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Chinese bid for second LNG power plant to be disqualified for failure to submit bid bond

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By Ifham Nizam 

The submission of bids for the LNG Second Power Plant Sobedanavi at Kerawalapitiya, has been opened.

The 350 MW power plant to be run on LNG is to be a BOOT – Built Own Operate and Transfer- venture.

More than 15 companies bought bid documents called RFP – Request for Consultant Services Proposal – from various parts of the world, yet only two companies have submitted bids; CNC of China and Lakdanavi from Sri Lanka.

A senior Electrical Engineer told The Island that the Chinese company had not submitted the bid bond. The value of the bid bond was Rs. 600 million or USD 3 million.

“The Chinese company has stated at the bid opening that they submitted a bid without a bid bond as their head office had asked them not to give a bond to the CEB,” a senior official said.

The Chinese government too will not support their company to provide bid bonds to the value of USD three million.

“This could be due to the country’s bad economic situation or not having faith in the system, and, therefore, the Chinese bid has to be rejected,” the official said.

He also stressed that now the Sri Lankan company had to find foreign exchange to build the power plant to help the CEB to meet long term generation plans. The Island learns that the Asian Development Bank was likely to be one of the funding sources.

“This shows there is no trust to invest in the country’s power sector. Usually, IPP – International Power Purchasing – is a preferred business for the energy market,” he said.

While such is the situation, various elements are pushing for investment by New Fortress Energy, USA, which came forward with a backdoor offer to buy 40 percent shares of the Westcoast Power Plant Limited (WCPL) at USD 250 million.

WCPL owns Yugadhanavi HFO –Heavy Fuel Oil- power plant which is 12 years old and will have to hand over to CEB for one USD in 2035.

NFE has sought to supply LNG to WCPL and Sobedanavi as Part of the deal for five years at less than USD10 /MMBtu -Metric Million British Thermal Unit- including FSRU terminal charge. The CEB and the country will save nearly USD one billion over five years by operating above two power plants with LNG, it is claimed by its promoters.

The CEB was planning to have 5000 GWh from LNG based power which is nearly 1/3 of annual energy requirement.

If the 5000 GWh are to be generated from oil HFO and diesel then the country works have an additional cost of nearly Rs. 30 billion annually.



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Level III landslide early warnings issued to the Districts of Kandy, Kegalle, Kurunegala and Matale extended

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The landslide early warning center of the National Building Research Organisation [NBRO] has extended the  Level III RED landslide early warnings issued to the Districts of Kandy, Kegalle, Kurunegala and Matale until 1600hrs on 11th December 2025.

Accordingly,
The LEVEL III RED landslide warnings issued to the the Divisional Secretaries Divisions and surrounding areas of Kundasale, Pasbage Korale, Medadumbara, Ganga Ihala Korale, Hatharaliyadda, Pathadumbara, Doluwa, Panvila, Gangawata Korale, Ududumbara, Akurana, Yatinuwara, Harispattuwa, Deltota, Thumpane, Poojapitiya, Udapalatha, Udunuwara, Minipe and Pathahewaheta in the Kandy district, Aranayaka, Yatiyanthota, Rambukkana, Bulathkohupitiya and Mawanella in the Kegalle district, Mallawapitiya, Mawathagama and Rideegama in the Kurunegala district, and Rattota, Laggala Pallegama, Ukuwela, Matale, Wilgamuwa, Pallepola, Naula, Yatawatta and Ambanganga Korale in the Matale district have been extended.

LEVEL II AMBER landslide early warnings have been  issued to the Divisional Secretaries Divisions and surrounding areas of Uva Paranagama, Hali_Ela, Meegahakivula, Badulla, Kandeketiya, Bandarawela, Soranathota, Ella, Haputhale, Lunugala, Welimada, Haldummulla and Passara in the Badulla district, Warakapola, Galigamuwa, Kegalle, Dehiowita, Ruwanwella and Deraniyagala in the Kegalle district, Polgahawela and Alawwa in the Kurunegala district, Kothmale East, Walapane, Thalawakele, Nuwara Eliya, Kothmale West, Nildandahinna, Mathurata, Ambagamuwa Korale, Hanguranketha and Norwood in the Nuwara Eliya district. and Kolonna, Godakawela and Kahawaththa in the Ratnapura district.

LEVEL I YELLOW landslide early warnings have been  issued to the Divisional Secretaries Divisions and surrounding areas of Divulapitiya, Attanagalla and Mirigama in the Gampaha district, Narammala in the Kurunegala district, and Kiriella, Eheliyagoda, Balangoda, Kaltota, Openayake, Nivithigala, Imbulpe, Ayagama, Kuruwita, Kalawana, Elapatha, Pelmadulla and Ratnapura in the Ratnapura district.

 

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“We cannot allow flooding to become a part of the daily lives of the people in the Colombo District” – PM

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Prime Minister Dr. Harini Amarasuriya stated that unauthorized constructions within the Colombo District, nor any form of residential developments that endanger the public carried out under the guise of development agenda will not be allowed.

The Prime Minister made these remarks while addressing the media at the conclusion of the Colombo District Disaster Management Committee meeting held on Tuesday [December 09] at the Colombo District Secretariat.

Addressing further, the Prime Minister stated:

“The Colombo District has become vulnerable to this extent due to the constructions carried out without any proper planning or understanding of regulations, along with personal and politically motivated decisions that have placed both the district and its people at risk.

Compared to the districts that suffered severe loss of life and property due to the recent cyclone, the damage to the Colombo District has been relatively lower. However, special intervention is being carried out together with the relevant institutions to manage the potential future flood risks in the district.

This matter was also given special attention during today’s District Disaster Management Committee meeting. We cannot allow the flooding to become a regular part of the lives of the people in Colombo. All relevant institutions will come together to put forward a common plan for flood control in the district.”

The Prime Minister further stated that discussions are already underway to provide sustainable solutions for the people living in high-risk areas within the Colombo District.

The discussion was attended by the Deputy Minister of Urban Development Eranga Gunasekara, Deputy Minister of Mass Media Kaushalya Ariyaratne, and Colombo District Members of Parliament Aruna Panagoda and Chandana Suriyarachchi.

[Prime Minister’s Media Division]

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Russia gifts 35 tonnes of Humanitarian Aid to Sri Lanka

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The handover of 35 tonnes of Russian Humanitarian Aid to Sri Lanka, recently affected by the cyclone «Ditwah», took place at  Katunayake today (10th December)

The shipment was welcomed at the Katunayake airport by Ambassador of Russia Levan Dzhagaryan, Minister of Ports and Civil Aviation  Anura Karunathilaka and Deputy Minister of Defence, Major General Aruna Jayasekara (Retd).

Ambassador Levan Dzhagaryan: said “This delivery is a reflection of long-term friendly relations between Russia and Sri Lanka and reaffirms Moscow’s commitment to support countries in a difficult humanitarian situation.”

The supplies brought by the EMERCOM (Russian Ministry of Emergency Situations) aircraft comprised a movable 60 kW electric power station,  Pumping equipment for water drainage, Summer tents (10-person capacity) and  Food supplies (sugar, vegetable oil, rice)

The total cargo weight is 35 metric tonnes. The aid will be distributed among the most affected regions.

 

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