Business
The Darker Side and the Light at the end of the Energy Tunnel

Eng Parakrama Jayasinghe
Those of us who were hoping for some sanity to emerge in the energy sector were given a severe jolt on Dec. 15 on reading the press release from the Presidential Secretariat, presumably after the Presidents meeting with the Ministers and senior officials of the energy sector. This stated that His Excellency had given instructions to develop action plans to achieve the target of 70% contribution to the electricity sector by 2030 using Hydro, Solar Wind and LNG resources.
This was indeed a shock, as this portends an attempt to constrain the space available for the future development of true renewable energy, thus scuttling the President’s declared target.
Fortunately, good sense has prevailed and an amended press release appeared next day without the reference to LNG as part of the 70% R E Target by 2030. It is also a matter of comfort to listen to the recordings of the above meeting, where the president was very clear in his instructions citing only Hydro, Wind and Solar as the renewable energy sources. But it is a matter of concern to us why Bio Energy which has none of the impediments of Solar and Wind, but has multiple spin off benefits, and has all the attributes of a source of firm power available 24/7 throughout the year, continues to be ignored. Fortunately there is an interest to accelerate the implementation of the many stalled renewable energy projects, thus setting the country on the correct path.
Role and Acceptability of LNG
Natural Gas is certainly not a renewable energy resource. But is it a “Clean” source of energy? Certainly it is a lot “Cleaner” than both coal and oil and is free from some most toxic components such as sulfur, lead, mercury and a plethora of heavy metals and radioactive nucleoids present in coal. But it will certainly emit
* 50% of carbon emissions compared to Coal not zero carbon as in case of Solar and Wind
* Significant amounts of Oxides of Nitrogen
* Potential fugitive emissions of Methane prior to combustion which is 23 time more potent than Carbon Dioxide.
In Sri Lanka’s context, what is even more important is the fact it is an imported resource subject to the vagaries of price fluctuations and the parity rate of exchange, continuing to compromise our energy security. LNG is the lesser evil, and in the light of the CEBs reluctance accept the vast strides in technology which has made it possible for both wind and solar to be upgraded to firm sources of electricity generation, and due to the lack of any significant additions to the generation capacity for over five years, limited use of Natural Gas may have to be viewed as an interim option.
Questions Needing Urgent Answers
However, a very severe uncertainty of the source and the means of supplying the LNG necessary to operate the 300 MW LNG plant remains unresolved, and appears to be ignored, according to the information available to the general public. Sri Lanka escaped a potential disaster by not proceeding with an unsolicited proposal to set up a Floating Storage and Re-gasification Unit (FSRU) and a contract to supply LNG for 20 years on terms totally disadvantageous to us. But the million dollar questions remains unanswered:
1. What is the means of supplying LNG to the proposed 300 MW power plant at Kerawalapitiya?
2. Under whose control will such supplies, presumably from an FSRU operate, and which is the location chosen?
3. If the gas supplies are not available by the time the power plant is commissioned, will the plant be operated with diesel or some other oil and for how long?
4. What will be the extra cost of using such alternate fuels and who will bear the extra cost above the tendered price of Rs 14.85 per unit?
5. In the absence of any plans of resolving such issues, is the government still pursuing options for more LNG plants with India and Japan and now with the USA?
With such a plethora of unanswered questions, even assuming that Sri Lanka will be obliged to proceed with the first 300 MW LNG plant, at least as a means of avoiding any more ruinous emergency power options, isn’t it time to take a very close look at the need or the justification for any further use of LNG ?
As usual Sri Lanka has missed the bus in this instance too. If the first LNG plant was initiated and a viable means of supplying the LNG was initiated in 2016, we could have avoided depending on emergency power for at least two years up to now, and it would have improved the space for greater level of integration of Solar and Wind to the national grid and the consequent reduction of the huge losses incurred by the CEB annually.
Hope for the Future
But on a happier note, the world did not stand still, and technologies are now available to iron out variability and seasonal and diurnal nature of wind and solar energy . For example the State Minister is keen to launch the 100 MW Solar park at Siyambalanduwa and a further 100 MW of solar and 150 MW of wind power in Pooneryn very early. It is very likely that all these projects will generate electricity at costs less than Rs 10.00 per unit. Therefore the addition of adequate battery storage is feasible to at least serve the peak loads as well as to make them sources of firm power. The resultant cost may not surpass the Rs 14.85 per unit expected from the LNG plant.
A place for Prosumers and Electricity as a National Industry
In addition the innovative program of State Minister Duminda Dissanayake to provide 5 kW rooftop solar systems to 100,000 Samurdhi recipients without burdening the treasury is a major paradigm shift in the electricity sector whereby the smallest level of consumer becomes a generator of electricity for his own consumption with a significant surplus and thus becomes a PROSUMER whereby the Electricity Industry becomes a contributor to the GDP instead of being a mere facility for other sectors to grow. With a total of 1.6 Million Samurdhi recipients, the future potential for growth of this program is immense
As a further step in this direction the program to install micro Solar Parks of 100 kW linked to 10,000 distribution transformers will make the Electricity generation a national industry adding further to the GDP. These two programs would add 1,500 MW of Solar PV and create vast employment opportunities.
We earnestly request Minster Dulles Alahapperuma and State Minister Duminda Dissanayake to very seriously evaluate this possibility. This will enable the president to plan for the next goal of 100 % RE
E Mail parajayasingle@gmail.com
Business
CBSL committed to ‘forward-looking and data-dependent approach’ in policy making

