Vehicle tax hike to curb imports

The Sri Lankan government is considering a tax hike on car imports to curb imports and stop the outflow of foreign reserves, official sources revealed.

The Sri Lankan rupee depreciation will not be sufficient to slow the demand for vehicles, and the government will be compelled to increase vehicle taxes, an official said adding that a sizable portion of the excess liquidity gained partly by foreign borrowings went into vehicle imports. Sri Lanka’s foreign exchange reserves have dropped to around US$ 6 billion from $9 billion, official data showed.

Under this set up the Treasury has had to suggest measures to control imports as the country’s fuel bill has also risen in the recent past due to lowering of prices, he added.

Source : http://www.sundaytimes.lk/news-online/sri-lanka-considers-vehicle-tax-hike-curb-imports.html

1969 Electric Vehicles registered

මේ වසරේ ගත වූ කාලසීමාව තුළ විදුලි මෝටර් රථ 1969ක් ලියාපදිංචි කර ඇතැයි මෝටර් රථ ප්‍රවාහන කොමසාරිස් ඒ.එච්.කේ. ජගත් චන්ද්‍රසිරි මහතා පැවැසීය.එය විදුලි මෝටර් රථ සඳහා ජනතාවගේ නැඹුරුව පෙන්වන කරුණක් බවද ඔහු සඳහන් කළේය.

මේ වසරේ ගත වූ කාලසීමාව තුළ ලියාපදිංචිකර ඇති සමස්ථ වාහන ලියාපදිංචිය 427808ක් බවත් එය ඉකුතු වසරේ ගත වූ මාස 12 දී ලියාපදිංචි කර තිබූ වාහන ප්‍රමාණය ඉක්මවා යාමක් බවද ඔහු පැවැසීය. ඒ අනුව මේ වසරේදී සමස්ථ වාහන ලියාපදිංචිය ලක්ෂ 5 ඉක්මනු ඇතැයිද ඔහු වැඩිදුරටත් පවැසීය.

Source : http://www.ada.lk/article/106381/

Temporary measure to reduce new vehicles

Transport Deputy Minister Asoka Abeysinghe said the government made it compulsory to pay 30 per cent of the value of a vehicle to the leasing company when purchasing a vehicle on lease and it was just a temporary measure to reduce the number of new vehicles registered and not to create hardship to the purchasers of vehicles. 

Addressing a meeting of the Atugalpura Journalists’ Association he pointed out that one could take away a vehicle on lease without making an initial payment, but now the purchaser should pay 30 per cent of the value of the vehicle. 

“Statistically over 5 million families live in Sri Lanka, but 6 million vehicles have been registered. At present 600,000 motorcars, 3.2 million motorcycles, one million trishaws, 100,000 buses have been registered and this has created severe traffic congestion in the main roads. The government has proposed to reduce the staff of the SLTB through voluntary retirement. The SLTB has not paid ETF contributions since 2010. However, 7,000 new employees have been appointed for the period. At present the SLTB has 36,700 employees for 6,500 buses. The government is planning to streamline the affairs of the SLTB” he said. Public transport services in any country are not profit making enterprises but they are not running at a loss. However, in Sri Lanka public transport services are running at heavy losses” he said. 

Off-peak tariffs to charge EV's

Sri Lanka’s state-owned electricity service providers are now offering domestic time of use (TOU) electricity tariff for cheaper charging of electric vehicles. “During the off-peak hours only Rs.13 is charged per unit, which is a fair amount for the electric vehicle charging purposes,” a Public Utilities Commission of Sri Lanka (PUCSL) statement said. The off-peak hours run from 10:30 p.m.-5:30 a.m. Tariffs during daytime hours of 5:30 a.m.-6:30 p.m. will be Rs.25 per unit and Rs.54 per unit will be charged during peak hours between 6:30 p.m.-10:30 p.m. 

The new tariff scheme is an alternative tariff system for domestic users who consume a three-phase, 30 A or above power supply. 

