The Hon. (Dr.) Anil Jayantha

¶ 01 Hon. Speaker, on parts 5 and 6:

¶ 02 Our Government has not newly removed concessions nor newly imposed taxes specific to lithium-ion batteries. Generally applicable levies are VAT 18%, Customs Duty, PAL and SSCL. However, for grid-connected, large-scale storage associated with agreed renewable projects, if batteries are confirmed as used for storage, exemptions already exist: the 15% duty is waived; CESS does not apply; and PAL relief is available per existing schedules.

¶ 03 More broadly, electricity costs are critical for industrialization and growth. In a Cabinet Subcommittee reviewing solar tariff adjustments, we noted complexities—WACC calculations, inflation treatment, etc.—and suggested future reviews. While incentives like rooftop IRR and income-tax qualifying payments exist, the overarching goal must be least-cost, reliable power—reducing tariffs over time, not increasing them through problematic schemes.