Sri Lanka is staring at a potential electricity crisis as critically low water levels in key reservoirs threaten to disrupt hydropower generation, even as the government faces mounting political turmoil over a controversial coal procurement scandal involving Energy Minister Kumara Jayakody.
Engineers overseeing major reservoirs have warned that prolonged dry weather across the western slopes of the central highlands has sharply reduced inflows, raising serious concerns about power generation capacity in the coming weeks. According to data from the Ceylon Electricity Board, water levels at the Castlereagh Reservoir have fallen to 40 feet and 10 inches below the spill level, while the Maussakelle Reservoir has dropped to 26 feet and 11 inches. The Upper Kotmale Reservoir has also recorded declining levels, further compounding fears of reduced electricity output.
The impact of the dry spell is already visible beyond the energy sector, with the iconic St. Clair’s and Devon waterfalls experiencing a marked reduction in water flow, underscoring the severity of the situation in the central catchment areas.
The looming energy shortfall coincides with intensifying public anger over allegations of corruption linked to coal imports. The Electricity Consumers Association launched a nationwide petition campaign on 29 March, demanding the immediate resignation of Minister Jayakody. The campaign began in Nugegoda and aims to gather widespread public support before submitting the petition to the Presidential Secretariat.
Association General Secretary Sanjeewa Dhammika stated that the move was driven by allegations that substandard coal imports had caused significant financial losses to the state. He cited claims by opposition groups that the controversial tender had cost the government as much as Rs. 11 billion, adding that technical assessments by the Public Utilities Commission and the Electricity Board had pointed to similar conclusions. Despite these allegations, the government has yet to provide a clear response, further fuelling public frustration.
President Anura Kumara Dissanayake has maintained that, based on his own assessment, there is no evidence of fraud in the coal procurement process. However, he has stated that relevant institutions are free to conduct independent investigations and assured that action would be taken based on their findings.
Meanwhile, political tensions are set to escalate as the Samagi Jana Balawegaya-led Opposition prepares to table a No-Confidence Motion against the Energy Minister on 10 April 2026, focusing on the same procurement controversy.
The crisis deepened further after Minister Jayakody was formally indicted before the Colombo High Court on 27 March over alleged corruption dating back to 2016, during his tenure at the Ceylon Fertiliser Company. The charges relate to a procurement irregularity that reportedly caused losses to the state. He was subsequently released on bail on two personal bonds of Rs. 1 million each.