“Those who wish to upgrade their customer category from the existing domestic category to TOU tariff should apply it from the regional area engineer’s office of their service providers (Ceylon Electricity Board (CEB), Lanka Electricity Company Private Ltd (LECO)). Such customers should pay for the new meter which is required to support the TOU tariff,” PUCSL said. The PUCSL said that those opting for the new system would contribute in lowering peak time consumption and increasing off-peak consumption. 

This would help balance the loads in the coal power plants Sri Lanka increasingly depends on. Stopping and restarting coal-fired plants between peak and off-peak times is time consuming and causes energy wastage. -


Source: http://www.dailymirror.lk/88255/off-peak-tariffs-to-charge-electric-cars

There is a case to increase electric car duties to a more logical 50 percent...

Tariffs above 150 percent should be rationalized to a range between 100 to 150 percent as the market has shifted to hybrids. “Even the luxury cars are hybrids. There is a case to increase electric car duties to a more logical 50 percent,”

Source : http://www.lankabusinessonline.com/expert-view-bigger-problems-underlie-sri-lankas-vehicle-import-bill-says-murtaza/

A rash of credit-fueled vehicle imports is affecting Sri Lanka’s balance of payments at the moment.

But the bigger problem is not addressing fundamental monetary and fiscal policy issues, says Murtaza Jafferjee, the chief executive at Colombo-based JB Securities.

“The primary factor fueling the demand for vehicles is credit. When the larger banks started offering leases at interest rates ranging from nine to ten percent, demand skyrocketed,” he said.

Brand new car registrations rose to 4,990 units in August, up 533 percent from the same month last year. Total vehicle registrations were 50,555 in August, although off an all-time high of 62,221 in July.

Sri Lanka’s central bank spent 800 million dollars during July and August propping up the rupee, before allowing a four percent depreciation last week. Analysts now have to extricate the reasons that led to this unhealthy situation.

“When you take the historical experience of car prices holding their value over time in nominal terms I believe most people view their car as a real asset as they view gold jewellery,” he said.

“It will hold its value and also offers the added advantage of usage occasionally.”

It seems buyers and vehicle dealers play a timing game expecting the treasury to increase taxes. Dealers profit from inventory holding gains and consumers “front load their purchases” in the belief that it will be more expensive if they wait.

Financial institutions who want collateral-based lending options are happy to lend in such a situation.

Three measures are typically taken to discourage vehicle imports, Jafferjee said. High excise duties on vehicles, lowering the loan to value ratio (LTV) and imposing a stamp duty on vehicle financing transactions.

The Indian Ocean island has high excise duties on vehicles, although it has reduced from levels in the past. For hybrids, excise duty is 70 percent for vehicles under 1,000 cc, 80 percent for vehicles under 2,000 cc, and 115 percent for vehicles under 3,000 cc engine capacity.

Small petrol cars have 135 percent duties, and medium-sized petrol cars have 150 percent duties.

“This government has clearly stated in their manifesto that they want an asset owning middle class so there is no logic in depriving a person who saves and buys a vehicle,” he said.

“Issues such as congestion in cities should be addressed through congestion charges rather than duties for it penalises a person in the country side.”

Tariffs above 150 percent should be rationalised to a range between 100 to 150 percent as the market has shifted to hybrids. “Even the luxury cars are hybrids. There is a case to increase electric car duties to a more logical 50 percent,” he said.

A lower loan to value ratio, from the 85-90 percent that firms were giving out loans, could reduce demand, although small car buyers don’t appear to use their full borrowing quota. The central bank on Monday announced reduction of the loan to value ratio to 70 percent.

“Fair enforcement will be a challenge, for vehicles unlike gold are not homogenous. The value is subjective so how is the regulator going to assess whether firms are playing by the rules. Firms can game the rule by declaring a higher value for the underlying collateral,” he said.

Higher stamp duties can also drive up the cost of financing.

Although different countries and communities in the world have different values around importation and use of vehicles, and Sri Lankans are at the high end of the importation spectrum, Jafferjee considers the fundamental problem to be elsewhere.

