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Sri Lanka power regulator says costs slashed by Rs3.65 a unit

Mar 13, 2013 (LBO) – Sri Lanka’s Public Utilities Commission, the island’s power regulator says it had dis-allowed 40 billion rupees of costs filed by state-run Ceylon Electricity Board, before seeking public comments on a proposed tariff hike. The Ceylon Electricity Board initially filed costs 268 billion rupees to produce 10, GigaWatt hours (millions of units) of energy in 2013, or 24.47 rupees a unit.

The PUCSL said it dis-allowed 40 billion rupees in costs and arrived at a cost of 228 billion rupees or an average production cost of 20.83 rupees a unit.

CEB has since filed revised tariffs. The tariffs proposal continues large subsidies to places of worship, some categories of industries, while subsidies have been reduced for small users.

Cost plus pricing has been imposed on general purpose, hotels and high volume residential users.

Low volume residential users would continue to get subsidies, but at a reduced rate. High volume home users who were previously charged exorbitant rates would find their rates unchanged or marginally lower.

PUCSL said information for public comment was available at http://www.pucsl.gov.lk/english/information-centre/tariff-revision-2013/.

Responses could be emailed to tariff@pucsl.g

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