Shock and concern over electricity sector reforms

Parliamentarian Charitha Herath has written to Power and Energy Minister Kanchana Wijesekara, expressing concern over the government’s proposed electricity sector reforms, including its draft Electricity Bill.

In the letter, which Prof. Herath has posted on his official social media accounts, he notes that a “robust evaluation” of the proposed power sector reforms in Sri Lanka is imperative and should encompass comprehensive studies, including technical, economic, sensitivity, and risk analyses. “Regrettably, no analysis reports accompanying the proposed bill or emerging during the recent process have been observed,” the MP adds.

Prof. Herath has raised a list of 16 concerns over the proposed electricity sector reforms in his letter to Minister Wijesekara.

These concerns include the potentially disproportionate authority granted to the minister, notable disparities in the objectives outlined in the report of the cabinet-appointed committee and the Act, the lack of professionalism and transparency in the proposed mechanism for selecting and appointing individuals to institutions, aggressive reform timelines that provide limited flexibility for necessary corrections, and concerns that automatic activation of the Act may hinder changes in government policy without amending the Act.

Prof. Herath adds that the reforms also do not ensure the “Least Cost Principle,” having been replaced by “at least at economic cost,” which includes externalities.

Given the significance of the concerns, the MP has asked Minister Wijesekara to address the issues raised by him for the betterment of the proposed reforms.