A progress review meeting on reforms and modernisation initiatives at Sri Lanka’s key state revenue-collecting institutions was held on Thursday  (15) at the Presidential Secretariat, chaired by Secretary to the President Dr Nandika Sanath Kumanayake, with the participation of representatives of the International Monetary Fund (IMF) and officials of the Revenue Administration, Reform and Modernisation Bureau (RARMB) of the Presidential Secretariat.

At the meeting, the IMF representatives commended the revenue collection efficiency of the Department of Inland Revenue, Sri Lanka Customs and the Department of Excise, the country’s three leading state revenue-collecting institutions. Extensive discussions were also held on the progress of the reform and modernisation programmes being implemented at these institutions.

Secretary to the President Dr Nandika Sanath Kumanayake outlined the progress achieved by the three institutions to date and the reforms planned for implementation in the future.

The IMF representatives also highlighted the importance of strengthening risk management, developing human resources and ensuring the efficient operation of computer systems at the respective institutions.

Senior Additional Secretary to the President Seevali Arukgoda also attended the meeting. The IMF was represented by Cindy Negus, Senior Economist in Revenue Administration for the Asia and Pacific, Europe, Middle East and Central Asia regions; Alison Lister, Revenue Administration Adviser; and Gregory Toppin, Resident Revenue Adviser in Sri Lanka. A group of senior officials from the Revenue Administration, Reform and Modernisation Bureau of the Presidential Secretariat also participated.

(President’s Media Division)

By Anuradha Hiripitiyage

Electricity tariffs should be reduced by between 3 and 5 percent instead of being increased by 2.88 percent in the fourth quarter, as proposed by the National System Operator (NSO), Electricity Consumers’ Association Secretary Sanjeewa Dhammika said.

Addressing a media briefing in Maradagahamula, Divulapitiya, Gampaha, yesterday (16), Dhammika said a proper assessment of electricity generation costs, including the contribution of hydropower, could justify a reduction in tariffs.

He said the NSO had sought approval from the Public Utilities Commission of Sri Lanka (PUCSL) for a 2.88 percent tariff increase, which was expected to generate an additional Rs. 4,438 million.

However, the Commission had indicated that an increase of only 1.46 percent was warranted, amounting to Rs. 2,245 million, he said, adding that even this increase was unnecessary.

Dhammika alleged that the proposed revision sought to pass on to electricity consumers the financial burden arising from the non-arrival of five coal shipments and failed tenders.

“The Government had said that the burden of coal-related losses would not be passed on to the public. It is therefore unjust to make consumers bear these costs,” he said.

He pointed out that the PUCSL had forecast that hydropower would account for 32.34 percent of total electricity generation in the coming quarter, while the cost of such generation would represent only 3.45 percent of the overall cost of electricity production.

Consumers should benefit from the lower cost of hydropower generation rather than bear the burden of more expensive thermal power generation, he said.

Dhammika also questioned the inclusion of Rs. 669 million in capacity charges that had not been approved by the PUCSL, as well as a further Rs. 1,069 million to repay loans relating to incomplete projects.

Including such charges in the proposed tariff revision was unjustifiable, he said.

The PUCSL has given the public until October 30 to submit their views on the proposed tariff revision.

Dhammika said the possibility of increased hydropower generation in the coming weeks, as reservoir levels rise, should also be taken into account when determining electricity tariffs.

He maintained that tariffs could be reduced by 3 to 5 percent if hydropower generation was properly assessed and coal-related losses and unapproved charges were excluded from the calculations.

He further claimed that electricity tariffs could be reduced by as much as 10 percent through the promotion of renewable energy and the effective use of solar power and battery storage systems.

The Electricity Consumers’ Association urged the Government to withdraw the proposed tariff increase, insisting that consumers should not be made to bear costs arising from coal supply problems and other disputed charges.

By S.K. Samaranayake

Most Ven. Warakagoda Sri Gnanaratana Mahanayake Thera of the Asgiri Chapter has called for the immediate release of Ven. Galagodaaththe Gnanasara Thera, who is currently serving a prison sentence, following a court ruling.

The Asgiri Mahanayake made the appeal when a delegation of senior prison officials, including Assistant Commissioner of Prisons and Director of Operations Senaka Pallegedara, called on him on the 16th.

During the meeting, the prelate warned that the continued incarceration of Ven. Gnanasara Thera could lead to a volatile situation and cause public agitation.

Responding to the appeal, the prison officials informed the Mahanayake Thera that the authority to order the release of Ven. Gnanasara Thera did not rest with the Prisons Department but with the President.

Other senior prison officials, including Rajeev Srimal Silva, Sampath Warnakulasooriya and Mangala Welivita, were also present at the meeting.