Power at affordable prices despite high generation costs - Minister

Wasantha Ramanayake

While other countries in the region are hit by regular blackouts, Sri Lanka had been able to supply electricity at an affordable price despite high generation cost, Power and Energy Minister W. D. J. Seneviratne said.

The Minister delivering the inaugural speech at the conference; Infrastructure Development - Need for Energy Sector Development organised by the Chamber of Construction Industry (CCI) noted that although the achievements were significant in comparison to the other countries in the region, Sri Lanka could not be complacent since the country’s reliability in power supply, the standard of service has to be improved.

Minister Seneviratne pointed out that energy security has become difficult due to the unprecedented rise in the demand for energy.

He emphasised the need to reform electricity generation, transmission and distribution to encourage private investment to meet the annual increase demand for power at seven per cent. He said out that the annual investment of Rs 4 billion is needed to meet the demand which was difficult to find from traditional sources of funding, the Official Development Assistance (ODA).

“Therefore greater private sector participation is important to bring in private capital and in turn good governance and greater transparency is needed.” He said the Government was expediting legislation needed to increase private sector participation in the energy sector and also to empower the Public Utilities Commission to regulate them.