• State Finance Minister says economic recovery in jeopardy due to a few individuals
• Janaka Ratnayake says willing to meet and discuss any issues with IMF

State Minister of Finance Shehan Semasinghe claimed yesterday (12) that the conduct of Public Utilities Commission of Sri Lanka (PUCSL) Chairman Janaka Ratnayake is contributing to the delay in Sri Lanka obtaining the International Monetary Fund’s (IMF) Board-level approval for the $ 2.9 billion Extended Fund Facility (EFF).

Speaking to The Daily Morning, Semasinghe said: “We can see that a few individuals, I don’t know for what reason, are trying to jeopardise the economic recovery. One example is the behaviour of the PUCSL Chairman (Ratnayake). He has become a big obstacle to the unlocking of the IMF bailout package. One individual acting in this manner puts the entire country into a serious situation.”

The Government, led by President and Minister of Finance, Economic Stabilisation and National Policies Ranil Wickremesinghe, and the Minister of Power and Energy Kanchana Wijesekera, has been at loggerheads with the industry regulator, the PUCSL, and especially its Chairman Ratnayake for months. The main reason has been the latter’s vocal opposition to the tariff hike proposed by the Government. Ratnayake has also noted the lack of legal provisions for an interim tariff revision, and also for a tariff revision that has retrospective effect.

Semasinghe claimed that the public should be vigilant about these individuals as the Government’s priority is to engineer a recovery of the economy.

“The Government in power should ensure that the economy is brought back to a stabilised situation. If people are blocking these, I think the public should be vigilant of those people. For us to engage in politics there should be a country and people left,” he said.

However, when contacted by The Daily Morning yesterday, Ratnayake stated that independent commissions were empowered to make decisions based on facts and figures and that he was willing to discuss the matter with the IMF, if necessary.

“The tariff revision will take place as scheduled and will be done scientifically. If the IMF has any issues, they can come and discuss the matter with us. This is the only institution among the failed and mismanaged State Owned Enterprises such as the SriLankan Airlines, Water Board, etc. which has looked at a electricity tariff revision positively twice. What is the IMF's view on other institutions such as SriLankan Airlines or Ceylon Petroleum Corporation? What have they done? We increased the tariff in August 2022 and will once again revise it in the next 2-3 days. Unlike any other institution, the officials at the PUCSL have been working 24 hours to revise the tariffs. This is the commitment we have.”

Speaking further, Ratnayake noted that with last year’s tariff increase and the impending tariff revision, the annual income for the CEB will be equivalent to $ 1 billion. 

Speaking of the electricity tariff revision due to be announced this week, Ratnayake commented: “Everyone will be surprised and pleased – the CEB and electricity consumers included.”