“Contrary to popular belief, balance of payment crises that this country faces from time to time are not due to vehicle imports but due to a combination of monetary policy and fiscal policy,” he said.

By not allowing a free floating exchange rate and not revising interest rates, Sri Lanka’s central bank promoted an artificial policy of loose credit which, among other repercussions, triggered vehicle imports.

On the irresponsible use of fiscal policies, higher public servant salaries despite huge inefficiencies in the public sector, not collecting enough taxes and under recovery of petroleum taxes drives regular budget deficits that drain savings from productive investments.

“The solution to the BOP crisis is to address fundamental issues rather than meddle with vehicle taxes,” Jafferjee said.

List of Wasana Electric Vehicles Charging Points Locations

Full updated List Click Here...

	Name of the Location	Address	Name of the Owner/ Contact Person	Contact Numbers
01	Wasana Trading Lanka	No. 310, Negombo Road, Welisara, Ragama	Mr. Viraj	077-2239900 011-2241333
02	Wasana Speed Service Station	No.291, Negombo Road, Welisara, Ragama	Mr. Denesh	077-3833834 011-2239900
03	S R B Traders	No. 305, Negombo Road, Welisara, Ragama	Mr. M S G B Fernando	077-7626217
04	W M M Fernando & Sons	No. 275, Negombo Road, Tudella, Jaela	Mr. K A K N Jude Perera	071-6822709 011-2231075
05	Chathura Enterprises	No. 3/B/3R, National Housing Scheme, Raddolugama	Mr. S A Nimal	072-2774482 011-2291666
06	Rising Motors	No. 53/2/A, Colombo Road, Kattuwa, Negombo	Mr. Rasika Fernandopulle	077-7580380 031-2277950
07	View Bright Service Center	No. 07, Negombo Road, Kochchikade	Mr. R A Jude Silva	077-2392522
08	Lora Lanka Filling Station	No. 08, Gampaha Road, Ekala, Jaela	Mrs. K D M B Lora	077-2975238 011-2236928
09	Lora Lanka Filling Station	No. 156, Kotugoda, Jaela	Mr. K S Kumara Perera	077-2975238 011-2236928

10	Ranathunga Motor Traders	No. 285 C, Bulathkade Junction, Asgiriya, Gampaha	Mr. J K Mahesh Ranathunga	077-0772888
11	Karunarathna Motors Auto Zoon (Pvt) Ltd	No. 188/1/A, Wilibula, Henegama	Mr. Anura Puspakumara	077-8710500 033-2247771
12	Lanka Filling Station	No. 65/2, Ovitigama, Pugoda	Mr. D H A Gunawardana	077-6384343 011-2404418 011-2405250
13	Dissanayake Transport & Filling Station	No. 207/4/16, Wilibula, Henegama	Mr. D A S S Dissanayake	072-2212240 033-2268935
14	Thilaka Traders	No. 571/2, Colombo Road, Nittambuwa	Mr. K Thilakasiri	071-6215655 033-2287051
15	Kubeeda Wheel Alignment Center	No. 403 B, Negombo Road, Nittambuwa	Mr. P K Chandana Wijithasiri	071-2252563 033-3555077
16	Jayasingha Auto Engineers	Marapola, Veyangoda	Mr. S A K Jayasingha	077-3664246 033-2289888
17	Lanka Filling Station	No. 61/A/8, Kandy Road, Weweldeniya	Mr. S N Kandanarachchi	077-2097533 033-2284482
18	Lanka Filling Station	No. 02, Pohonnaruwa, Mirigama	Mr. H A L K Perera	077-3479124 033-2276408
19	K O G Enterprises	No. 23, Mary Bisho Mawatha, Gampaha	Mr. L H Karunanayake	077-7266167 033-2231810
20	Senevirathna & Sons	No. 09, Yakkala Road, Gampaha	Mr. R V Sarath Henri	077-1925694 033-2222443
21	Jayakody Auto Sale	No. 251/A, Colombo Road, Gampaha	Mr. Chamath Jayakody	077-7755750 072-2755750
22	Mahara M P C S	Mahara Jun ction, Kandy Road, Mahara, Kadawatha	General Manager	077-2663917 011-2925213
23	Mahara M P C S	Malwathuhiripitiya, Buthpitiya, Gampaha	General Manager	077-7592562 011-2925213
24	Stephans Filling Station	No. 534, New Hunupitiya Road, Dalugama, Kelaniya	Mr. Raja Samarathunga	071-4203577 011-2913803

