PUCSL to sue CEB

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By 2018-01-21

By Nishel Fernando

The public Utilities of Sri Lanka (PUCSL) is planning to take legal action against the Ceylon Electricity Board(CEB) for, intentionally, delaying the construction and commissioning of power plants proposed in the approved Least Cost Long Term Power Generation Plan 2018-2037 (LCLTPGEP), as the delay could lead to a potential power crisis in Sri Lanka, PUCSL, Chairman, C N Saliya W Mathew told Ceylon FT.

PUCSL earlier sent a strongly -worded letter to the CEB demanding reasons for the delay in constructing the power plants according to the approved LCLTGEP.

In a recent report, PUCSL asked the Government to consider changing the structure of the power industry, if the CEB is unable to bring the procurement process for the planned power plants to normalcy, to avoid a possible power crisis resulting in a Rs 50.8 billion loss.

However, the Ministry of Power and Energy and CEB noted that there were some errors in the data and figures in the report published by PUCSL.

CEB has been insisting that coal should also be included in the LCLTPGEP to ensure energy security in the country. Hence, CEB has been refusing to cooperate with PUCSL to implement the approved no coal LCLTPGEP. The Ministry stated that the delay was mainly due to the disagreement between the PUCSL and CEB engineers who are on the committees for the proposal evaluation and implementation process.

Minister of Power and Renewable Energy, Ranjith Siyambalapitiya and Minister of Special Assignments, Dr. Sarath Amunugama were attempting resolve the potential power crisis being the fall-out of the CEB-PUCSL dispute, through a joint Cabinet paper which would seek policy directions for the CEB and PUCSL. The submitted Cabinet proposal also included dual coal power plants which were directed to PUCSL's for approval and PUCSL rejected the proposal. According to sources, the two Ministers are currently preparing to present a fresh proposal......to Cabinet soon, aiming to resolve the looming power crisis once the CEB trade union issues are resolved.

Power industry investors and environmentalists were of the opinion that the Ministry of Power and Energy should intervene with regard to the implementation of LCLTPGEP.




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