Sri Lanka’s looming electricity tariff revision has triggered a fierce national debate, with the Ceylon Electricity Board (CEB), regulators, and consumer groups clashing over whether another increase in power prices can be justified amid mounting economic hardship.

The controversy comes as the Public Utilities Commission of Sri Lanka (PUCSL) prepares to announce its final decision on May 9 following public hearings held at the BMICH earlier this week. At the center of the dispute are conflicting claims over the financial health of the state-owned electricity provider and the transparency of the pricing formula imposed under Sri Lanka’s International Monetary Fund-backed reforms.

The CEB insists that a tariff adjustment is unavoidable. According to projections by the National System Operator, the utility faces a deficit of nearly Rs. 38 billion during the second and third quarters of 2026. Officials attribute the shortfall to rising global fuel prices, reduced hydropower generation caused by dry weather, and technical failures at the Lakvijaya coal power plant.

Additional pressure has emerged from infrastructure losses linked to Cyclone Ditwah, which reportedly caused around Rs. 20 billion in damage to transmission and distribution networks. CEB officials argue that at least part of these recovery costs must eventually be passed on to consumers through revised tariffs.

The utility also cites longstanding debt burdens, including deferred fuel payments and mounting interest costs, as evidence that the electricity sector remains financially fragile despite earlier profits.

Yet critics argue the proposed increase is both unnecessary and unfair.

Consumer advocates and opposition voices point to previous CEB financial statements that reportedly showed surpluses exceeding Rs. 61 billion in 2023. Under PUCSL regulations, such profits are required to be “clawed back” and used to reduce future electricity charges rather than retained while consumers face additional increases.

The issue has become even more contentious after the Treasury pledged Rs. 15 billion in financial support to cushion the current deficit. Public interest groups argue that government subsidies, combined with carried-forward surpluses, should be sufficient to avoid burdening ordinary households already struggling with inflation and rising living costs.

Questions have also emerged about the efficiency of the CEB’s planning process. Energy experts speaking during the May 6 consultation accused the utility of consistently overestimating electricity demand while underestimating hydroelectric generation. Critics claim these forecasting errors artificially inflate the need for emergency thermal power purchases, which are significantly more expensive.

Environmental groups additionally criticized what they described as the CEB’s continued dependence on fossil fuels despite growing opportunities for cheaper renewable energy projects.

Public frustration was evident during the hearings, where consumer organizations demanded greater transparency in coal procurement contracts and the operational costs of individual power plants. Several speakers highlighted the social impact of repeated tariff revisions, noting that more than one million households have reportedly experienced electricity disconnections in recent years.

Despite the growing backlash, regulators appear likely to shield most domestic consumers from the proposed increase. Current recommendations suggest that approximately 95 percent of households and religious institutions could avoid higher charges through targeted subsidies.

The final ruling is expected to determine not only electricity prices for the coming months, but also public confidence in Sri Lanka’s broader IMF-backed economic reform program.

SriLankan Airlines is once again at the center of political and public debate after Right to Information disclosures exposed details of a controversial aircraft lease agreement that critics say raises serious concerns about accountability and long-term financial planning.

At the heart of the controversy is an Airbus A330-200, registered as 4R-ALT, which joined the airline’s fleet in June 2025 under an eight-year operating lease agreement. Although government officials celebrated the aircraft’s arrival as part of the national carrier’s recovery program, newly disclosed financial records have intensified scrutiny over the true cost of the arrangement.

Documents obtained after a lengthy battle before the Right to Information Commission show that the airline agreed to pay USD 275,000 per month for the aircraft. Over the duration of the agreement, which runs until June 2033, the total cost is expected to reach approximately USD 26.6 million.

The disclosures have prompted sharp criticism from opposition politicians and sections of the aviation sector, who argue that the government failed to clearly communicate the age and condition of the aircraft to the public.

Opposition MP Dayasiri Jayasekara accused authorities of presenting the aircraft as a fresh addition to the fleet while downplaying the fact that the Airbus is already 14 years old. He questioned why the state airline committed to a long-term lease on an aging aircraft at a time when Sri Lanka continues to face economic pressures and public spending constraints.

