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Natural gas power plant a windfall

The Minister of Power and Energy, John Seneviratne shown on a TV news bulletin, cutting the first sod for the construction of a natural gas operated power plant at Kerawalapitiya. According to the news item, the project is being actively promoted by a Most Venerable Buddhist Priest and therefore the details given to the media regarding the power project should be correct.

According to the news item, this power plant will use natural gas as fuel for its operation and will not charge any capacity charge unlike the existing private sector power producers who are exploiting the consumers. The present private power producers levy a capacity charge to recover the capital invested on the projects and returns thereon in addition to an energy charge to recover the fuel and related costs. It is said that Aloka Ltd. will not levy capacity charge and charge only the energy costs. Further it is ready to deliver power when the CEB requires it.

This power plant should be encouraged by every one concerned because when there is no capacity charge, the total project cost of the power plant as well as the cost of constructing the infrastructure for the gas terminals will become a free grant to the people of the country. Indeed it would be a windfall to the country and particularly to the electricity consumers of Sri Lanka and is as good as finding natural gas in Kerawalapitiya.

It is also reported that the officials of the Ceylon Electricity Board and at the Attorney General’s Department are delaying the project as usual. The Hon. Minister should use his authority to keep these officials under control and immediately start the construction of the power plant.

Since natural gas is more environmentally friendly and there is no capacity charge for the power plant or gas terminal, more and more power plants of this type should be constructed and perhaps we can even abandon the high cost and environmentally polluting Noralchcholai power plant.

O. S.Perera
Former Chief Engineer of CEB

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