Hon. Ravi Karunanayake

¶ 01 Further, pointing out serious errors and inconsistencies with the National Energy Policy, the Public Utilities Commission of Sri Lanka (PUCSL) has rejected the Ceylon Electricity Board’s proposed 2025-2030 Least Cost Long-term Generation Expansion Plan. Sir, I table the Public Utilities Commission’s letter regarding that Draft Long-term Generation Plan of the Ceylon Electricity Board.

¶ 02 Taking these risky developments into account, I ask the following questions from the Government:

¶ 03 1. What steps are being taken to resolve the resistance within the Ceylon Electricity Board to integrating renewable energy, and to ensure a fair, transparent and competitive tariff structure for non-conventional renewable energy producers?

¶ 04 2. Given that the current regulatory framework undermines investor confidence, and considering the large number of people engaged profitably in this sector—especially projects below 10 MW and rooftop solar—how does the Government intend to attract and retain the essential private sector investment in renewable energy?

¶ 05 3. The CEB will be compelled to rely heavily on thermal power generation over the next 15 years, during which the average unit cost is Rs. 45. At present, over 35% of electricity is generated from hydropower. Meanwhile, renewables are 100% domestically produced with no foreign exchange outflow. Then, what is the logic for pushing renewable tariffs down to unsustainably low levels?

¶ 06 4. In view of the PUCSL’s rejection of the CEB generation plan, what urgent steps will be taken to formulate a revised, sustainable and economically viable energy strategy that prioritizes renewables, reduces dependence on thermal power, and prevents further financial instability in the sector?

¶ 07 Mr. Speaker, I note that, contrary to what is clearly stated on page 163 of “A Prosperous Country – A Beautiful Life,” the CEB is moving in the opposite direction. I believe the Hon. Minister accepts this.

¶ 08 5. As Sri Lanka faces a severe foreign exchange crisis, how does the Government justify continued dependence on fossil-fuel-based power generation—which drains foreign reserves—rather than accelerating the transition to domestically sourced renewable energy?

¶ 09 6. Do these plans contribute to meeting Sri Lanka’s renewable energy targets and our national and international commitments on climate change mitigation?

¶ 10 7. Please state the budgeted average generation cost for 2025, and the percentage reliance on hydro, thermal and renewable sources used in computing that cost.

¶ 11 8. What is the projected annual growth rate of electricity demand for the next 10 years, and can it be provided on a year-by-year basis?

¶ 12 9. There is credible information that the CEB intends once again to resort to emergency power purchases. Is this correct?

¶ 13 10. The CEB has recently adopted a very high tariff structure and, in 2024, earned a significant profit of about Rs. 200 billion. The CEB’s stated objective is to ensure an uninterrupted power supply. Given that the CEB is now in a profitable position due to high tariffs, will the CEB compensate consumers for any unplanned power cuts, whenever they occur?

¶ 14 Mr. Speaker, after I submitted this question, there arose a fuel issue yesterday. Reducing the discount to filling station owners from 3% per litre to 1.5% has triggered a major problem. I believe our Hon. Minister of Power will give a candid response on that as well and resolve the matter permanently.

¶ 15 Thank you, Mr. Speaker.