CEB mulling tariff revision

Wasantha Ramanayake

COLOMBO: The Ceylon Electricity Board (CEB) was contemplating a tariff revision on par with the diesel price increase, a Power and Ministry official said.

The official said that the Ceylon Petroleum Corporation (CPC) had decided to increase the price of diesel from Rs. 60 to Rs. 63 per litre. As a result the CEB was compelled to increase the electricity tariff accordingly.

He added that the CEB had purchased a litre of diesel at Rs. 55 when the market price was Rs. 60 and likewise a furnace oil litre was purchased at Rs. 40. The CEB was selling a unit of electricity to the consumers at Rs. 10.80 bearing a two rupees loss, the actual production cost being Rs. 12.80.

The official further added that the CEB was daily incurring fifty seven million rupees due to the subsidy given to the consumers and that the contemplated increase by the CPC would further swell the loss of the CEB, which compelled the CEB to consider a tariff revision, he said.