CEB implements energy saving mechanism

Dharma SRI ABEYRATNE

Sri Lanka Electricity Board has implemented a mechanism to save Rs 8,450 million during the 2011 financial year, Power and Energy Minister Patali Champika Ranawaka said.

The Minister addressing the media yesterday at the Power and Energy Ministry, said the Electricity Board has planned to reduce expenditure while increasing revenue. The Electricity Board will reduce the forecast expenditure through improving efficiency in various sectors.

The CEB has also targeted to reduce the total expenditure for 2011 to Rs 150 billion though the estimated total expenditure for 2011 is Rs 159 billion. However, the expected loss for 2011 is Rs 24.482 billion, the Minister added.

“But, if the Electricity Board achieves the targeted goals, the overall loss for 2011 will come down to Rs 16,482 billion,” Minister Ranawaka noted. Due to the electricity tariff revision the CEB will receive Rs 4.5 billion in additional revenue since the unit price has been increased to Rs 13.59 from Rs 13.10.

The Minister further noted that the Electricity Board has to spend Rs 2.5 billion annually on street lights. Therefore street lights cause 10 percent of the total loss of the Board imposing a heavy burden on the Electricity Board.

“Neither the Government nor the Local Government Authorities pay for the electricity consumption of street lights.

Therefore, the Electricity Board is being engaged in discussions to obtain a favourable response,” the Minister said.

Ranawaka further said Balance Score-card method and Merit Based Evaluation System have already been implemented as a new management mechanism at the Electricity Board.