The Public Utilities Commission of Sri Lanka (PUCSL) has decided that electricity tariffs will remain unchanged for the third quarter of 2026, despite rising generation costs.

Issuing a statement, the PUCSL said the decision follows a review of cost estimates submitted by the National System Operator Company (14500). 

PUCSL said the increase in supply costs is limited to 0.3 percent (Rs. 417 million), making a tariff revision unnecessary. The tariff system applied in the second quarter will continue.

According to PUCSL, the first‑quarter revenue surplus of Rs. 30,118 million, which included additional coal‑related generation costs later excluded from tariffs, has been carried forward, leaving a balance of Rs. 26,753 million. When added to the estimated third‑quarter supply cost of Rs. 159,274 million, the total cost amounts to Rs. 186,027 million.

Revenue for the quarter, based on current tariffs, is calculated at Rs. 156,244 million. PUCSL noted that additional income sources, including the Rs. 6,943 million profit from 2025, government subsidies of Rs. 9,650 million for consumers, and Rs. 17,213 million for the National System Operator’s operations, bring total revenue to Rs. 185,610 million.

With the cost exceeding revenue by only Rs. 417 million, PUCSL concluded that no tariff hike is required for the quarter. (Newswire)

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President Anura Kumara Dissanayake announced that the government has decided to provide relief to electricity consumers who use less than 90 units. 

Addressing the Parliament today, he said the concession will be provided during the next electricity tariff revision. 

The President further said that the government will bear the cost for the next three months. 

The decision has been taken due to the increase in fuel prices and the prevailing dry weather conditions, which require the use of thermal power plants for electricity generation, he said. 

The President revealed that the government has allocated Rs. 15 billion for this purpose. 

President Anura Kumara Dissanayake disclosed the information while briefing the Parliament on the special relief package introduced by the government, amidst the impacts of the conflict in the Middle East region. (Newswire)

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The Public Utilities Commission of Sri Lanka (PUCSL) has announced a revision of electricity tariffs for the second quarter of 2026, with increases varying based on monthly electricity consumption.

According to the revised rates, consumers using up to 30 units per month will see a 4.3 per cent increase, amounting to approximately Rs. 15.

Households consuming between 31 and 60 units will face a 6.9 per cent increase, equivalent to about Rs. 45, while those using 61 to 90 units will also see a 6.9 per cent increase, translating to roughly Rs. 120.

Consumers in the 91 to 180 unit category will experience a 7.2 per cent increase, amounting to around Rs. 420.

Meanwhile, users consuming more than 180 units per month will see the highest increase, with tariffs rising by 25 per cent.

The PUCSL said the revision applies to the second quarter of 2026, with the adjustments introduced based on prevailing costs and sector requirements. (Newswire)

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The Public Utilities Commission of Sri Lanka (PUCSL) is scheduled to announce its final decision on electricity tariff revisions for the second quarter of 2026 at 2.00 pm today (30).

The announcement follows the conclusion of the public consultation process, which gathered islandwide feedback, including a final session held in the Western Province.

The PUCSL is currently reviewing a proposal submitted by the Ceylon Electricity Board (CEB) on February 13, seeking a 13.56% increase in electricity tariffs for the April–June period. 

The CEB cited a projected revenue shortfall of Rs. 15.8 billion, with total supply costs estimated at Rs. 136.5 billion against expected revenue of Rs. 116.9 billion under existing tariffs.

According to the submission, the proposed increase would be applied uniformly across all consumer categories.

The PUCSL’s decision later today will determine whether the proposed hike is implemented, marking the official tariff adjustment for the second quarter of 2026. (Newswire)

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Cabinet Spokesperson Minister Nalinda Jayatissa today urged the public to use electricity and fuel responsibly, as Sri Lanka faces supply constraints linked to disruptions in global oil markets caused by the ongoing Middle East war.

“We urge you to consume electricity and fuel mindfully and limit energy consumption to a minimum,” he said, speaking at a special government media briefing.

The Minister also called on those involved in hoarding and illegal fuel trade to cease such activities, warning that strict action will be taken.

He further appealed to the public not to support such practices and to report any related incidents to the authorities.

The media briefing followed last night’s fuel price increase, which has pushed prices back to levels seen during the 2022 economic crisis. (Newswire)

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Electricity trade unions say that they will engage in a six‑hour token strike today (26 Feb) based on eight demands.

