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Restructuring will continue despite CPC’s current financial stability – Kanchana

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During a media briefing held today (04), Minister of  Power and Energy – Kanchana Wijesekera, addressed accusations from various parties regarding the electricity price revision. 

He highlighted that in June’s price revision, the government provided a significant 55% relief in electricity prices to 3.5 million out of the total 6 million consumers.

Additionally, the minister emphasized that concessions were granted to religious establishments and industries during the revision process. Moreover, he mentioned the establishment of a favourable environment for initiating new renewable electricity projects.

Minister Wijesekera made these statements during his participation in a media briefing held at the Presidential Media Centre under the theme of “Collective path to a stable country.”

Regarding fuel supply, the minister announced that the first fuel shipment from one of the two companies contracted by the Petroleum Corporation would arrive in Sri Lanka at the end of the current month. This marks the beginning of fuel distribution operations by the new suppliers.

Furthermore, the minister expressed confidence in the government’s program, led by President Ranil Wickremesinghe, to promote financial stability in both the Electricity Board and the Petroleum Corporation. These entities he said have undergone financial crises but are now on a path towards achieving stability. 

Addressing the press conference the minister said;

In the past year, our country faced challenges such as fuel queues and power cuts. However, under the decisions made by the new government, significant progress has been achieved in eliminating fuel queues and ensuring continuous electricity supply.

The revision of electricity prices took place in January and June, benefiting around 6 million household consumers. A 55 per cent price reduction was implemented for approximately 3.5 million consumers using 30 to 60 units of electricity. Additionally, concessions were provided to the industrial sector during the price revision. There are approximately 40,000 registered religious shrines, and about 15,000 of them consume less than 30 units of electricity.

The electricity board had been facing significant financial losses, with a total loss of Rs. 409 billion in the past. However, last year’s loss was reduced to Rs. 167.2 billion. The government has successfully completed all payments to suppliers and has created a favourable environment for initiating new renewable electricity projects. Additionally, steps have been taken to remove a Rs. 120 billion debt from the balance sheet of the Petroleum Corporation, resulting in the electricity board’s improved financial position.

With the strengthened financial position, the electricity board plans to resume maintenance work and provide new connections that were put on hold in the past three years. Out of the 36,000 new connection applications received, 20,000 connections have already been completed, and efforts are underway to fulfil the remaining connections within the next two months.

Furthermore, the Petroleum Statutory Corporation has established contracts with two new agencies for a consistent supply of fuel since September last year. These agencies are scheduled to commence fuel supply by the end of this month, and the first fuel shipment is expected to arrive in Sri Lanka at the same time. Around 150 fuel stations have been registered by these agencies so far, ensuring reliable fuel availability.

After the arrival of their ship in Sri Lanka, fuel distribution was initially carried out under the name of Ceypetco. However, future distribution will be conducted under their own company name. To address outstanding debts, including those owed to Indian and Iranian creditors as well as fuel suppliers, the Ministry of Finance has imposed a tax of Rs.50 per liter of fuel during distribution.

The Petroleum Corporation has successfully repaid all loans owed to the Bank of Ceylon and the People’s Bank, resulting in its strengthened financial position. Despite this, the restructuring process of the Petroleum Corporation will continue as planned. The revised draft for the restructuring of the Electricity Board has been forwarded to legislators, and once received, it will be submitted to the Attorney General and subsequently presented to the Cabinet for recommendations. There is a possibility of passing a new act in this regard.

There is no pressure on the employees of the electricity board, and efforts are being made to verify the status of employees who have completed NVQ courses but are currently unemployed.

Legal actions are being taken against fuel stations that failed to maintain oil stocks during the fuel price revision. One such station, the Rajagiriya petrol station, has already been taken over by the government. Complaints have been received regarding 120 fuel filling stations that did not comply with stock maintenance requirements during fuel price revisions, and future plans involve implementing appropriate legal measures.

The decision has been made not to hire new employees, as the current number of employees in the Ministry and its associated institutions is deemed sufficient. The President, along with the Prime Minister and the government, has planned to enhance the effectiveness and efficiency of government institutions based on collective decisions.