Additional concerns have focused on the aircraft’s operating efficiency. Information emerging through the RTI process suggested the plane had previously been retired by an Indonesian carrier because of comparatively high fuel consumption. Critics argue that although the lease rate appears lower than some previous contracts, maintenance and fuel expenses could substantially increase the real operational cost over time.

The issue has also revived broader concerns about transparency within SriLankan Airlines. The carrier initially resisted releasing details of the agreement, claiming the information was commercially sensitive. That position was later rejected by the Information Commission, which ordered the airline to disclose financial details linked to the lease.

Government ministers continue to defend the transaction, insisting the agreement reflects a more responsible approach compared with earlier administrations. Minister Bimal Rathnayake argued that the current lease is far cheaper than previous deals that allegedly left the country paying nearly USD 800,000 monthly for aircraft that were never delivered.

The controversy comes during a period of significant restructuring within the national airline. SriLankan Airlines has abandoned earlier privatization plans and is instead pursuing a state-led recovery strategy aimed at stabilizing operations and rebuilding the fleet.

The airline currently operates 23 aircraft, including 10 wide-body Airbus A330s and 13 narrow-body A320 and A321 aircraft. Officials hope to expand the fleet to 25 aircraft before the end of 2026.

At the same time, the carrier is attempting to resolve a long-running grounded aircraft crisis caused largely by engine shortages. Government statements revealed that previous administrations spent almost USD 9 million per month maintaining three grounded aircraft over several years.

While one grounded aircraft has already returned to service, authorities say the remaining aircraft are also expected to resume operations soon. However parliamentary discussions and oversight committee findings continue to highlight deeper structural issues, including reports that 31 of the airline’s 45 international routes were operating at a loss by late 2025, largely because of heavy financing costs and legacy debt burdens.

Rural Development, Social Security and Community Empowerment Minister Dr. Upali Pannilage told Parliament yesterday that more than 1.6 million families in Sri Lanka have been identified as living in poverty, based on recent data from the Welfare Benefits Board (WBB).

He stated that these families are now eligible to receive assistance under the “Aswesuma” welfare programme, which was introduced to address poverty and economic vulnerability.

According to the Minister, the families were identified through the WBB’s updated poverty assessment system, which classifies households as “extremely poor,” “poor,” “vulnerable,” or “transitional.”

Dr. Pannilage further noted that the Government has allocated Rs. 25 billion under the 2026 Budget for the “Praja Shakthi” National Programme, a multi-dimensional community empowerment initiative aimed at poverty eradication.

Under the programme, Rs. 23 billion has been allocated for district-level projects, while Rs. 2 billion will be used for national-level medium-scale projects, training programmes, and research activities.

The initiative is expected to support at least 14,008 Grama Niladhari divisions across the country, with at least one project planned for each division.

The Minister said the programme is one of three national-level initiatives designed to ensure the benefits of economic development are distributed equitably across society, with a focus on areas such as the social environment, food security, human resource development, and the production economy.

He also noted that the Department of Census and Statistics (DCS) conducted a comprehensive survey throughout 2025 to identify poor households, with the findings and related data expected to be released in 2026.

Public Security Minister Ananda Wijepala has rejected claims regarding the awarding of a tender for Sri Lanka’s e-passport project, describing them as “completely false.”

“The statement made regarding the e-passport is completely false because no tender has been awarded so far,” the minister stated, adding that the procurement process is still ongoing.

Wijepala noted that the tender process for the e-passport project was initiated under the previous government and that several companies have since sought legal action in relation to the matter.

He further explained that a separate tender process concerning the Public Key Infrastructure (PKI) system linked to the e-passport project is currently under review, following an appeal filed before the Appeals Committee by one of the institutions involved.

“A tender has been called regarding the PKI system, but an institution has gone before the Appeals Committee over the selection process. No final decision has been taken yet,” he said.

The minister added that the Cabinet has referred the matter to the Procurement Commission and emphasized that all related tender procedures are being handled transparently.