The unions stated that although authorities were informed of their issues on several occasions, no solutions have been provided so far.

President of the Ceylon Electricity Board Technical Engineers’ Union, Kosala Abeysinghe, said, accordingly, from 12.00 noon to 6.00 pm today, a token strike will be carried out island‑wide.

Meanwhile, customs trade unions say that, depending on the outcome of today’s discussion with the Deputy Minister of Finance regarding their demands, further trade union action will be decided.

Vice President of the Customs Officers’ Union, Geethanjana Madapatha, said that the trade union action of reporting to duty wearing black bands since last Tuesday continues today. (Newswire)

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The General Manager of the Ceylon Electricity Board, Shirley Kumara, announced that approximately 25%–30% of the island’s electricity supply has been disrupted due to adverse weather conditions.

Speaking at a media briefing today (28), he said restoring power has become a difficult task, with the Eastern, Central, and Northern provinces most affected.

A key transmission line with a capacity of 132,000 kilowatts connecting Randenigala, Rantambe, and Mahiyanganaya has collapsed and is currently inaccessible for repairs. As a result, the Kotmale and Rantambe hydro power stations have been shut down, with Rantambe affected by heavy silt inflow.

He explained that towers along several transmission routes have been damaged or submerged, making repairs impossible until floodwaters recede. Additional shutdowns include Bowatenna and Upper Kotmale power stations, due to water leakage and muddy inflows.

Currently, only two of Kotmale’s three generators are operational, while other stations are working at maximum capacity. However, widespread outages continue, including in Peradeniya University and Kandy city, where substations have been submerged.

Kumara stressed that certain transmission lines have been deliberately switched off to prevent risks to public safety and equipment damage. Priority is being given to supplying electricity to essential services, with household connections addressed later.

He acknowledged that delays are inevitable, noting that around 7 million consumers are affected, and repairs can only proceed once water levels recede. (Newswire)

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The Ceylon Electricity Board unions have announced that they will suspend their work-to-rule campaign after receiving written confirmations of the verbal agreements reached on their demands.

It is reported that the Unions engaged in discussions with the Minister of Power yesterday, during which certain agreements had been reached. 

CEB employees have been engaged in a trade union action over the past few weeks to protest the government’s decision to restructure the CEB, dividing it into four key entities. (Newswire)

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The Public Utilities Commission of Sri Lanka (PUCSL) has announced that it has decided not to revise electricity tariffs.

Addressing the media today, PUCSL Chairman Prof. K.P.L. Chandralal said that the existing tariff will remain for the next three months, effective from midnight today (14 Oct.).

Prof. K.P.L. Chandralal noted that the decision was taken after reviewing written and oral submissions received during the public consultation process held on the proposed tariff revision. 

The Ceylon Electricity Board (CEB) had submitted a tariff review proposal on 27th August 2025, covering the quarter of October–December 2025, in accordance with Section 30 of the Sri Lanka Electricity Act No. 20 of 2009.   

The CEB has requested a 6.8% tariff increase, citing rising costs in generation, distribution, and finance. 

The PUCSL last approved an electricity tariff hike of 15% on 12th June 2025. (Newswire)

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Electricity trade unions have intensified their ongoing work-to-rule campaign, expressing their non-cooperation with the government’s plans to restructure the Ceylon Electricity Board (CEB). 

Speaking to the media, a trade union representative said a decision has been taken to refrain from cooperating with officials from the Ministry of Power, the CEB Director General, and officials involved in the restructuring process.

“We will not participate in any of the discussions with these officials. We will refrain from taking part in any activities involving them. We have been engaged in this trade union action for over a month now. The government has failed to resolve the issues and has yet to engage in a discussion with us. We will continue our trade union action until the government responds,” he said. 

The trade union representative further said that the electricity trade unions will further intensify the ongoing trade union action in the future. (Newswire)

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The Public Utilities Commission of Sri Lanka (PUCSL) says the tariff revision for the last quarter of 2025 submitted by the Ceylon Electricity Board (CEB) proposes a 6.8% tariff hike. 

The PUCSL has announced that it will seek public opinion on the electricity tariff revision proposal submitted by the CEB for the final quarter of 2025.

According to the PUCSL, members of the public are invited to submit their comments and proposals in writing to the Commission. Written comments and proposals must be submitted by October 7, 2025.

