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Preventing power cuts from becoming power crisis 

10 Jan 2022

The Ceylon Electricity Board (CEB) is now officially permitted to impose power cuts if it wishes to do so, depending on the necessity, and the coming few months could therefore turn into a torrid time for electricity consumers. This permission was granted by the main state utility regulator, the Public Utilities Commission of Sri Lanka (PUCSL), in a context where the CEB is struggling to manage the provision of electricity as it used to. One issue that prompted the CEB to consider power cuts is the mammoth losses it has been suffering during the past few years, and the billions of rupees it still owes institutions such as the Ceylon Petroleum Corporation (CPC). Sri Lanka’s power sector is one of the sectors that caused massive controversies over the recent past, especially due to allegations of unlawful and unfavourable deals such as the controversial Yugadanavi Power Plant deal as well as allegations of large-scale irregularities, including favouritism and the receipt of illegal commissions within the CEB. At the same time, Sri Lanka has seen countless disputes among topmost CEB officials and CEB trade unions and the political authorities. However, regardless of this locking of horns and allegations, what the electricity consumers want is an uninterrupted, reasonably priced supply of electricity, and to do that, it is important that the CEB and the Power Ministry take its responsibilities seriously. They must understand that preventing crises is as equally important as managing the existing crises within the power sector, and that both these tasks are their responsibilities. Moreover, learning a lesson from the country’s present situation, this could also be high time for those authorities to pay attention to getting the most out of cheap, available power generation methods including wind, solar, and hydro, of which Sri Lanka has no shortage. At the same time, to prevent a future crisis, the authorities need to take policy decisions to not choose outdated power generation methods such as those based on coal and also methods that depend on imported fuel such as fossil fuel. However, most power generation methods Sri Lanka has opted for have cost Sri Lanka a fortune. The best examples are the fact that the CEB suffers losses of about Rs. 50-60 billion a year, and that the CEB has been asked to pay the CPC Rs. 18 billion as soon as possible. Further, there is a certain hesitancy about switching to renewable energy and steps aimed at promoting such seem to be moving at snail’s pace. The bottom line is, the prevailing trying times should be a lesson for the power sector, and its continuous failures, losses, concessions, disputes, and irregularities will add to its burden, which will ultimately affect all sectors. Moreover, the CEB having to opt for power cuts, even though unacceptable, is understandable. However, the way it was implemented during the past few weeks is highly questionable. While there were a number of power disruptions which the CEB called power outages, the public have questioned whether these power outages were in fact power cuts. The fact that the CEB announced official, controlled power cuts after the people had already experienced several abrupt power disruptions was also disapproved of by electricity consumers. In this context, regardless of the reasons, if the CEB genuinely has to opt for power cuts, it has to see to it that this process is as systematic as possible, and that the public is apprised of the exact time, duration, and date of such power cuts. More importantly, these announcements need to reach the people on time, preferably, at least a day in advance, in order to help electricity consumers to get ready for such power cuts. Such measures are extremely necessary if the CEB has to or is planning to impose power cuts more regularly. Even though the CEB has stated that it is not planning to impose power cuts unless it really has to, it does not rule out the possibility of power cuts when necessary. The people should be ready. Electricity is an essential service, and any Government naturally pays more attention to essential services. It is also due to this service being an essential service that the Government has had to continue its operations despite unbearable losses and debts. However, due to the fact that the authorities have a habit of prioritising temporary and easy measures over long-term and effective measures, the impacts of the Covid-19 pandemic and economic issues the pandemic has entailed have affected the sector more than they should. It is high time that Sri Lanka pays due attention to the power sector, and takes decisions not for tomorrow, but for the next generation. 


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