News
Revamping CEB: Committee appointed to draft laws
View(s):- Legal draftsman given one month’s time
By Namini Wijedasa
It was appointed immediately after Ministers on November 28 approved the report of the earlier nine-member Cabinet-Appointed Committee on Power Sector Reform. It recommends, among other things, that the debt-ridden Ceylon Electricity Board be divided into 14 companies, with a 15th entity to take over any residual functions and activities.
The report was annexed to the relevant Cabinet paper and in the possession of Ministers for at least a week. The Sunday Times obtained a copy of the document along with the Cabinet decision to implement its recommendations.
The Parliament’s official website also reported that the Committee’s recommendations were passed by the Cabinet on November 28.
Cabinet sanction was given to “accept the recommendations of the said Committee for immediate implementation by the Ministry of Power and Energy and authorise the Secretary, Ministry of Power and Energy, to take action accordingly”.
It was also agreed to direct the Legal Draftsman to draft the Electricity Sector Reforms Bill “based on the recommendations of the Committee…with the help of any expert within one month’s time”.
Along with the Committee report, Ministers considered two previous Cabinet resolutions related to electricity sector reform before giving the go-ahead.
“There is a fresh Committee now appointed by the Secretary to the Ministry of Power and Energy, including an external legal consultant, to formulate the draft legislation with the ESRA as a first step,” an authoritative official source said this week.
The ESRA is the proposed Electricity Sector Reforms Act which aims to reorganise the industry “by setting up the successor entities and repealing the Ceylon Electricity Board Act No. 17 of 1969 after the successor entities become operational”.
The draft ESRA will need to be submitted within a month, in keeping with the Cabinet decision. “There will be a single consolidated law harmonising all existing legislation within two years,” the source said.
The Power Sector Reform Committee re-floated a longstanding proposal to establish new, independent companies to take over the businesses of generation, transmission, distribution, and sale of electricity.
Thus, there will be an independent system operator, a transmission company and four separate companies to take over electricity distribution and sale. LECO is proposed to be continued without change in its corporate status.
There will be six independent companies to take over the Laxapana hydropower complex, Mahaweli hydropower complex, Samanalawewa and other hydropower plants, Norochcholai coal power plant, CEB-owned oil-fired thermal plants such as Kelanitissa and Sapugaskanda, and the Mannar wind power plant.
Another two entities are suggested: one to act as the custodian trustee and to manage the CEB provident fund and the CEB pension fund of employees who choose to shift to these new companies; and another to take over any leftover functions and activities.
The best way to say that you found the home of your dreams is by finding it on Hitad.lk. We have listings for apartments for sale or rent in Sri Lanka, no matter what locale you're looking for! Whether you live in Colombo, Galle, Kandy, Matara, Jaffna and more - we've got them all!