss, the electricity board representatives said.

The chairman of the Sub Committee on identifying the Short & Medium-Term Programmes related to Economic Stabilization of the National Council also pointed out the dangers such as the collapse of businesses even if the electricity tariffs are increased to cover the loss of the electricity board.

It was also disclosed that the Electricity Board currently owes nearly 650 billion rupees as loans to various parties including banks and electricity suppliers.

The Electricity Board representative stated that out of the amount to be paid, nearly 35 billion rupees are to be paid to the organizations that supplied renewable energy and 75 billion rupees are to be paid to Thermal power suppliers. 

Thus, it was said that it is expected to least make part payment to the suppliers from the 50-billion-rupee loan expected to receive.

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