The multiple benefits from a rational strategy for the electricity sector
www.sundaytimes.lk, 22nd May 2020, By Eng Parakrama Jayasinghe
Sri Lanka is grappling with the enormous problems of how best to recover from the setbacks created by the Covid-19 pandemic in all social and economic sectors. While all these fall within the mandate and the scope to be addressed by the task force appointed by His Excellency the President, the particular sector of energy has also attracted the attention of many. This note attempts to highlight the many relevant issues particular to this sector, which nevertheless impinges heavily on the entire nation and the economy. This is not a technical evaluation or an attempt to criticize the CEB, but to highlight some undeniable facts and background and an expression of viewpoints and the concerns of the Sri Lankan citizens, who have been misled over the years.
Sri Lanka pays a very intense attention to the issues relating to the electricity sector, although it represents a mere 11% of the total energy demand of the country. However, this is understandable as access to electricity is of very much interest to all Sri Lankan citizens and electricity is the most desired form of energy. In this regard Sri Lanka is grateful to the efforts of the Ceylon Electricity Board which has achieved the enviable goal of providing grid based electricity to nearly 100 % of the country. In addition they have also managed to provide an uninterrupted supply 24/7 throughout the year, even at times of natural calamities, including the present unprecedented disruptions caused by the Covid-19.
But unfortunately these achievements have come at a cost to the country, and its economy which cannot be ignored any more. The fact that the CEB incurs an ever growing loss of mammoth proportions year by year is well known. As such stern and urgent action is needed, particularly at this juncture when the whole economy as well as the foreign exchange earnings are under severe stress. Therefore the time has come for all citizens to contribute and share their views on the rational approach the country and CEB in particular should adopt for the future. It must be stated very firmly that, to consider these issues rationally with basic common sense, does not require a doctoral degree in electrical engineering or years of experience in operating the national electricity system. After all the present dire situation is caused by lack of a holistic approach in a national perspective, unfortunately exacerbated by the status of state monopoly enjoyed by the CEB.
The Declared Official Policy of the President
In this context even before the Covid-19 disaster stuck Sri Lanka and the whole world, His Excellency the President did realize the need for a paradigm shift. Therefore, both his election manifesto as well as the policy statement presented at the parliament, very specifically outlined his vision on the future of the electricity sector as a major component of his National Policy Frame Work “Vistas of Prosperity and Splendour”. This vision is quite unambiguous in stating that.
The window of opportunity behind the calamity
In this background, the present calamity has also provided us a window of opportunity, to strategize and make plans to achieve this most laudable target. There is a considerable drop in demand for electricity and such reduced demand is likely to persist for some time. Therefore this is the best time to review the many renewable projects which have already received the necessary cabinet approvals and passed on to the CEB as far back as 2017 and initiate urgent action to implement them. The dire prediction of imminent power shortages and power cuts which were used, by interested parties to foist expensive emergency power plants on us, are no longer tenable. The daily demand which used to be about 46 GWh per day has come down to about 30-33 GWH per day. In addition the dry months are behind us, ample rains are replenishing our depleted reservoirs. These circumstances need to be recognized and used wisely, and by fast tracking the implementation of the Renewable Energy Projects, so as not to fall in to the same trap next year too. However, the primary requirement at this point of time is to clearly understand the role to be played by the CEB, which as stated above enjoys the status of Monopoly in the sector. As such it is the undeniable prime responsibility of the CEB to develop plans and strategies to achieve the target set by the President most unequivocally.
Let us hope that it would not be necessary for His Excellency to repeat the warning he recently gave to the officials of the plantation sector, to those in the electricity sector as well.
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The Multiple Benefits from a Rational Strategy for the electricty Sector