Increase in electricity tariffs will collapse local factories

30 September 2023 10:29 am Views - 3313

The Electricity Users' Association (EUA) today claimed that factories would collapse with the increase in electricity tariffs, which would cause a price increase in the manufacturing of goods.

Addressing the media, EUA Secretary Sanjeewa Dhammika said the Ceylon Electricity Board (CEB) has requested the Public Utilities Commission of Sri Lanka (PUCSL) to grant permission to revise the electricity tariffs from October 01.

"However, we reject the proposal to increase the electricity bill. The country is running to the tune of the IMF. The IMF has become the political dividing point. This time, the electricity bill is to be increased not based on the cost. The electricity bill will increase by 22 percent for every unit or increase by an additional Rs. 8 per unit.

"Accordingly, the cost of one unit of electricity, which is at Rs. 10 now, will be increased to Rs. 18, which is a price that consumers will not be able to bear as it is an increase of 80 percent.

"If the electricity tariff increased, it will cause the collapse of local factories and increase the price of manufactured goods.

"Therefore, we have decided to get in line with the people to oppose this proposal," he said. 

The association also said they would force the government to withdraw this proposal for the sake of the country and the people.

While issuing a notice, the PUCSL said a proposal has been received to revise the tariff in two ways. According to the notice, the CEB has claimed that their estimated cost had increased according to the costs in July and December. Reducing hydropower, reducing the use of coal for electricity generation and the increasing electricity demand had caused an increase in their costs.

Accordingly, the CEB and the Ministry informed the PUCSL of the immediate consideration of the proposal to revise the electricity tariffs. (Chaturanga Pradeep Samarawickrama)