Colombo District

25	Miyurasa Hotel & Rest	No. 1613, Avissawella Road, Ranala, Kaduwela	Mr. G P Gunawardana	077-5357057 011-2415485
26	Mahagedara Hotel	No. 121/1, High Level Road, Pahala Kosgama, Kosgama	Mr. Upul Weligamage	071-5965765 036-2254120
27	Red Chilee Restaurant	Opposite Linea Aqua, Kapugoda, Hanwella	Mrs. I M C Kumari	071-4892198 011-2406907
28	Cool  Zoon Auto Mart	No. 287/E/7, Hokandara Road, Thalawatugoda	Mrs. Chandrani Wijesiriwardana	077-7356630 011-2774147
29	Right Automobiles	No. 549/B, Kotte Road, Petakotte	Mr. Ranjan Pathirage	077-4308863 076-7455144
30	S P Filling Station	No. 456, Athurugiriya Road, Hokandara Road, Arangala	Mr. A H Samsan Diyas	077-7780527 011-2185585
31	Machan – Pannipitiya	No. 179/5, Highlevel Road, Pannipitiya	Mr. N D N Coory	072-7746025 011-2746749
32	Mrs. R K C Gunasekara	No. 159/1, Pitipana Junction, Homagama	Mrs. R K C Gunasekara	071-6734608 011-2892581
33	B K S Filling Station	No. 133, New Galle Road, Moratuwa	Mr. B Ajith Sanjeewa	072-7850850 011-2649038
34	Kool Land	No. 2809, New Galle Road, Egoda Uyana, Moratuwa	Mr. Keerthi Kumara	077-3014620 011-4213337
35	Panadura EV Center	No. 101, Main Street, Panadura	Mr. Rangana Sampath	071-9199696 038-2246333
36	Auto Care Center	No. 210, Galle Road, Walana, Panadura	Mr. Amila Abeyrathna	077-4797155 038-2238393
37	Ranaweera Trade Center	No. 19 B, Near the Southern Highway, Siripura, Dodangoda	Mr. K K D G Ranaweera	071-8209055 034-2280292
38	Horana EV Center	No. 479, Panadura Road, Horana	Mr. R S Kahaduwa	071-9199696
39	K P K Motors	No. 310 C, Rathnapura Road, Horana	Mr. K P Kumarasingha	077-7259793 072-2873893
40	B N C Gest House	No. 13, Galle Road, Polkatuwa, Beruwala	Mr. K N R de Silva	077-3580113 034-2276185

Southern Province

Galle District

41	Apex Health Care	No. 500/C, Kahaduwa Watta Junction, Hiribura Road, Galle	Mr. K D Mahinda	077-4275776
42	Athula Auto Traders	No. 34, Godakanda Road, Karapitiya, Galle	Mr. A B K Weeraman	077-7612609 091-2226047
43	Namal Filling Station	Labuduwa Road, Karapitiya, Galle	Mr. G K J Wimaladasa	071-4922382 091-2244819
44	Ranjika Stores	Akuressa Road, Paragoda, Imaduwa, Galle	Mr. Priyantha Rathnayake	077-7184663
45	Dilmini Stores	Kadaduwage Watta, kokmaduwa, Weligama	Mr. Priyantha Rathnayake	077-7184663

