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Cabinet advanced power tariff revision to Oct. – PUCSL Chairman

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New pricing formula to be announced today

By Shamindra Ferdinando

Samagi United Trade Union Force (SUTUF) convener Ananda Palitha yesterday (19) said that the Public Utilities Commission (PUC) and the CEB would announce an increase in power tariffs shortly regardless of a previous decision to restrict the number of electricity revisions to two a year. The CEB implemented revisions in Feb. (61.65% increase) and June (14% decrease) this year.

The trade union is affiliated to the main Opposition Samagi Jana Balawegaya. Palitha said power tariffs would be increased in line with the Wickremesinghe-Rajapaksa government’s response to the IMF conditions.

The trade union activist said that the CEB, which first asked for 22% increase in power tariffs on the basis of revenue losses, on Sept. 26, had brought it down to Rs 17 bn when the PUC sought clarification regarding the data submitted by the CEB. “Now, the CEB is asking for a 10 percent increase,” Palitha said, adding that the increase would cause severe pressure on the already struggling economy.

A PUC spokesperson told The Island that the increase would be announced today.

Responding to The Island query, Palitha said that the assurance on two power tariff revisions annually had been given by President Ranil Wickremesinghe and Power and Energy Minister Kanchana Wijesekera in January.

Claiming that he had obtained the latest official data, Palitha questioned the failure on the part of the CEB to recover unpaid bills amounting to Rs 65 bn. The former UNP trade union leader challenged the CEB to release the names of those who hadn’t paid massive bills but continued to receive uninterrupted services. “Among the culprits are politicians, politically influential persons and major companies,” Palitha said, adding that those who settled their bills religiously with difficulty were being further burdened.

However, PUC Chairman Prof. Manjula Fernando recently declared that the CEB had made two proposals regarding third price revision this year in line with a cabinet decision. Fernando said that though tariff proposals could be submitted in January and July and the next revision scheduled for January next year, the Cabinet advanced the tariff revision to Oct., this year.

Commenting on the submissions received by the PUC on Oct 18, Palitha said that the people had lost faith in the public sector due to the deterioration of state finance as repeatedly underscored by statements issued on the proceedings of parliamentary watchdog committees.

Palitha said that regardless of assurances given since the change of government in July last year absolutely nothing has been done to discipline the CEB which remained one of the most corrupt state institutions. There couldn’t be a better example than the recent Supreme Court directive to CEB to identify and take appropriate action in respect of officials responsible for blocking a solar power project proposed by a private company that had fulfilled all the required conditions.

The three judge bench comprising Justices Yasantha Kodagoda, Gamini Amarasekera and Dileep Nawaz found fault with the first respondent CEB and the second respondent Sri Lanka Sustainable Energy Authority (SLSEA) responsible for their failure to mobilise new generation projects for the production of electricity using the abundant renewable energy resources in the country.

Pointing out that Vavuniya Solar Power (Private) Limited had informed the Supreme Court that it had applied to the SLSEA in 2012 for approval to commission and operate a solar-powered electricity generation plant in Vavuniya, Palitha said that the country paid a very heavy price for the failure on the part of successive governments to reign in the CEB.



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Courtesy call by the Heads of Mission- Designate on Prime Minister

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The heads of mission designate to Sri Lanka paid a courtesy call on Prime Minister Dr. Harini Amarasuriya on 26th of March at the Prime Minister’s office.

The delegation comprised Dharshana M. Perera, High Commissioner – designate of Sri Lanka to Malaysia, Ms. Dayani Mendis, Ambassador and PRUN – designate of Sri Lanka to Austria, Ms. N.I.D. Paranavitana, Ambassador – designate of Sri Lanka to Ethiopia & African Union, Prof. (Ms.) M.I. Fazeeha Azmi,Ambassador – designate of Sri Lanka to Iran,  Saman Kumara Chandrasiri, Ambassador – designate of Sri Lanka to Israel, and  M. Farook M. Fawzer, Representative – designate of Sri Lanka to Palestine.

The Prime Minister, Dr. Harini Amarasuriya, extended her best wishes to the Heads of Mission–designate and underscored the importance of their forthcoming assignments in advancing Sri Lanka’s national interests emphasizing their collective role in contributing towards the socio-economic upliftment of Sri Lanka.

