CEB clarifies rejected tariff proposal

27 November 2024 12:16 am Views - 65

 

The Ceylon Electricity Board (CEB) yesterday set the record straight regarding a proposed electricity tariff revision, which was rejected by the Public Utilities Commission of Sri Lanka (PUCSL). 


CEB Media Spokesperson Eng. A.D. K. Parakramasinghe in a statement to the media said the entity had proposed a tariff reduction of 6 - 11 percent for the final quarter of 2024. This proposal considered forecasted expenses, revenues from the second and third quarters, and repayments of loans taken during 2014-2022. 


However, the PUCSL rejected the proposal, requesting instead that a new submission be prepared for the first six months of 2025.


“Sufficient time is required to approach the new proposal for 2025 in an orderly manner, and the proposal will be forwarded to the regulator before 6 December,” Parakramasinghe said. 


He added that the regulator’s decision to adjust the methodology for the first three quarters of 2024 had prevented a price reduction for the last quarter of the year.


CEB’s spokesperson also pointed to historical challenges, noting that during the period 2014-2022, a loan had to be taken since the regulatory officials did not take action to revise the electricity tariffs accordingly, even though the expenditure was approved.


He emphasised that CEB’s goal is to estimate electricity costs comprehensively and propose reasonable tariff revisions for consumers.


On Monday, the PUCSL acknowledged receiving CEB’s request for additional time and granted a two-week extension which ends on 6 December.


The regulator, however, warned that failure to submit the revised tariff proposal within the set deadline would result in the enforcement of the tariff revision clause under Bulk Supply Transaction Operational Guidelines.