“Who will pay the price?” Ravi challenges govt. on CEB reforms

Colombo, Feb. 5 (Daily Mirror) - Raising serious concerns over electricity tariffs, institutional reforms and the future direction of Sri Lanka’s energy sector, Ravi Karunanayake has called on the Government to provide detailed explanations on proposed “radical changes” to the Ceylon Electricity Board (CEB) and the planned introduction of Time-of-Use electricity tariffs.

Karunanayake asked the Government to spell out, without ambiguity, the specific institutional, financial and operational reforms being implemented at the CEB, the timeline for the full rollout of Time-of-Use tariffs, and the percentage impact these changes would have on domestic, commercial and industrial consumers.

Referring to public statements on the possible restructuring or liquidation of the CEB, he questioned whether such actions are being carried out in line with previously agreed Government policies and commitments made to stakeholders. If not, he asked why the agreed framework is being abandoned and whether CEB staff and recognised trade unions have formally consented to these changes.

Turning to cyclone-related losses, Karunanayake raised concerns over the estimated Rs. 20 billion cost incurred by the CEB due to damage caused by Cyclone Ditwah. He asked whether these funds were provided by the Government, the dates and amounts of any such disbursements, or, if no funding was given, how the CEB was instructed to recover the expenditure.

He further questioned claims that electricity tariffs were increased to finance a Voluntary Retirement Scheme (VRS) for around 2,300 CEB employees at a cost of approximately Rs. 12 billion, as well as to recover street lighting expenses. Karunanayake demanded to know whether these costs were directly passed on to consumers and whether Cabinet approval and regulatory clearance had been obtained for such cost recovery.

Raising alarm over social equity, he asked whether the long-standing cross-subsidy mechanism within electricity tariffs is being reduced or removed, and if so, the justification for such a move and its likely impact on low-income households.

Karunanayake also sought details on the sources of capital funding being mobilised to modernise and expand transmission and distribution systems, along with clear timelines for these investments.

Expressing concern over energy policy direction, he questioned whether the Government is aware of growing criticism that renewable energy projects—including Battery Energy Storage Systems (BESS)—are being sidelined while thermal power generation is prioritised. He asked for the rationale behind this approach and how it is justified at a time of severe foreign exchange constraints.