Matara District

46	Sujith Auto Electricals	No. 445, Galle Road, Pamburana, Matara	Mr. Sujith Senaweera	077-7328336 041-2229016
47	Sujith Auto Electricals	No. 446, Galle Road, Pamburana, Matara	Mr. Sujith Senaweera	077-7328336 041-4935668

Hambantota District

48	Hotel Chamila	Kataragama	Mr. H R K Chandrasena	076-7253395 047-2235217
49	Amaraweera Industries	Molakepupathana, Tissamaharama	Mr. D A Chularathna	071-8440962 047-2239599
50	W K Transport (Pvt) Ltd	Ratalawewa, 2nd Road, Miriggawila, Hambantota	Mr. D Viswa Kularathna	071-3364677
51	W K Transport (Pvt) Ltds	Miriggawila, Hambantota	Mr. D Viswa Kularathna	071-3364677
52	Mr. Dilan Gunawardana	No. 22, Miriggawila, Hambantota	Mr. Dilan Gunawardana	077-4610000 047-2222323
53	Chamila Motors	Port Access, Hambantota	Mr. Chamila Prashad	077-6404088
54	Ruhunu Lanka IOC	Tangalle Road, Ambalantota	Mr. A A M Nanayakkara	077-7909778 047-2223401
55	Senumi Automobiles	Tissa Road, Walava, Ambalnatota	Mrs. Malsha Ravihari	077-4610000

North West Province

Puttalam District

56	Binasha Trading (Pvt) Ltd	Nainamadama East, Nainamadama	Mr. Franklin Fernando	077-7554732 031-2250344
57	Lanka Filling Station	Chilaw Road, Katuneriya	Mr. W W A K J Fernando	077-3406810 031-2245343
58	Premith Service Station	No. 24/1, New Road, Wennappuwa	Mr. J Punsiri Jayaweera	077-6038080
59	Mr. Susil Antony Thisera	No. 20, Thalawila Church, Thalawila	Mr. Susil Antony	071-1932910
60	Mr. Susil Antony Thisera	Near the  St. Anna’s School, Thalawila	Mr. Susil Antony	071-1515459

Kurunegala District

61	Lanka Filling Station – Giriulla	Nalla, Mathikade Junction, Giriulla	Mr. P M S Pathirage	071-6892645 071-6892651 037-2288777
62	Mr. P V C A Vithanage	No. 4/18,’ Uthsahaya’ Sri Sumangala Mawatha, Polgahawela	Mr. P V C A Vithanage	077-3414173 037-2241546
63	New Jayasekara Auto Motors	No. 209, Wilgoda Circular Road, Kurunegala	Mr. Sunil Devasurendra	071-2769308 037-2231366
64	S S Bakers	“Ambasevana”, Puttalam Road, Kelimunai, Mahakeliya, Maspotha	Mr. N K Arunashantha	077-8504273 037-2239594
65	Darshana Lanka Battery Center	Colombo Road, Waduragala, Kurunegala	Mr. A D S Puspakumara	077-7515990
66	Duminda AC & Electrical Service	Katugampala Road, Labuyaya, Kuliyapitiya	Mr. Duminda Nawarathna	077-2778956 037-2281764
67	Wenuja Tyre Mart	No. 999, Kurunegala Road, Alawwa	Mr. J A A P Jayasuriya	077-5000633

Sabaragamuwa Province

Kegall District

68	Warakapola Tyre Service	No. 246, Kandy Road, Warakapola	Mr. R M P Rajapaksha	077-6747084 035-2267383
69	Tilanis Family Restaruant	Kandy Road, Mangalagama, Molagoda, Kegalle	Mr. E H T A Pathirana	077-2351223 035-2228961
70	Prasanna Motor Engineers	No. 204, Kandy Road, Meepitiya, Kegalle	Mr. A P S Aluthgama	077-6588561 035-2221567