In addition to written feedback, the PUCSL will conduct nine public consultation sessions covering all provinces, allowing citizens to express their views orally.

These oral hearings will commence on September 18, 2025, and will focus on the CEB’s proposal for a 6.8% increase in electricity tariffs. (Newswire)

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Opposition Leader Sajith Premadasa has questioned why the government is allowing electricity tariff hikes, despite previously promising to reduce electricity costs by one-third. 

Taking to ‘X’, MP Premadasa pointed out that before the election, the President vowed to slash every household’s electricity cost by one-third and to rewrite the IMF clause that keeps pushing prices up.  

“Today, the PUCSL confirms a 15 % hike to satisfy that very same clause. This leadership claimed to be “above politics” and therefore asked to be trusted. The logic was to clean the system of corruption so these price hikes don’t have to happen,” he said. 

Questioning why the government does not start with the Ceylon Electricity Board (CEB), MP Premadasa also queried how the next tariff increase will be stopped. 

“Explain why the 33 % cut vanished, why the IMF terms were never renegotiated, and how you will stop the next increase. We all know the CEB will never be touched, and the hikes will keep coming,” he said. 

The Opposition Leader’s comments come after the Public Utilities Commission of Sri Lanka (PUCSL) today announced that electricity tariffs have been increased by 15%.

Addressing the media, the PUCSL said that the revised electricity tariffs will come into effect from tomorrow (12 June). (Newswire)

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The Public Utilities Commission of Sri Lanka (PUCSL) has announced that electricity tariffs have been increased by 15% with effect from tomorrow (12 June).

Representatives of the PUCSL said the decision was taken after reviewing written and oral submissions received during the public consultation process held on the proposed tariff revision. 

Addressing the media, they further said that the tariff hike has been implemented based on the tariff regulation process and by taking into consideration other important factors. 

Previously, the Ceylon Electricity Board (CEB) had requested an 18.3% tariff hike for the period from June to December. Submitting the proposal, the CEB said that it was necessary to manage rising operating costs and repay debt, including previous borrowings.  

Addressing the media, Damitha Kumarasinghe, Director General of the PUCSL, said the commission has implemented several electricity tariff reductions recently:

• March 2024 : 21% reduction
• July 2024 : 23% reduction
• January 2025 : 25% reduction

Kumarasinghe said that despite today’s increase, tariffs had decreased by 51% when compared from January 2024 to January 2025.

“In 2014, the unit price was Rs. 21.39. With today’s decision, it has increased to Rs. 27.80. In other words, over the past 11 years, the electricity bill has risen by Rs. 6.50, or 30%,” he explained, adding that there have been increases at certain points during that period. (Newswire)

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The Public Utilities Commission of Sri Lanka (PUCSL) today announced that electricity tariffs will be reduced by 20% for the first six months of this year. 

According to the PUCSL, the reduction is effective from midnight today, 17 January 2025.

The PUCSL’s proposed reductions are as follows; 

• Domestic tariff – reduced by 20%
• Places of worship – reduce by 21%
• Hotels – reduced by 31%
• Industries – reduced by 30%
• Government Institutions – reduced by 11%

Electricity tariffs reduction (Domestic)

• 0-30 units reduced by 29%
• 31-60 by 28%
• 61-90 by 19%
• 91-180 by 18%
• More than 180 by 19%

The reduction in electricity tariffs has been announced at a time when the Ceylon Electricity Board (CEB) had proposed that tariffs should not be reduced for the next 06 months.

However, the PUCSL submitted a counter proposal, after which it conducted public consultations on the matter from 17 December 2024 to 10 January 2025.

According to the PUCSL, about 400 people submitted proposals in those sessions, which include that the electricity tariff should be reduced by 20 % (Newswire)

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The average daily electricity supply disconnections have risen from 2,660 last year to 3,443 this year, according to Electricity Consumers’ Association Secretary Sanjeewa Dhammika.

Citing Ceylon Electricity Board (CEB) data, Dhammika said that unpaid electricity bills led to 970,933 disconnections in the year 2023.

Power disconnections surged from January to June 2024, with 628,286 disconnections recorded.

This includes 505,949 households, 8,579 industries, 2,090 religious places, 39 hotels, 359 government institutions, and 111,276 shops and other facilities, Dhammika said.