The Central Bank remains vigilant to global trade and geopolitical risks, pledging a “forward-looking and data-dependent approach” to future policy decisions, Central Bank of Sri Lanka Governor Dr Nandalal Weerasinghe said.
The Governor said that the Central Bank has decided to keep its policy rate unchanged at 8.00 percent, stating that the current monetary stance will help stabilise inflation.
“This will also support economic growth. The decision was made following the latest review by the Monetary Policy Board, Dr. Weerasinghe told the post-CBSL monthly monetary policy review press conference yesterday held at Central Bank head office in Colombo.
He said that the CBSL board reached this decision after carefully considering domestic and global developments.
Dr. Weerasinghe added: “Inflation remains negative at present, mainly due to repeated reductions in electricity tariffs and fuel prices. However, deflationary conditions are expected to ease from March 2025, with inflation projected to turn positive by mid-2025 and reach the 5 percent target by the end of the year.
“The board remains confident that the prevailing monetary policy stance will ensure inflation moves towards the target of 5 percent while supporting domestic economic growth.
“Foreign inflows to the securities market have risen recently reflecting improved confidence. Increased net foreign purchases by the Central Bank and the receipt of the fourth tranche of the IMF-EFF programme helped increase official reserves enhancing resilience. The Sri Lankan rupee has seen a marginal depreciation thus far in 2025.
“Sri Lanka’s economy showed strong recovery in 2024 after two years of contraction, with key indicators pointing to continued growth. Market interest rates have continued to decline in line with the eased monetary policy stance. Further, robust private-sector credit flows are expected to support domestic economic activity.”
By Hiran H Senewiratne
Business
Unilever Sri Lanka shines at SLIM-Kantar People’s Awards 2025

Unilever Sri Lanka, one of the country’s largest FMCG companies, was once again recognized across multiple categories at the SLIM-Kantar People’s Awards 2025. These accolades, based on public votes, reflect the deep trust and confidence Sri Lankan consumers have in Unilever’s brands-a legacy built over 87 years.
This year’s recognitions included ‘Laundry Care Brand of the Year’ for Sunlight, ‘Household Cleaner Brand of the Year’ for Vim, ‘Skincare Brand of the Year’ for Vaseline, ‘Haircare Brand of the Year’ for Sunsilk, and ‘Oral Care Brand of the Year’ for Signal.
Shamara Silva (Marketing Director – Beauty & Wellbeing and Personal Care) stated: “We are truly humbled by this recognition which highlights our efforts to build trust, loyalty, and strong emotional connections with Sri Lankan consumers and become a part of their daily lives. Guided by our purpose to ‘Brighten Everyday Life for All,’ we remain committed to understanding and meeting evolving consumer needs with the highest quality products.”
Imeshika Kariyawasam (Marketing Director – Home Care & Nutrition) stated, “This is an incredibly meaningful achievement because it reflects the voice of the people. Our consumers have always been at the heart of everything we do, and we are deeply grateful for their continued trust and confidence in our brands.”
Unilever Sri Lanka not only delivers superior innovations that meet international quality standards but also focuses on building purpose-driven brands that create a positive impact on society and the environment. Sunlight, the flagship brand of Unilever Sri Lanka, prioritizes strengthening bonds among the diverse communities in the country as seen in nationwide initiatives such as ‘Manudam Viyamana’. Signal’s Sina Bo Wewa campaign has been instrumental in raising awareness and improving oral health standards in Sri Lanka. Sunsilk focuses on building girls’ confidence to thrive beyond limitations, with hair that always looks and feels amazing. Its much-acclaimed Sunsilk Hadakari Program held across many parts of the island, is a vibrant celebration of hair care innovation and style, catering to both consumers and salon professionals. Vim has taken on a purpose to change society’s perspective to see women’s role beyond that of a homemaker. Vaseline is committed to understanding and supporting all types of skin, so one can live without limits.
Business
Nestlé brands NESCAFÉ and MAGGI win at the SLIM-KANTAR People’s Awards 2025 for the fourth consecutive year

Nestlé’s household favourites emerged victorious once again at the SLIM-KANTAR People’s Awards 2025 taking home two awards. NESCAFÉ was voted People’s Hot Beverage Brand of the Year while MAGGI was the joint-winner for People’s Snack Brand of the Year respectively for the fourth consecutive year. Organized by the Sri Lanka Institute of Marketing (SLIM), the SLIM-KANTAR People’s Awards is widely considered as one of the most prestigious awards ceremonies in the country, rewarding brands and personalities that are closest to the hearts of Sri Lankans.
Loved by Sri Lankans for its distinct aroma and rich taste, NESCAFÉ is made with the goodness of 100% pure coffee beans to create great coffee experiences that make life better. Made using Sri Lankan spices and the finest ingredients, the tasty goodness of MAGGI noodles has been a household favourite by Sri Lankans for over 40 years.
Sharing his thoughts, Bernie Stefan, Managing Director of Nestlé Lanka said “Winning the People’s Awards for the fourth-year running is a testament to the deep connection our brands have forged with Sri Lankan consumers. This recognition not only highlights the unwavering dedication and relentless efforts of the teams behind NESCAFÉ and MAGGI but also underscores our commitment to consistently delighting our consumers. We are truly humbled by these accolades and remain steadfast in our mission to deliver products of the highest quality. For over 118 years, we have prioritized the needs and preferences of our consumers, and their love, trust, and loyalty are instrumental in driving our success.”
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