New Bill to meet demand for electricity

Uditha Kumarasinghe and Irangika Range

*New legal environment

*Action to achieve national targets

*Public Utilities Commission to formulate pricing policy

Power and Energy Minister W.D.J. Seneviratne told Parliament yesterday that the Government expects to meet the demand for electricity adequately and affordably to fulfil the basic requirements of the people while providing opportunities for the productive economic activities through the new Sri Lanka Electricity Bill.

Tabling the Bill before House, the Minister said, this Bill which provides provisions for generation, transmission and distribution of electricity is formulated to suit the new technological developments and international optimum strategies.

The Minister further said the statement on “National Energy Policy and Strategies of Sri Lanka” approved by Parliament last year identified the problems and the technical requirements of the electricity sector while suggesting the remedies for such problems.

The policy statement has also recommended provisions to create a new legal environment as there was no suitable legal environment in the previous Act to implement these principles.

Therefore, under this new Bill, authority has been granted to the Public Utilities Commission to follow a suitable pricing policy to ensure consumer security and equality.

“This will increased the quality of the energy services while protecting harmful environmental impacts caused by the energy facilities. He said the Ministry implements the action plan with a huge investment for the implementation of the basic energy requirements included in the policy statement.

Steps have been taken to achieve the national targets of “meeting the basic energy requirements” against the increasing demand by projects such as Upper Kotmale Hydro Power Project (150 Mw), Norochcholai coal power project (900 Mw), two coal power plants (2000 Mw) to be constructed in Muttur, Uma Oya Hydro Power Project (120 Mw), Kerawalapitiya Power Plant (300 Mw) and the project to convert the generation of electricity by natural gas instead of diesel in the Kelanitissa Power Plant.

The transmission line between India and Sri Lanka will help generate excessive electricity to be exchanged between the two countries.

“This would pave the way to diversify energy sources enhancing the quality of the energy services.

“We have taken action to transmit the electricity generated by all the power houses to all villages in the country efficiently.

The new Act has prohibited the involvement in generating electricity by any developer without a licence received from the Public Utilities Commission of Sri Lanka.

This would prevent high cost generation and transmission systems which are not compatible with the economy of Sri Lanka. The Bill has also emphasised the insurance of consumer protection and the equality.

The provisions that enable to probe whether the transmission process of the Ceylon Electricity Board and the technical procedure of all the electricity suppliers are being conducted according to the consumer’s needs and technical standards imposed by the Commission.

Further, this Act has granted a special power to the subject Minister to prevent the Commission from actions harmful to the public or service providing licences when amending or changing the conditions in the licence.

“Technical Activities” of the Ceylon Electricity Board are subject to the new regulation procedures of this Act.

The operation of transmission has been assigned to the Ceylon Electricity Board.

The Sri Lanka Electricity Bill (Second Reading) was passed with a majority of 69 votes in Parliament yesterday. The JVP asked for a division by name and voted against.

The UNP also voted against. The TNA members were absent. The JHU, NFF and CWC voted in favour.