Consumers are increasingly finding it difficult to pay their electricity bills, he said, compounded by the CEB’s inefficiencies and excessive charges.

Dhammika alleged that desperate consumers have resorted to pawning valuables, selling household plants, and facing extreme financial distress to settle their bills. (Newswire)

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Circular debt in Pakistan has become a critical challenge for the country’s energy sector, with far-reaching implications for its economy, governance, and the daily lives of its citizens.

This escalating financial crisis, stemming from inefficiencies, corruption, and high energy tariffs, has left power consumers struggling under heavy burdens while threatening the sustainability of the nation’s power infrastructure.

What is circular debt?

Circular debt in Pakistan refers to the accumulating financial shortfall within the energy supply chain, where one entity’s inability to pay its obligations triggers a cascading effect of unpaid dues across the sector.

This cycle primarily involves:

Power generation companies (GENCOs): Unpaid by distribution companies.

Distribution companies (DISCOs): Struggling to recover costs from consumers due to inefficiencies, theft, or non-payment.

Fuel suppliers: Facing delayed payments, affecting power generation.

This chain reaction leads to a financial bottleneck that stifles investment, causes operational inefficiencies, and perpetuates power outages and load-shedding.

Scale of the crisis

The circular debt crisis in Pakistan has spiraled out of control over the past decade. As of 2024, it exceeds PKR 2.8 trillion (approximately $10 billion), according to government estimates.

This amount comprises unpaid subsidies, delayed payments to independent power producers (IPPs), and losses from distribution inefficiencies.

Key contributors include:

High system losses: Line losses and power theft contribute significantly to revenue shortfalls.

Delayed subsidy payments: The government often fails to disburse subsidies to cover the difference between production costs and consumer tariffs.

Overcapacity payments: Pakistan’s agreements with IPPs include capacity payments—fixed amounts paid to power producers regardless of whether the electricity is utilised.

Impact on power consumers

Rising tariffs: To offset revenue losses, the government has continually increased electricity tariffs.

Consumers are now paying some of the highest power prices in the region.

For many households, these high tariffs are unaffordable, leading to widespread dissatisfaction and protests.

Load-shedding and power outages: The financial strain caused by circular debt limits the operational capacity of power producers.

Frequent power outages disrupt daily life and economic productivity, especially for small businesses reliant on stable electricity.

Declining service quality: Distribution companies, unable to upgrade infrastructure or improve service quality due to financial constraints, deliver inconsistent and unreliable power.

Root causes of circular debt

Inefficient distribution system: A major portion of Pakistan’s circular debt stems from technical and non-technical losses in the distribution network.

Technical losses occur due to outdated infrastructure, while non-technical losses include power theft and billing inefficiencies.

Subsidy mismanagement: The government’s subsidy mechanism is plagued by delays and inefficiencies.

Instead of directly benefiting consumers, subsidies often exacerbate financial losses for power companies.

Corruption: Widespread corruption within the energy sector undermines operational efficiency.

From procurement malpractices to inflated contracts, these issues inflate costs and perpetuate inefficiencies.

Over-reliance on expensive energy mix: Pakistan’s energy mix is heavily reliant on imported fossil fuels, making power generation costs volatile and subject to international price fluctuations.

The lack of investment in renewable energy exacerbates this issue.

Flawed agreements with IPPs: The capacity payment agreements with IPPs lock the government into paying for unused electricity, adding significant financial strain to the sector.

Broader economic implications:

The circular debt crisis extends beyond the energy sector, affecting Pakistan’s overall economic stability:

Economic slowdown: Frequent power outages hinder industrial output, reduce productivity, and discourage foreign investment.

Energy costs further erode the competitiveness of Pakistani exports.

Fiscal pressure: The government allocates substantial resources to bail out the energy sector, diverting funds from critical areas like education and healthcare.

Debt dependency: To manage circular debt, the government often relies on borrowing from domestic and international lenders, worsening the overall debt burden.

Pakistan’s circular debt crisis in the power sector is a multifaceted issue that demands urgent and sustained action.

High tariffs, inefficiencies, and corruption are not only burdening power consumers but also stifling the country’s economic potential.

A strategic roadmap that includes policy reforms, investments in renewable energy, and enhanced governance is essential to breaking the vicious cycle of circular debt.

According to sector experts, to tackle circular debt effectively, Pakistan requires a multi-pronged approach focusing on structural reforms, technological upgrades, and improved governance.

