The government has decided to purchase electricity from independent power producers (IPP) due to a drop in water levels being recorded these days.
"The water levels have dropped to 41.3 percent at present. Only 5-10 percent of electricity can be generated using the remaining water because a majority of it is allocated for agriculture purposes," a source at the Ministry of Power and Energy told Times Online.
Accordingly, cabinet approval has been granted to purchase 70 Mega Watts of electricity from IPPs while also taking measures to renew contracts signed with such producers.
The CEB had intitially planned to purchase 100 Mega Watts of electricity but had referred course following objections rasied by the Public Utilities Commission of Sri Lanka (PUCSL).
A single unit of electricity is generally given to the people at Rs 16 each. However, IPPs sell a unit at a cost of more than Rs 25, the source said adding that this additional cost would be borne by the Ministry itself.
(Reporting by Damith Wickramasekara)
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