Electricity Mafia: CEB accused of buying electricity from private plants despite enough hydropower and coal

Despite the sufficient water in reservoirs connected to hydropower plants and the adequate coal stocks in Sri Lanka, the Ceylon Electricity Board (CEB) continues to purchase electricity from private power plants.

This was revealed by Nandana Udayakumara, Vice Chairman of the CEB Technical Engineers and Officers Association, during a special media briefing in Colombo on December 10, 2024.

He explained that recent rainfall has filled reservoirs at hydropower plants to their maximum capacity, ensuring enough resources for electricity generation. Additionally, the Norochcholai Power Plant has enough coal stock.

However, according to last week’s CEB data, only two of the three units at the Norochcholai Power Plant are running, and one of these units is operating at reduced capacity.

Udayakumara accused an “electricity mafia” of still being active within the CEB, even after the recent change in government. He claimed that one generator at the Norochcholai coal power plant is deliberately kept from running at full capacity as part of a scheme to buy electricity from private power plants.

He questioned whose interests are being served by buying electricity from oil-based private thermal power plants, despite the availability of hydropower and coal for generation.

Udayakumara’s comments aimed to highlight the ongoing issues within the CEB. He also pointed out that the so-called electricity mafia, which has long affected the Board, has reemerged.

He noted that this alleged mafia is a major reason for the rising electricity tariffs. He emphasized that buying electricity from private plants when hydropower and coal are available causes significant financial losses.

Udayakumara warned that if CEB officials continue these practices, the Board could face a financial shortfall when purchasing electricity during the dry season expected in February and March next year. He cautioned this could lead to power cuts lasting four to five hours.