President Anura Kumara Dissanayake has instructed officials to promptly introduce all necessary reforms, including amendments to existing laws, to eliminate the drug menace from the country.

The directives were issued during a meeting of the “Ratama Ekata” National Steering Council held this morning (May 7) at the Presidential Secretariat, convened to review ongoing efforts to combat narcotics, according to the President’s Media Division (PMD).

The President also instructed relevant authorities to expedite the destruction of seized narcotics under proper legal procedures to prevent them from re-entering society, while also accelerating legal action against offenders.

He stressed that swift implementation of these measures is essential to strengthen public confidence and support the success of the “Ratama Ekata” national initiative through collective participation.

During the meeting, officials reviewed the progress of anti-narcotics operations carried out under the programme, noting that narcotics-related raids had increased by 80 percent since its launch.

Authorities revealed that since the operation began on October 30, 2025, law enforcement agencies have seized 5,437.457 kilogrammes of cannabis, 1,936.325 kilogrammes of heroin, 1,991.414 kilogrammes of crystal methamphetamine (“Ice”), 271.724 kilogrammes of cocaine, 1,574,895 narcotic pills, and 629,988 illicit cigarettes. A total of 168,460 suspects have also been arrested.

The meeting also reviewed progress on legal reforms required to strengthen anti-drug efforts. Officials stated that steps have been taken to submit the Rehabilitation (Amendment) Bill No. 54 of 2007 to the Cabinet in due course.

Discussions further focused on rehabilitation strategies and the expansion of related facilities. It was revealed that 25 families most severely affected by narcotics in each Divisional Secretariat division had been selected for attitude development programmes.

President Dissanayake emphasized the importance of implementing such initiatives through local religious institutions and maintaining continuous community engagement, including the involvement of members of the Maha Sangha and other religious leaders.

He also noted that anti-drug awareness campaigns should go beyond one-time programmes and include ongoing follow-up mechanisms to evaluate effectiveness and monitor progress within communities.

The President additionally sought updates on efforts to establish a separate court for narcotics-related cases, speed up Government Analyst reports, and accelerate legal proceedings.

He also stressed the need for an urgent programme to fast-track legal and rehabilitation processes for inmates imprisoned on drug-related charges in order to reduce prison overcrowding.

The Inspector General of Police briefed the meeting on investigations involving Buddhist monks recently arrested over narcotics-related offences, while officials also updated the President on programmes being jointly implemented by the Ministry of Education and the Women and Children’s Bureau to prevent schoolchildren from being drawn into drug use.

The President was further informed about community-based initiatives planned in connection with the International Day Against Drug Abuse and Illicit Trafficking, observed annually on June 26.

At the invitation of President Anura Kumara Dissanayake, President of Vietnam and General Secretary of the Central Committee of the Communist Party of Vietnam, Tô Lâm, arrived in Sri Lanka a short while ago, commencing an official State Visit to the island.

President Tô Lâm and the accompanying Vietnamese delegation were warmly received at the Bandaranaike International Airport (BIA) in Katunayake by Prime Minister Dr. Harini Amarasuriya.

Minister of Environment Dr. Dammika Patabendi, Deputy Minister of Foreign Affairs and Foreign Employment Arun Hemachandra, and a group of senior officials from the Ministry of Foreign Affairs were also present to welcome the visiting delegation.

Several senior ministers of the Vietnamese Government, along with prominent political leaders including the Secretary of the Central Committee of the Communist Party of Vietnam, are accompanying President Tô Lâm during the visit.

Due to the low-level atmospheric disturbance in the vicinity of Sri Lanka, the prevailing showery condition over the island is expected to continue during the next few days

Showers or thundershowers will occur at most places of the island after 1.00 pm.

Showers are likely in the Eastern and Northern provinces during the morning too.

Heavy falls above 100 mm are likely at some places in Western, Sabaragamuwa, Central, Uva, North-western provinces and in Galle and Matara districts.

Misty conditions can be expected at some places in Central, Sabaragamuwa and Uva provinces during the early hours of the morning.

The general public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.