While the path to resolution is complex, the potential benefits—a stable power sector, economic growth, and improved quality of life for citizens—make it a goal worth pursuing.

With the right leadership, commitment, and collaboration among stakeholders, Pakistan can overcome this challenge and build a resilient, efficient, and consumer-friendly energy sector, as per experts.

According to a recent editorial published in one of Pakistan’s leading English dailies, The Express Tribune, the issue of circular debt cannot be resolved through mere numerical adjustments or superficial measures.

It demands a thorough and strategic approach, with the primary focus on alleviating the burden on the masses and enabling the economy to regain momentum.

With Pakistan’s power tariffs ranking among the highest in the region, expecting a revival in exports and industrial production under such circumstances is unrealistic, as per the editorial.

“It is simply unacceptable that capacity payments account for 70 percent of the electricity tariff, with the remaining 30 percent being attributed to energy costs,” the editorial read. (Times of Oman)

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The Public Utilities Commission of Sri Lanka (PUCSL) has announced that a two-week extension has been provided to the Ceylon Electricity Board (CEB) to submit tariff proposals.

In a letter addressed to the CEB General manager, the PUCSL said the extension has been granted per a request by the CEB and that tariff revision proposals must be submitted by 06 December 2024. 

The PUCSL further warned that failing to do so, it would take steps to provide immediate relief to consumers from the profits of the CEB.

The PUCSL noted that considering the time taken for the tariff approval process, the earliest possible date for tariff approval will be 17 January 2025. (Newswire)

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President Ranil Wickremesinghe has declared all services related to the supply of electricity and fuel as essential services through an extraordinary gazette issued on Friday, September 20.

The Gazette, issued under Section 2 of the Essential Public Services Act No. 61 of 1979, designates the supply and distribution of electricity, petroleum products, and fuel as essential public services. 

Gazette : http://documents.gov.lk/files/egz/2024/9/2402-20_E.pdf (Newswire)

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An approximate reduction of 20% in the prices of goods and services in the market is likely following the revision of electricity prices, Minister of Power and Energy Kanchana Wijesekera said. 

The new electricity tariff revision will take effect from July 16, the Minister said, while the next revision has been scheduled for October. 

“The government has decided to revise the electricity tariff every January, April, July, and October each year. Following the price adjustment in March, the Public Utilities Commission (PUCSL) requested a July revision instead of April. 

Therefore, the new electricity tariff revision will take effect from July 16. The next revision is scheduled for October,” he said. 

The Minister made these remarks addressing a media briefing held at the President’s Media Centre.

This tariff revision has provided the most relief to consumers using less than 90 units of electricity, particularly benefiting the 79% of households in this category, Minister Wijesekera revealed. 

“There has been a significant 20% price reduction for factories and small businesses in this electricity tariff revision. Despite this reduction, it appears unlikely that the prices of goods and services, which typically rise on the same night as electricity price hikes, will decrease accordingly. Recently, fuel and kerosene prices have also dropped without leading to lower consumer prices. 

Therefore, with the substantial decrease in electricity costs this year, we urge the public to take advantage of these savings, with the potential for at least a 20% reduction in overall expenses,” the Minister said. 

Responding to criticism that the electricity price revisions coincided with upcoming elections, the Minister said that the policies were formulated in 2022 through a formal process. The policies result from sound policy decisions rather than populist measures, he said. (Newswire)

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Electricity tariffs in Sri Lanka will be reduced overall by 22.5% from Tuesday (July 16). 

Chairman of the Public Utilities Commission of Sri Lanka (PUCSL), Prof. Manjula Fernando said domestic tariff has been reduced by 27%.

He further said that tariffs for religious places of worship have been reduced by 30%, and hotels and industries by 25%.

Following is the tariff reduction approved by the PUCSL:

• 0-30 units : 

Reduced from Rs.8 to Rs.6

• 31-60 units :

Reduced from Rs.20 to Rs.9

• 0-60 units : 

Reduced from Rs.25 to Rs.15

• 61-90 units : 

Reduced from Rs.30 to Rs.18

• 91-120 units  : 

Reduced from Rs.50 to Rs.30

• 121-180 units : 

Reduced from Rs.50 to Rs.42

• 180 units+ : 

Reduced from Rs.75 to Rs.65 (Newswire)

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