Sri Lanka could suffer a colossal loss of Rs. 50.62 billion, says the Public Utilities Commission.

How? – implementation delays of 2018-2020 power plants schedule in the long term generation expansion plan.

The Commission notes that implementation issues pertaining to power plants identified in Least Cost Long Term Generation Expansion Plans have been prevalent over the last 20 years.

This has resulted in serious problems that have plagued the electricity sector over the past decade and seriously hampered its progress, said the PUCSL.

The delayed plans….

• Kerawalapitiya (300MW) Natural Gas fired power plant: to be commissioned in June 2020 (18 month delay)
  Loss: Rs. 28 Billion
• Uma Oya Hydro Plant (122MW): expected by January 2019, date not given in CEB implementation plan.
  Loss: Rs. 6.4 billion (for 1 year)
• Three Solar Power plants: 2018-2020
  Loss: Rs. 5.44 billion (a one year delay)
• Three Wind Power Plants: no commission date
  Loss: Rs. 9.02 billion (a one year delay)

The PUCSL in conclusion makes 3 observations

1) Recommended expediting the procurement of power plants in accordance with the approved schedule as a matter of national importance.

2) Cumulative effect of implementation delays over next three year period can very likely trigger a power crisis that can seriously affect the national economy.

3) Purchasing emergency power in the future to meet any capacity or energy deficit due to implementation delays of these upcoming power plants and is of the view that such costs should not be passed through to the consumers through tariffs. – Not Recommended

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