Sri Lanka bottled water prices face scrutiny after a Dambulla hotel was fined Rs. 500,000 for selling a Rs. 100 bottle for Rs. 300.
DAMBULLA — A tourist hotel in Dambulla has been fined Rs. 500,000 after pleading guilty to selling a bottle of drinking water marked at Rs. 100 for three times that price, bringing renewed attention to Sri Lanka’s regulated maximum retail prices for bottled water.
Sigiriya Kingdom Resort (Pvt) Ltd, located on Rathmalgaha Ela Road, Vihara Junction, Dambulla, was prosecuted following an inspection by officers attached to the Matale District Office of the Consumer Affairs Authority (CAA).
Investigators found that a bottle of drinking water carrying a marked price of Rs. 100 had been sold for Rs. 300.
The inspection took place on January 2, 2025. When the case was taken up before court on September 23, 2026, the defendant company pleaded guilty to the charge.
The Magistrate’s Court subsequently imposed a fine of Rs. 500,000.
The prosecution provides a clear example of the consequences businesses can face for selling price-controlled bottled drinking water above the permitted price.
Current Bottled Water Prices Are Now Different
Importantly, the Rs. 100 price involved in the Dambulla prosecution is not the current maximum retail price for bottled drinking water.
The CAA has clarified that the case concerned the price applicable when the offence occurred.
Sri Lanka introduced revised price controls on June 10, 2026, through Order No. 96 of Extraordinary Gazette No. 2492/29.
The current maximum retail prices for locally packaged bottled drinking water are:
- 500ml to 999ml: Rs. 80
- 1 litre to 1.499 litres: Rs. 120
- 1.5 litres to 1.999 litres: Rs. 150
- 2 litres to 2.499 litres: Rs. 180
- 5 litres to 6.999 litres: Rs. 400
The revised order replaced the previous price-control regime and prohibits manufacturers, packers, distributors and traders from selling, displaying for sale or offering covered bottled drinking water above the prescribed maximum retail price.
For consumers, that means a locally packaged bottle falling within the 1 litre to 1.499 litre category currently has an MRP of Rs. 120.
Overcharging Can Be Reported to CAA
Concerns over bottled-water pricing are particularly relevant in transport hubs, restaurants, hotels, resorts and other locations where consumers may have limited alternatives once they enter the premises.
The original material supplied to The Morning Telegraph describes instances of traders around Colombo Fort, Pettah, Bastian Mawatha and the Manning Market allegedly demanding prices above the stipulated limits, sometimes attributing the additional amount to refrigeration or “cooling charges.”
Those broader allegations have not been independently established by the Dambulla prosecution and should not be confused with the offence for which Sigiriya Kingdom Resort was fined.
What the court case does demonstrate is that selling regulated bottled drinking water above the permitted price can result in substantial penalties.
The CAA has advised consumers buying bottled water from hotels, resorts, restaurants and retail outlets to check the applicable maximum retail price for the bottle size and obtain a bill or receipt.
Businesses have likewise been reminded not to sell goods subject to a prescribed MRP above the stipulated limit.
Consumers who encounter suspected overcharging or other market irregularities can report them to the Consumer Affairs Authority through its 1977 hotline during office hours.
For consumers, the practical safeguard is straightforward: check the bottle’s capacity and applicable MRP before paying, retain the receipt where possible, and report suspected violations to the regulator.