The Prime Minister further highlighted the importance of projecting a positive and credible image of Sri Lanka internationally, through consistent, professional, and strategic engagement in their respective host countries and multilateral platforms.

She encouraged the Heads of Mission to actively identify and facilitate high-quality investment opportunities, particularly in sectors aligned with Sri Lanka’s development priorities, with a focus on sustainability, innovation, and long-term value addition.

Particular emphasis was placed on the promotion and diversification of Sri Lanka’s exports, including the exploration of new markets and strengthening trade linkages.

The meeting was attended by the Secretary to the Prime Minister, Additional Secretary to the Prime Minister Ms. Sagarika Bogahawatta and heads of mission-designate.

[Prime Minister’s Media Division]

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SC finds Keheliya, others, guilty of violating FRs of public through corrupt drug procurement deal

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The Supreme Court yesterday held former Health Minister Keheliya Rambukwella and several senior health officials liable for violating the fundamental rights of the public over a controversial drug procurement carried out under the 2022 Indian Credit Line.

Delivering the judgment, a three-judge bench, headed by Chief Justice Preethi Padman Surasena, and comprising Justice Kumudini Wickremasinghe and Justice Janak de Silva, found that the procurement of medical supplies from an unregistered company, in breach of established procedures, had resulted in a serious infringement of public rights.

The Court ruled that the granting of a Waiver of Registration by the authorities was “wrongful, arbitrary and capricious,” and held that the direct procurement carried out on an unsolicited basis was unlawful. The transaction was accordingly declared null and void.

In a significant order, the Court directed Rambukwella to pay Rs. 75 million in compensation to the State from his personal funds.

The then Health Ministry Secretary Janaka Chandragupta and former Chairman of the National Medicines Regulatory Authority (NMRA), Prof. S. D. Jayaratne, were each ordered to pay Rs. 50 million.

The Court further directed NMRA Chief Executive Officer Dr. Wijith Gunasekara and former Director of the Medical Supplies Division Dr. Thusitha Sudarshana to pay Rs. 50 million each as compensation.

The ruling followed the hearing of a fundamental rights petition filed by Transparency International Sri Lanka and two other parties.

The Court also instructed the Commission to Investigate Allegations of Bribery or Corruption to initiate appropriate action under the Anti-Corruption Act against those found responsible.

Senior Counsel Senany Dayaratne, with Nishadi Wickramasinghe, Lasanthika Hettiarachchi, Janani Abeywickrema and Maheshika Bandara, appeared for the petitioners.

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Sajith nudges govt. to follow India’s example in giving relief to consumers by slashing taxes on fuel

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Sajith

Opposition and SJB Leader Sajith Premadasa yesterday urged President Anura Kumara Dissanayake to reduce taxes on fuel, just as the Indian government has done.

He said in a post on X that “Modi government has decided to reduce the Special Additional Excise Duty on petrol and completely remove it for diesel in order to cushion the hardship on the Indian consumer. High time for Anura Kumara Dissanayake to keep up to his election promise and follow suit.”

Meanwhile foreign media reported that India has slashed excise duties on petrol and diesel to protect consumers and rein in a potential spike in inflation, while imposing windfall taxes on aviation fuel and diesel exports, amid volatile global oil markets, as a result of the Iran war.

Global oil prices have surged past $100 per barrel after the near closure of the Strait of Hormuz, which serves as a conduit for 40% of India’s crude oil imports, since the US and Israel first struck Iran on February 28.

In a government order, released late on Thursday, India’s Finance Ministry reduced the special excise duty on petrol to three Indian rupees ($0.0318) per litre from 13 Indian rupees earlier. It also cut the duty on diesel to zero from INR 10 rupees per litre.

The government did not say how much the duty cuts would cost. The move comes ahead of elections next month in four Indian states and one federal territory, with Indian voters known to be extremely sensitive to higher prices.

“Government has taken a huge hit on its taxation revenues to ensure very high losses of oil companies, approximately 24 rupees a litre for petrol and 30 rupees a litre for diesel, at this time of sky high international prices, are reduced,” Indian Oil Minister Hardeep Singh Puri said in a post on X.

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