The Hon. Kumara Jayakody - Minister of Energy

¶ 01 Hon. Speaker, first, I must correct a repeated misrepresentation: that we are generating daytime electricity from oil instead of taking free solar. That is false. Since we assumed office, we have not generated daytime power from oil. Solar is available in the day; oil is used at night. Let me answer the questions:

¶ 02 1. Roof-top solar and RE projects below 10 MW are adjusted annually based on a price formula. Depending on market factors, the tariff can go up or down. The proposed electricity law reforms also allow such adjustments; hence, the projects referred to are not adversely affected. 2. Yes. Prices are determined by a technical committee of relevant officials, considering capital cost, return on equity, interest rates, and CPI, etc. The formula ensures a fair return and bankability. 3. Stakeholder consultations were held on 24.01.2025, and written submissions were obtained. Existing PPAs in operation up to the point of this price revision are not affected; the new tariffs apply only to new entrants. 4. In addition to the technical committee, a Cabinet-appointed subcommittee reviewed and, being satisfied, published the tariffs. Therefore, reconsideration is not required at this stage. 5–6. These have been directed to the Hon. Minister of Finance for reply by the Deputy Minister.