- The latest data on electricity generation (for 2016 and up to March 2017) released by the Public Utilities Commission of Sri Lanka (PUCSL) shows the sharp impact of the double monsoon failure, and consequent drought, on hydropower generation. By Q4 2016 and Q1 2017 reservoir levels were the lowest they have been in 5 years, and this has had a major impact on the cost of electricity generation as the CEB had to switch to higher cost thermal generation (CEB’s own as well as from Independent Power Producers – IPPs).
- CEB Hydropower generation in Q 1 of this year (2017) was the lowest compared to Q1 of the past three years, while CEB Coal and CEB Thermal Oil generation were at their highest.
- Last week, the Power and Renewable Energy Minister announced that the government would continue to allocate funds to generate emergency power, noting that, they had “…already spent additional Rs. 27.5 billion over the last four months to provide uninterrupted power” and they have had to “buy much needed fossil fuel power to meet the country’s electricity demand”. He also warned that should the drought continue, the extra costs on power generation would soar to Rs. 50 billion.
To read the full EIU Data Brief on ‘Drought Impacts on Electricity Generation’ click on the download button below.