- Downward tariff revision expected in early 2024
With Sri Lanka’s hydropower reservoirs fully capable of handling its present energy requirements, consumers can expect a downward revision of electricity tariffs in the first quarter of the new year, The Sunday Morning learns.
As of Friday (29), the total storage capacity of hydropower reservoirs stood at 97.8%, with the capacities of Victoria and Randenigala Reservoirs at 100%.
According to the Ceylon Electricity Board (CEB), the storage capacities of Castlereigh, Maussakele, Kotmale, and Samanalawewa were recorded at 99.2%, 96%, 95.3%, and 95.2%, respectively.
Speaking to The Sunday Morning, CEB Spokesperson Deputy General Manager Noel Priyantha said that the country currently possessed a satisfactory level of hydropower capacity.
“We have experienced rains recently, so we have capacity at reservoirs, with 1,218 GWh currently stored. We can start 1 January with close to 2,200 GWh.”
He noted that Friday’s power generation stood at 42.67 GWh, out of which the contribution of hydropower generation to the total energy requirement of the country was at 60.69% for major hydro and 8.37% for mini hydro.
Meanwhile, thermal, solar, and wind power generation was recorded at 21.22%, 4.63%, and 4.32%, respectively.
He added that they were anticipating the addition of the 120 MW Uma Oya hydropower plant to the system in 2024.
Priyantha further noted that once the CEB data was collected by the year end, the board would prepare its proposal for 2024 to present to the Public Utilities Commission of Sri Lanka (PUCSL), which would in turn provide the next tariff revision: “By 10 January we will receive all the interim account figures, and based on that we will prepare the 2024 despatch programme.”
He revealed that the next tariff revision was anticipated to be a downward revision: “The next PUCSL tariff revision will likely be a downward revision given the recent rains.”
As a result, he noted that customers were likely to feel relief in the first quarter of the year: “The hydro inflow of the last three months has eliminated the use of some high cost thermal power, so that benefit will be felt in 2024, and we are anticipating a tariff reduction for this period.”