CEB’s solar allergy during solar festival

When the islanders are celebrating the traditional solar festival, the CEB has appealed to all rooftop solar system owners across the country to voluntarily switch off their systems during daytime hours from 13 to 21 April. CEB Media Spokesman Eng. Dhammike Wimalaratne had explained that the request was made due to the extended holiday period and prevailing sunny weather. 

According to the state electricity utility, the national electricity demand has declined with the economic activities coming to a halt due to the long holiday seasonal while the high contribution from renewable energy sources is placing significant stress on the national power grid. A previous nationwide power outage on a Sunday in February has been cited as a possible cause behind the CEB’s recent request to rooftop solar system owners. From last Thursday evening onwards, the utility had disconnected supply from rooftop units of 100kW and above that operate on net plus and net plus plus contracts.

The controversial move by the CEB has not gone down well with energy experts. Some have even hinted at possible manoeuvres by the corruption-ridden state electricity operator to reduce reliance on renewable energy sources like solar and instead focus on fuel and coal in order to gain various underhand financial benefits. In 2023, 52% of Sri Lanka’s electricity came from thermal power at a staggering cost of Rs. 407.5 billion, which was 87% of the total generation cost. However, during the same period, 48% of the electricity was generated through renewable energy such as large-hydro, solar, wind, and small-hydro at a cost of Rs. 63.1 billion, which was only 13% of the total generation cost.

The island aspires to become a carbon-neutral country by 2050 by making the most out of the energy available and developing cleaner energy resources according to the National Energy Policy and Strategies. Such an objective demands the widespread adoption of new renewable sources of energy such as wind, biomass, and solar. The Government of Sri Lanka envisaged to reach a 10% target in power generation via new renewable energy technologies by 2016, and this objective was successfully achieved a year ahead in 2015. The overall goal of policymakers is to reach 70% of electricity generation via renewable energy sources by 2030.

Our country is located close to the equator and receives abundant sunlight throughout the year, making it an ideal location for solar energy generation. According to a 2017 study by the Asian Development Bank, Sri Lanka has a high potential for solar power with an average solar insolation of 4-6 kWh/m2 per day. Also, the tropical climate allows for solar photovoltaic systems to operate effectively year-round. In 2024, Sri Lanka’s total installed solar capacity reached 951.36 MW, which includes both ground-mounted and rooftop solar PV installations. Rooftop solar PV contributed a significant portion, with a capacity exceeding 750 MW by mid-February 2024.

Meanwhile, the recent Cabinet decision to reduce rooftop solar tariffs has angered the solar industry. The Solar Industries Association, which represents over 1,000 companies and 40,000 workers in Sri Lanka’s rooftop solar sector, has expressed its strongest opposition towards the proposed drastic reduction in rooftop solar feed-in tariffs. As per the proposed changes for rooftop solar panels, the current payment of Rs. 27 per unit is proposed to be reduced to Rs. 19 per unit for smaller systems (less than 20kW), and to Rs. 17 and 15 per unit for larger systems. Few experts have claimed that reduction in tariffs could discourage investments in rooftop solar power apart from obstructing the achievement of national renewable energy targets.

The CEB is currently chaired by Dr. Tilak Siyambalapitiya and his appointment to the influential post was severely criticised by energy experts as he is considered as one of the strongest proponents of coal in the country as well as a fierce opponent of renewable energy. Concerns of conflicts of interest were also raised as Siyambalapitiya co-owns the firm RMA Energy, which provides consultancy services related to the energy sector.