Sri Lanka achieved remarkable progress in developing its power sector.
The national electrification ratio grew from 29% in 1990 to an estimated 94% in 2012. Power supply is stable, and power cuts ar...
e very limited.
The cost of electricity supply is, however, high. Moreover, tariffs do not reflect full costs or adjust according to an automatic mechanism.
The average cost of electricity generation is currently around SLRs21.0 per kilowatt-hour while the average selling price is SLRs16.4. The CEB’s estimated loss of SLRs65 billion in 2012 occurred even with fuel supplied by Ceylon Petroleum at less than full cost. The CEB relies on bank loans to cover its operating costs. In January 2013 the regulator for the sector,
the Public Utilities Commission began preparing an assessment of CEB’s costs toward revising electricity tariffs based on a formula. The share of thermal power increased from 6% in 1995 to 60% during 2008–2012, as demand growth was met by oil-fired generation (Figure3.21.11). The growing reliance on oil-fired plants, higher oil prices, and the delayed construction of new hydropower plants have significantly pushed
up the cost of generation.
Sources : Ceylon Electricity Board Sri Lanka
- http://www.ceb.lk/sub/other/egy.aspx, Ministry of Power & Energy of Sri Lanka - http://www.powermin.gov.lk/
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