Rathnapura District

71	New Lakmini Tyre Mart	No. 207, Haputale Road, Batugedara, Rathnapura	Mr. K P C Lalindra Karthiarachchi	071-6270642 045-2232980
72	D W Filling Station	Ganegama, Pelmadulla	Mrs. P D Wanniarchchi/ Mr. D Charith	071-1494311 071-1494249 045-2274471
73	Sisira Food Cabin	No. 183/1, Haputale Road, Kiridigala, Balangoda	Mr. N D Sisil	077-7411133 045-2286660

Central Province

Kandy District

74	Unic Service Station	Colombo Road, Pilimathalawa	Mr. L B K Puspadeniya	071-8286234 071-3692008
75	Sunimali Brassware	Gadaladeniya Road, Pilimathalawa	Mr. J M G Ekanayaka	077-6567884 081-2577378
76	Lanka Filling Station	No. 08, B, Kandy Rod, Weligalla,  Gelioya	Mr. Harsha Gardihewa	077-8332613 081-2312394
77	Sun Auto Electricals	No. 138, Kandy Road, Weligalla, Gelioya	Mr. S M Sooriyadasa	077-7276797 081-5624114
78	The Kichan Café	Nuwaraeliya Road, Store Field, Gampola	Mr. S G Jayasingha	077-6800783 081-2350078
79	Meepitiya Motors	No. 34, Ginigathhena Road, Meepitiya, Nawalapitiya	Mr. A C A Goffor	077-6624615 054-2222098
80	Single Tree Hotel	No. 8/1, Opposite Gregory Lake, Haddan Hill Road, Nuwaraeliya	Mr. Krishantha Aruna	077-3560116 072-5166487 052-2223009
81	Single Tree Restaruant	No. 8, Opposite Gregory Lake, Haddan Hill Road, Nuwaraeliya	Mr. Krishantha Aruna	077-3560116 072-5166487 052-2223009

Matale District

82

Marutheluwa Medical Stores

No. 860, Aluviharaya, Matale

Dr. A M L B Abeysingha

071-3347105 066-2223776

North Central Province

Anuradhapura District

83	Deepthi Motors	No. 334/108, Main Street, Anurdhapura	Mr. Deepthi Uyanwatta	077-5123950 025-2222770
84	Deepthi Filling Station and Service (Pvt) Ltd	Puttalam Road, Anuradhapura	Miss. Ramesha Uyanwatta	078-9392821 025-2222516 025-2223934
85	Kold Group (Pvt) Ltd	No. 715, 2nd Stage, Anuradhapura	Mr. L A L H J Abeysingha	077-7304428 025-2235595

Polonnaruwa Distric

86	Pulathishe Farm	No. 07, Batticaloa Road, Kaduruwela, Polonnaruwa	Mr. W Shantha	077-2225815 077-8971343 027-2052257
87	Pulathishe Farm	No. 163/1, Monarathenna, Palugasdamana, Polonnaruwa	Mr. W Shantha	077-2225815 077-8971343 027-2052257
88	Suja Holiday	24 Mile Post, Badiwewa, Jayanthipura, Polonnaruwa	Mr. A H T Jayatissa	071-4490245

Northern Province

Vanni District

89	A M T Service Station	Munrumurippu, Kandy Road, ( A 09 ), Vavuniya	Mr. Chaminda Senanayake	024-4925902 077-2019833
90	A M T Filling Station	Munrumurippu, Kandy Road, ( A 09 ), Vavuniya	Mr. Chaminda Senanayake	024-5679570 077-7666620

Uva Province

Badulla District

91	Victory Motor Service	Padiyathalawa Road, Mahiyangana	Mr. T A Nawarathna	077-1705980 077-7731115 055-2257315
92	N S Motors	No. 01/B, Badulla Road, Mahiyangana	Mr. H S R Ranjith	077-6916887 055-5612686
93	T R Engineering	No. 05, Badulupitiya Road, Badulla	Mrs. M D C K Wijesingha	071-8244918 071-4467728 055-2222571
94	W N P Builders	No. 4/A, Badulla Road, Thanthiriya, Bandarawela	Mr. P S Rajapaksa	077-6991378 057-2225058