Sri Lanka needs price formula for petroleum, electricity: power minister

Chief Regulatory Officer at CSE Renuke Wijayawardhane presenting the listing certificate to Executive Chairperson at Renuka Hotels Shibani Thambiayah

Jan 21, 2013 (LBO) – Sri Lanka needs a cost based price formula for electricity and petroleum, power minister Patali Ranawaka has said. The rupee fell from 110 to 134 to the US dollar during the crisis. There was a steep energy price hike in February 2012 and the rupee has since strengthened to 126.50 to the US dollar. Sri Lanka already had price formulae for bus transport and cooking gas which were accepted by all concerned, minister Ranawaka was quoted as saying in a statement issued by power the power ministry.

If the country is to progress, a formula that is accepted by all concerned is needed for petroleum and electricity.

Minister Ranawaka had been speaking at ceremony at Fonterra, a dairy products firm where a solar panel array was installed.

Sri Lanka had an annual demand for about 12,000 GigaWatt hours of energy (millions of units of electricity) and about 6,000 GWh could be produced at 7.00 rupee a unit but the rest cost as much as 32 rupee a unit, he had said.

Though recent rains have increased hydro storage up to 80 percent the water was enough only to generate 40 days worth of power.

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