Electricity price should be reduced by 30pc: PUCSL Chairman

• Compared to the first quarter of the year 2022, the electricity demand  has decreased by 18 percent in the first 3 months of this year
• It is now clear that the electricity demand estimated by the Ceylon 

By Chaturanga Pradeep Samarawickrama  

The electricity tariff should be reduced by 30 percent, Public Utilities Commission (PUCSL) Chairman Janaka Rathnayake said yesterday.  Addressing a media briefing yesterday, he said considering the reduction in demand for electricity, the depreciation of the US dollar, and the reduction in the cost of fuel and coal, the electricity rates should also decrease accordingly.   

“Compared to the first quarter of the year 2022, the electricity demand has decreased by 18 percent in the first 3 months of this year. Due to the decrease in electricity demand, the cost of electricity generation and supply also decreases.  

“Therefore, it is now clear that the electricity demand estimated by the Ceylon Electricity Board for this year is not correct,” he said.  

“The estimate made by the PUCSL is correct. Because of such low demand, we have recommended a 35 percent fare hike. But without understanding this situation, the majority of  members of the commission approved the 60 percent tariff increase requested by the Ceylon Electricity Board (CEB).  

“Instead of the electricity demand estimated by the CEB, there is a lower demand. Therefore, the cost of electricity supply should come down,” Rathnayake said.  

Janaka Rathnayake pointed out that the benefits of the reduction in the prices of coal, fuel oil, naphtha, and diesel used for electricity generation should be passed on to the consumer immediately. 

• The benefits of the reduction in the prices of coal, fuel oil, naphtha,  and diesel used for electricity generation should be passed on to the  consumer immediately