LECO consumers to get interest for security deposits of electricity

The Public Utilities Commission of Sri Lanka (PUCSL), the electricity sector regulator together with Lanka Electricity Company Private Limited (LECO) yesterday launched an interest pay scheme for security deposits of electricity for LECO consumers at the BMICH.

Payment of interest on electricity consumer deposits is a benefit provided to the consumer under Section 28 of the Sri Lanka Electricity Act. Accordingly, electricity utility service providers have to pay interest to electricity consumers for the electricity deposit. PUCSL has the authority to decide the interest rate that to be paid to the consumers and the PUCSL declared that the interest rate for this year would be 8.68 per cent. The interest rate changes annually.

Accordingly, LECO has commenced paying interest to its customers from yesterday onwards where the interest will be deposited to the electricity bill account of the consumer. LECO alone will pay Rs. 42 million annually to its customers as a benefit through this scheme.

Speaking at the event Janaka Ratnayake, Chairman of the Public Utilities Commission of Sri Lanka said,

“We have taken the steps to protect the rights of electricity consumers since the inception of the Commission in accordance with the powers vested in it. We have published the Declaration of the Rights and Obligations of Electricity Consumers and many regulatory decisions to protect the rights contained therein and to protect consumers. In particular, more than 20 different regulations, rules and guidelines have been enacted to protect consumers.”

“We hope that in the future other licensees will implement this interest payment program. When other electricity distribution licensees also implement this interest benefit scheme in the future, around Rs. 1,200 million will flow into the hands of electricity consumers annually.” Rathnayake added.