Sri Lanka’s Minister of Power and Energy, Kanchana Wijesekera, disclosed plans for a reduction in electricity prices during the upcoming tariff revision in January 2024. The announcement was made at a press briefing held at the Presidential Media Center.
Background on Tariff Revision
Minister Wijesekera explained that the decision to reduce tariffs stems from a significant shift in electricity production dynamics. The state-owned electricity producer, Ceylon Electricity Board (CEB), has transitioned to predominantly utilizing hydropower for electricity generation.
October Tariff Hike Explained
The Minister clarified that a tariff hike occurred in October due to heightened reliance on thermal power generation, which proved expensive during that period. This shift was prompted by dry weather conditions at the time.
Impact of Increased Rainfall
Highlighting the positive impact of recent heavy rainfall in Sri Lanka, Minister Wijesekera noted that the country now receives more than 60% of its electricity from hydropower sources. The surge in rain is attributed to a notable reduction in the cost of electricity production.
Future Decision-Making Factors
The Minister mentioned that rainfall is anticipated to persist for another two weeks. The final decision on tariff reduction in January will be based on a comprehensive assessment of the CEB balance sheet for December.
As Sri Lanka prioritizes sustainable and cost-effective energy sources, this move aligns with the government’s commitment to provide affordable electricity to the public.
Source：assamtribune.com
