Sri Lanka President says power sector will stay state-owned

Sri Lanka President Anura Kumara Dissanayake today (September 22) reaffirmed that Sri Lanka’s power sector will remain entirely state-owned, stressing that there is no need to hand it over to private institutions.

Speaking at a progress review meeting on power sector reforms at the Presidential Secretariat in Colombo, the President said energy sovereignty is essential for economic growth, national security and independence.

“What we seek is not privatisation, but the elimination of inefficiencies within the existing institutional framework,” he said. “Our goal is a more effective and well-structured system.”

The meeting was attended by members of the reform implementation committee and directors of newly established entities, including Electricity Distribution Lanka (Pvt) Ltd, National Transmission Network Service Provider (Pvt) Ltd, Electricity Generation Lanka (Pvt) Ltd and National System Operator (Pvt) Ltd.

President Dissanayake emphasised the urgent need for a new institutional framework, saying the old structure is no longer adequate. He assured that no jobs, salary scales, or employee rights will be affected during the transition and that all entitlements under the Ceylon Electricity Board (CEB) will be preserved. Outstanding CEB issues will be resolved before integration into the new framework.

“Institutions exist not only for their employees but for the country and its people,” he said. “If the new framework ensures efficient, continuous and fairly priced electricity, it will be a victory for both the Government and the employees.”

The President made it clear that the reforms represent a structural transformation, not a sale or transfer of state ownership. “This is about modernising our institutions in line with global development trends while protecting our energy independence,” he added.

The meeting also included detailed discussions on challenges and proposals related to the reforms. President Dissanayake expressed appreciation to the committee members for their work. Minister of Energy Kumara Jayakody, Secretary to the Ministry of Energy Prof. Udayanga Hemapala and senior officials from the CEB were present.