Kanchana must go, say CEB engineers

The Ceylon Electricity Board Engineers’ Union (CEBEU) called for the resignation of Minister of Power and Energy Kanchana Wijesekera, claiming he is unwilling to enter into discussions with stakeholders in order to resolve the issues pertaining to the revision of electricity tariffs, that he is acting in violation of the Electricity Act and the Public Utilities Commission of Sri Lanka (PUCSL) Act, and that he is causing the downfall of independent power producers and non-conventional renewable energy power producers by not securing their payments.

Speaking to the media last morning (3), CEBEU President Nihal Weeraratne explained that the same mechanism that was followed for the August 2022 tariff revision should similarly be followed in this instance, adding that Wijesekera should refrain from formulating his own policies in approving a tariff hike that violates the law, and therefore urged the Government to appoint a subject minister who could discuss the prevailing energy crisis with the stakeholders in order to arrive at a suitable solution. 

“In August 2022, we implemented a 75% increase in electricity tariffs. It was achieved after the CEB submitted a total of four proposals to the PUCSL. While analysing these proposals, the PUCSL also took the situation of the country into consideration and the public’s capacity to bear the tariff increase, and also held a public consultation to gather the ideas of the consumers; only thereafter did it approve a tariff revision. Before the tariff revision came into effect, he also summoned us and explained to us that the increase of 229% that was proposed by the CEB was not possible, and that the consumers would be unable to bear it alongside their other expenses. Senior officials of the CEB also joined this discussion, and although they were not too happy with the decision, they accepted it. 

“Just as in the procedure followed during the August revision, we need to have a valid reason for our request for a revision, and should submit our proposals to the PUCSL with the necessary data and hold discussions with them. We understand that the PUCSL has to take into account the consumers, the CEB, and the country’s economy. Wijesekera should intervene in this matter; not create his own policies, assert his power, and disregard the regulator,” Weeraratne said.

He thus called on President Ranil Wickremesinghe to replace Wijesekera with a more suitable candidate to facilitate a smoother relationship between all parties involved.

“The Government, the PUCSL, and the CEB should come together and discuss this issue to resolve it in a fair manner. We ask the Government to appoint a minister with whom we can participate in this discussion. We ask for a minister who can converse effectively and resolve this issue together with the PUCSL, the CEB, and the Government. We need a flexible minister who will not label those who speak out as terrorists. We don’t have any weapons; we are armed with knowledge. We can’t help it if those who label us terrorists are not armed with such. So if the President can appoint a suitable minister, we can bring these issues to the table and be able to arrive at a favourable decision.”

He also emphasised that Wijesekera spoke against a tariff increase back in August 2022, claiming that the CEB was seeking a tariff hike to increase the salaries of its employees. 

“The Power and Energy Ministry was against the previous tariff increase back in August 2022. When we asked for approval to increase the electricity tariffs, Wijesekera said that we were attempting to increase the salaries of the CEB employees. Even then, the 229% increase was requested for a valid reason, but Wijesekera, who had no clue about these matters, made such a statement. But now, Wijesekera is going against all the laws and is prepared to implement an arbitrary electricity tariff increase. We don’t have to ask that Wijesekera be replaced if he doesn’t label us terrorists and enters into a discussion with us. If the Minister was the type of person with whom we can discuss, then, back in August, Wijesekera should have spoken to us. But Wijesekera made no such move; instead, he said it wasn’t necessary.”

Speaking further, Weeraratne requested the Cabinet of Ministers to discard the proposal for the electricity tariff hike submitted by Wijesekera. 

“We remind Cabinet that this country has a law. If there needs to be a change or a revision in the tariffs, there is an Electricity Act and the PUCSL Act that should be followed. The PUCSL, as an independent commission, has a mechanism to follow according to the relevant Act. Therefore, the tariff revision should be done in line with this. But Wijesekera violated this law. We ask the Government to please shred and discard this proposal.”

Speaking of the payments due to independent power producers and non-conventional renewable energy power producers, he stated: “Wijesekera is threatening the CEB to pay the Ceylon Petroleum Corporation (CPC) for the fuel used for power generation through the former’s revenue. But we have to pay the independent power producers, non-conventional renewable energy power producers, and the latter power plants for power generation. If I were the Minister, I would ask them to pay these people, because they are operating on bank loans. They have to settle their debts. This will only lead to the collapse of the local industries, in turn allowing foreign players to enter. A minister who cannot foresee this should not remain in this position a day longer.”

The Cabinet paper on the proposed increase of electricity tariffs was submitted by Minister Wijesekera to the Cabinet at Monday’s (2) Cabinet meeting, following which the Cabinet postponed the consideration of the controversial Cabinet paper to next week’s meeting. Wijesekera noted in a Twitter message that he had briefed the ministers on the requirements, the proposed tariff structure, the energy forecast, and the finances.

“The proposed electricity tariff revision was discussed at the Cabinet meeting held on Monday. One week was extended to the Cabinet for their observations on the proposals,” he added.

The proposed electricity tariff hike has proven to be highly controversial, with trade unions, electricity consumers, the Buddhist clergy, and the PUCSL voicing their opposition.

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