Supreme Court orders CEB to pay annual interest on consumer security deposits

Saturday, 1 March 2025 00:14 - - {{hitsCtrl.values.hits}}

In a landmark ruling, the Supreme Court yesterday ordered the Ceylon Electricity Board (CEB) to pay annual interest on security deposits collected from all electricity consumers when providing new connections.

The ruling, delivered by a three-judge bench comprising Justices S. Thurairaja and Sobhitha Rajakaruna, mandates that the CEB must pay an annual interest rate of 11.67%—the same rate the CEB currently receives from the Central Bank of Sri Lanka (CBSL) for these deposits.

This applies to all categories of electricity consumers, including domestic users, commercial establishments, and industrial clients.

The Supreme Court’s decision comes in response to a Fundamental Rights (FR) petition filed by the Electricity Consumers’ Association, its Chairman, and Secretary.

The petition argued that consumers were entitled to receive interest on the security deposits in accordance with Article 28(III) of the Ceylon Electricity Board Act. The petitioners named the Ministry of Power and Energy, the Minister, the Public Utilities Commission of Sri Lanka (PUCSL), and the Attorney General as respondents.