News
Suspension of costly private power purchase, Covid give relief to CEB
‘Quite baffling Rs 2.8 bn standing charge, Rs 300 mn rent undermined state enterprise’
By Shamindra Ferdinando
The suspension of power purchases from three Independent Power Producers (IPPs) namely Ace Power Matara (20 MW), Ace Power Embilipitiya (100 MW) and Asia Power Sapugaskanda (50 MW) had contributed to the improvement of the financial situation at the CEB, authoritative sources told The Island.
Sources said that the CEB had suspended the agreements on 01 March pending re-negotiation with IPPs as it was felt the annual standing charge alone for three power stations amounted to Rs. 2.8 bn was unfair by the procurer. The decision had been taken at the behest of the then Power Minister Dullas Alahapperuma, who relentlessly pushed for measures required to ease the burden on the cash-strapped state enterprise, sources said, adding that the increase in hydropower output that automatically lessened the country’s dependence on private diesel plants and a significant drop in the demand for electricity due to the crisis caused by the raging Covid-19 epidemic had eased pressure on the CEB. The electricity regulator (PUCSL) is having negotiations with IPPs to finalise approval of a four-year extension of contracts.
Sources said that during Alahapperuma’s tenure as the Power Minister the government had taken the furnace-oil fueled power plants off the national grid, thereby greatly reducing toxic fumes emitted by them.
The three IPPs had strongly pushed for extensions on the basis that being furnace-oil-fired, they were much cheaper for the CEB than auto-diesel-powered plants.
The PUCSL didn’t respond to The Island query regarding the status of CEB’s agreements with Asia Power and ACE Power Embilipitiya as well as Matara? The PUCSL also didn’t explain its role in the discussions with the IPPs.
Gamini Lokuge, last wee, replaced Alahapperuma as the Power Minister, in a mini-cabinet re-shuffle. Alahapperuma received the media portfolio. Sources said that in spite of the ministerial change the Power Ministry was expected to continue with Alahapperuma’s initiatives to curb waste, corruption and other irregularities.
Sources said that two days after Alahapperuma’s exit, the ministry had launched a major building project at Narahenpita to bring all its offices located at different places under one roof. Sources said that the government spent staggering Rs 300 mn annually on renting 37 buildings in Colombo and its suburbs.
Power Ministry spokesperson Sulakshana Jayawardana was not immediately available for comment.
Sources said that though the government had suspended major construction projects due to severe financial constraints, the then power minister Alahapperuma had received the go ahead from Cabinet for the Narahenpita project after he had explained the long-term benefits of it.
Alahapperuma was shifted from the Power ministry to the Media portfolio the day before he was to complete one-year there. Several weeks before the Cabinet reshuffle, CEB Chairman Eng. Vijitha Herath was replaced by M.M.C. Ferdinando. Ferdinando served as the Secretary to the Ministry of Power and Energy during President Mahinda Rajapaksa’s tenure.
Major changes took place at the Power ministry in spite of significant improvements at the ministry with the CEB making a profit in the second quarter since 2010.
News
PM holds High-Level meetings with EU, UNDP, and corporate leadership at World Economic Forum
Prime Minister Dr. Harini Amarasuriya held a series of high-level bilateral meetings on Wednesday [January 21] on the sidelines of the World Economic Forum in Davos, Switzerland, engaging with representatives of the European Union, the United Nations Development Programme, and the global private sector.
The Prime Minister met with Hadja Lahbib, European Commissioner for Preparedness and Crisis Management. During the meeting, she expressed Sri Lanka’s appreciation for the support extended by the European Union and its member states following Cyclone Ditwa. The Prime Minister also briefed the Commissioner on the key findings of the World Bank’s GRADE report and requested continued EU support for Sri Lanka’s development and recovery efforts.
Prime Minister Amarasuriya also met with Alexander De Croo, representing the United Nations Development Programme. She expressed appreciation for the longstanding partnership between Sri Lanka and the United Nations and acknowledged the UN’s support in flood relief and livelihood assistance. The Prime Minister noted that, following the mandate received at the parliamentary election, the government is focused on meeting public expectations through national rebuilding grounded in public trust and good governance. She further reaffirmed the Government of Sri Lanka’s commitment to strengthening social protection systems and safeguarding vulnerable communities.
