Sri Lanka raises electricity tariffs for third time this year

Responding to opposition criticism that the purchase of low-quality coal to generate power and its resultant loss are passed on to consumers, the Commission said it had directed the National Systems Operator NSO of electricity not to include the cost of coal in tariff revisions.

Sri Lanka has raised electricity tariffs with effect from Monday, authorities announced, marking the third hike since the start of this year. The Public Utilities Commission said the rates applicable to consumers who use more than 180 units would go up by 18 per cent. This becomes the third rate increase since January 2025, when a 15 per cent hike took place. In April, a 7-8 per cent rate hike was implemented. ''This special tariff revision has been made on the cost estimates provided by the National Systems Operator on 28 April,'' the state regulator said in a statement. The Commission, however, said that 95 per cent of consumers won't be affected by the latest hike as they consume less than 180 units per month. Responding to opposition criticism that the purchase of low-quality coal to generate power and its resultant loss are passed on to consumers, the Commission said it had directed the National Systems Operator (NSO) of electricity not to include the cost of coal in tariff revisions. The coal purchases forced the resignation of the then energy minister in April and led to the appointment of a high-powered presidential probe on coal imports. The statement added that NSO would be subject to legal action for failing to comply with the order to enter into contracts to purchase fuel at reasonable rates to generate power. PTI CORR GRS GRS