No increase in electricity rates
Chamikara Weerasinghe
COLOMBO: The Government will not increase electricity rates despite
the diesel price hike.
Power and Energy Minister W.J.Seneviratna said that the Government
was not prepared to raise electricity rates concurrently with escalating
diesel prices.
" A Ministerial Subcommittee is discussing the matter," he said and
added," it must be mentioned that the relief given to the public by
refraining in resorting to rate hikes on electricity, has resulted in
Ceylon Electricity Board being pushed to the deep end."
Minister Seneviratna gave this assurance addressing the public at
Godakawela, Kahawatta after declaring open a CEB Customer Service Centre
for the area. Of the country's total power generating capacity 65 per
cent is obtained from diesel operated power stations, and the increased
diesel prices have a direct effect on electricity production considering
the cost factor, the minister pointed out.
"A unit of electricity is produced at a cost of Rs. 12.80 but is sold
at Rs. 10.80 to the public," he explained.
He also said that the country's annual demand for electricity was
increasing by 150 megawatts every year. " We have been able to add 80
megawatts to the National Grid with the Kukuleganga project for the last
two decades." "The failure to meet electricity demands of the country
stands out as a big problem confronting us . We will have added 200
megawatts to the National Grid by the end of May , 2008 with the
establishment of the Kerawalapitiya Power Station," he said.
"But there will be no new power stations for 2009. However, by the
end of 2011, we will have Norochcholai and the Upper Kothmale power
stations operating," he added.=
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