In addition, the Prime Minister met with Robert M. Uggla, Chairman of A.P. Moller Holding. The discussion focused on engagement with the private sector and potential areas of collaboration.
These meetings reflected Sri Lanka’s continued engagement with international partners and global stakeholders to support recovery, development, and long-term economic stability.
[Prime Minister’s Media Division]
News
Opposition slams sitting HC judge’s appointment as Justice Ministry Additional Secretary
… alleges Prez trying to control judiciary
Opposition grouping ‘Mahajana Handa’ has accused President Anura Kumara Dissanayake of trying to exercise control over the judiciary by appointing a sitting High Court judge as Additional Secretary to the Justice and National Integration Ministry.
Addressing the media at Dr. N. M. Perera Centre, Punchi Borella, on Tuesday (20) top Opposition spokesman and former External Affairs Minister Prof. G. L. Peiris warned the High Court judge D.M.D.C. Bandara’s appointment was nothing but a direct executive intervention in the judiciary.
Responding to The Island queries, Prof Peiris asked how the government could compel courts to deal with a sitting judge who functioned as Secretary to the Justice and National Integration Ministry.
Prof. Peiris explained that the latest move by the Executive should be examined taking into consideration the attacks on Attorney General Parinda Ranasinghe Jr, PC., the deliberate delaying of the appointment of Auditor General and the controversy over the process of promotions of Judicial Officers, Judges of the High Court and the Court of Appeal in Sri Lanka. Prof. Peiris pointed out that the Bar Association of Sri Lanka (BASL) had raised those controversial promotions with President Anura Kumara Dissanayake.
D.M.D.C. Bandara, Senior Assistant Secretary, Judicial Service Commission, was among altogether 18 High Court judges appointed by President Dissanayake in early Sept this year. The group consisted of 17 Special Class Judicial Officers and a Senior State Counsel serving in the Attorney General’s Department.
Referring to a recent meeting ‘Mahajana Handa’ representatives, including him had with the Mahanayake theras of the Asgiriya and Malwatta Chapters in Kandy, Prof. Peiris said that they had received the blessings of the Mahanayakes to go ahead with what he called a programme of action meant to address major issues.
Prof. Peiris said they would initiate talks with other like-minded political parties and groups in this regard soon. Referring a protest held at the Hulftsdorp on Wednesday (21) demanding the removal of the AG Ranasinghe, Prof. Peiris emphasized that the government’s hand in that demonstration was very clear. President Ranil Wickremesinghe appointed him as the AG in July 2024 with the unanimous backing of the Constitutional Council.
Prof. Peiris said that action was yet to be initiated to appoint new civil society representatives to the Constitutional Council. That issue hadn’t received sufficient public attention, Prof. Peiris said, urging President Dissanayake to come down from his high horse.
Asked whether the President could appoint a sitting judge as an Additional Secretary to a Ministry without consulting the Chief Justice and President of the High Court Judges Association, sources familiar with the issues at hand said that certain appointments could be made on secondment. However, that has to follow the proper procedure, sources said.
The Island sought a response from the Justice and National Integration Ministry to the accusations made by Prof. Peiris on behalf of ‘Mahajana Handa,’ but did not receive one until this edition went to press.
By Shamindra Ferdinando ✍️
News
Largest narcotics haul in SL history seized last year: Police Spokesman
The largest narcotics haul in Sri Lanka’s history was seized last year, according to Police Media Spokesperson and Assistant Superintendent of Police F.U. Wootler.
Addressing a media briefing at the Department of Government Information at Narahenpita on Wednesday (22), ASP Wootler said nationwide operations carried out under Operation Ratama Ekata had helped curb the spread of illicit drugs.
He said police taken into custory 10,871 kilos of heroin, cannabis, ice, hashish and cocaine in 2024, while seizures rose sharply to 23,692 kilograms and 307 grams in 2025.
by Norman Palihawadane ✍️
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