Investors who previously submitted tenders for renewable energy have not yet responded. It has been discovered that some of the organizations that were awarded tenders have sold them to other entities. As a result, the tender call for 500 megawatts of renewable energy is expected to be cancelled in the upcoming cabinet meeting, and a fresh tender call will be issued. Additionally, the necessary permissions have been granted to the ‘Adani’ company for the construction of a 500 MW renewable energy power plant. Their energy generation is projected to be integrated into the national grid by December of next year.

While the majority of employees from these institutions have expressed their desire for the restructuring of the Petroleum Corporation and the Electricity Board, some protests have emerged due to concerns regarding potential loss of trade union privileges. However, granting salary increments and bonuses to loss-making organizations is not deemed acceptable. Such practices are not prevalent in any country worldwide. A 25% salary increase every three years for the 24,000 employees of the Electricity Board has been discontinued.

Salary increments are allocated exclusively to employees who are actively working and demonstrate productivity. It is a common practice worldwide to provide salary increments selectively rather than uniformly across an organization. Similarly, bonuses distributed in April and December are contingent upon the company’s profitability and are awarded solely to employees who contribute effectively.

In collaboration with Indian loan assistance, plans are underway to equip government institutions and religious sites with solar panels. Each religious place will be provided with a five kilowatt solar panel, while government institutions will receive solar panels suitable for their roof sizes. The implementation of this project is scheduled to commence within the next two months.

Attention has also been directed towards exploring nuclear energy options, with plans to incorporate it into the 2023-2042 generation plan. A comprehensive evaluation will determine the suitability and viability of nuclear energy for our country, and subsequent decisions will be made accordingly.

(President’s Media Division)

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Preliminary probe reveals S’gamuwa Uni student suicided due to ragging

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Preliminary investigations have revealed that a second-year student at the Faculty of Technology of the Sabaragamuwa University committed suicide recently due to ragging, the Criminal Investigation Department (CID) has stated.

Charith Dilshan, a student studying at the Sabaragamuwa University, died by suicide on April 29.

Subsequently, the CID launched an investigation into the incident.

As a result of the investigation, a group of senior students suspected to be involved in the incident have been arrested and are currently being held in remand custody.

Officers have also recorded statements from several factions, including the university administration of the Sabaragamuwa University.

According to the findings of the investigation thus far, it has been revealed that the student committed suicide due to ragging.

It has also been reported that the student was not suffering from depression or any mental illness, the CID said.

Additionally, investigations have revealed that some senior officials of the university administration were taking steps to prevent details of the ragging incidents within the university from becoming public.

So far this year, more than 30 complaints related to ragging have been reported to the CID, with the highest number coming from the Sabaragamuwa University, exceeding 10 complaints.

Complaints have also been received from the Eastern and Oluvil universities regarding ragging incidents.

CID officers have stated that further inquiries are being conducted and strict legal action will be taken against those involved.

If students found to be involved in ragging incidents, they may face up to 20 years of imprisonment, according to the CID.

Meanwhile, police have requested university students to report any ragging-related complaints via the 1997 hotline.

(adaderana.lk)

(Except for the headline, this story, originally published by adaderana.lk has not been edited by SLM staff)

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New chairman appointed to CSE

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Dimuthu Abeyesekera has been appointed as the new Chairman of the Colombo Stock Exchange (CSE).

The CSE announced that Mr. Abeyesekera brings over 35 years of experience in the capital markets and has served on the CSE Board for the past six years.

He currently serves as the Director/CEO of Asha Securities Ltd, which is affiliated with Phillip Capital Singapore, a specialized financial services organization managing assets worth over US$ 35 billion with a network of offices around the world.

Abeysekera also currently serves as the Director at Asha Financial Services Ltd, a specialised margin Trading Company in Colombo.

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03 Presidents & ex-ministers named in US$ 110mn. cattle scam!

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Former Presidents – Mahinda Rajapaksa, Maithripala Sirisena and Ranil Wickremesinghe as well as former Ministers Basil Rajapaksa, P. Harrison, Wijith Wijithamuni de Soysa, Lakshman Yapa Abeywardena and Lakshman Wasantha Perera have been found to be involved in a USD 110 million cattle import scam, NPP MP Nihal Galappathi told Parliament today (June 19)

Noting that old cows have been imported as milch cows, he said none of them will be shown any mercy.

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