PUCSL approves increase in electricity

The Public Utilities Commission of Sri Lanka has granted its approval to increase electricity tariffs by 75% on average and the tariff rates are effective from tomorrow (August 10).

The CEB’s initial tariff review request was revised twice considering the fuel price revision by the Ceylon Petroleum Corporation (CPC) in March, the PUCSL added.

According to the electricity sector regulator, the revenue requirement as filed by CEB is LKR 505 billion (excluding LECO costs) requiring 82.4% increase in revenue to recover the forecast cost for 2022. When the proposed Tariff revision is applied, the overall revenue increase is forecasted at 512 billion (including LECO sales) meaning a 79% increase.

The PUCSL stated that it rejected the CEB’s proposal to increase electricity tariffs by 229%, capping off the hike at 75%, after taking all public and other stakeholder comments into consideration.

“The category with consumption less than 30 units will be charged 25 percent of the cost. They still get 75 percent of subsidy. The consumers who come under the category of above 31 units and below 60 units are charged 40 percent of the total cost. They get a 60 percent of subsidy. Only 50 percent of the actual cost is charged from the category of units above 61 and below 90. A 50 percent of subsidy is also given to that category.”