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Coal prices soar, aggravating CEB woes

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By Rathindra Kuruwita

The recovery of coal prices in the world market coupled with the decline in the value of the rupee would result in the cost of electricity generation increasing rapidly in Sri Lanka with the Norochcholai coal-fired power plants accounting for the bulk of power produced in the country, energy experts said yesterday.

They said the recovery of coal prices meant that calculations made by a number of energy sector decision-makers on the cost of electricity in the future would be incorrect.

The price of coal, which was trading at around USD 50 per tonne late last year, has rebounded.

Independent energy expert, Vidura Ralapanawe said that coal cost had risen to USD 90. With freight, insurance, VAT and lightering, the total cost of coal received by the plant is USD 120 per ton.”

He added that at the current exchange rate, when the rupee was hovering around Rs. 200 per USD it would result in cost of the fuel rising by about Rs 24 per kg.

“It is estimated that around 380 grams of coal is needed to produce a unit of electricity. This gives the coal cost per generation at Rs 9.12. When we add the diesel cost for the plant, the fuel cost per unit alone comes to about Rs. 9.90 per unit. Adding other costs of the plant (except financing) brings the unit cost to around 14.50.”

Ralapanawe said that a number of CEB and Ministry officials had claimed that they could produce a unit of electricity for about Rs. 7 to 8. They had done so by keeping the exchange rate at a constant, sometimes at around Rs. 150 per USD and setting the coal prices at around USD 50 per ton, which was the price when coal hit an all-time low last year.

Engineer Parakrama Jayasinghe, former president of Bioenergy Association of Sri Lanka, told The Island, “Even if we assume that the price of coal will remain stable, we have to think about the price fluctuations of the rupee.

“For years the CEB has been lying to the public about the real price of a unit of electricity produced using coal. They tell the people that the unit cost is about Rs. 8 but the documents they give to PUCSL show that the actual cost is around Rs. 18 per unit. They have been telling people that the unit of electricity from a new coal power plant will be about Rs 7-9 but they have calculated that keeping the exchange rate at Rs.150 per dollar. Now it’s at Rs. 200 and it’s unrealistic to expect the rate to return to Rs. 150 per USD.”

Maithri Gunaratne, former Chairman of Lanka Coal said that coal prices had been extremely low in 2020 and that it was not wise to make long term predictions with those numbers.

“We also have to factor in corruption too unfortunately.”

President of the CEB Engineering Union Saumya Kumarawadu however said that the rebounding of coal prices shouldn’t be too much of a problem and that coal was still the cheapest option they had.

Attempts to contact Minister of Power Dullas Alahapperuma failed.

 

 



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Move to extend judges’ retirement ages could damage Sri Lanka’s global image, warns Prof. Peiris

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Prof.Peiris

Former Foreign Minister Prof. G. L. Peiris yesterday warned that any move by the government to extend the retirement age of superior court judges could have serious repercussions for Sri Lanka’s international standing, particularly ahead of the next session of the UN Human Rights Council (UNHRC), in Geneva, in September.

Addressing a media briefing, organised by the People’s United Opposition, at its Flower Road, Colombo office, Prof. Peiris claimed that attempts to interfere with the judiciary, through extensions of judges’ terms, would undermine the credibility of Sri Lanka’s courts and weaken the country’s position before the international community.

Prof. Peiris said there was widespread opposition to the proposal to extend the superior court judges’ tenure by two years, with lawyers’ organisations, academics and civil society groups expressing concerns over the move.

“There is no clarity whatsoever from the government’s side,” Prof. Peiris said, claiming that unlike in other countries where such proposals were subjected to lengthy public consultations, there had been no transparency regarding the government’s intentions.

He argued that if such extensions were granted to judges, similar privileges would have to be considered for other sectors, including the public service, university academics and medical specialists.

Prof. Peiris said the issue had gained greater significance due to Sri Lanka’s engagement with the UNHRC, which he described as having established a special investigative mechanism relating to the country.

He alleged that the politicisation of the judiciary would provide further grounds for international criticism against Sri Lanka, which was already facing scrutiny over alleged human rights issues.

“The next session of the UN Human Rights Council will be held in Geneva, in September,” Prof. Peiris said. “This issue will not only affect our country internally, but will also cause serious damage to Sri Lanka internationally.”

He claimed that Sri Lanka had previously defended itself against international interventions by highlighting the independence and reputation of its judicial system.

Referring to the country’s legal history, Prof. Peiris said Sri Lanka had possessed a judiciary respected globally, citing former Supreme Court Judge Dr. Christopher Weeramantry’s tenure as Vice-President of the International Court of Justice in The Hague as an example of international recognition of Sri Lankan judicial expertise.

He said that during his tenure as Foreign Minister, he had maintained that Sri Lanka’s own courts were capable of addressing domestic issues and that foreign intervention was unnecessary.

Prof. Peiris also referred to discussions he had held with Russian Foreign Minister Sergei Lavrov and Chinese Foreign Minister Wang Yi, claiming that both had supported Sri Lanka’s position that external interference in domestic matters should not be permitted.

However, he alleged that the current situation was different, claiming that the judiciary was being politicised through selective extensions of service while vacancies remained in the Supreme Court and Court of Appeal.

He questioned why judicial vacancies had not been filled if the government’s stated objective was to reduce delays in the administration of justice.

“The responsibility of filling these vacancies lies with the executive,” he said, adding that the failure to do so could affect the international reputation of Sri Lanka’s judiciary.

Prof. Peiris also claimed that the Bar Association of Sri Lanka had repeatedly called for the vacancies to be filled, warning that the present developments could have an adverse impact on the country’s standing internationally.

He questioned whether it was justified to place Sri Lanka in a difficult international position to serve, what he described as, “a narrow and partisan political objective.”

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Dengue surge infects 76,000, claims about 53 lives

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The total number of dengue cases reported in Sri Lanka so far this year has risen to 76,044, with health authorities warning the public to remain vigilant amid a continued surge in infections.

The National Dengue Control Unit (NDCU) said 2,652 dengue cases had been reported on Sunday (19) alone, while 162 Medical Officer of Health (MOH) divisions across the country continue to be classified as high-risk dengue zones.

The latest figures indicate a sharp rise in dengue infections during the past few months, with 8,590 cases recorded in May, followed by 21,537 cases in June. A further 20,666 cases have been reported during the first 19 days of July.

The dengue outbreak has claimed 53 lives so far this year, with the case fatality rate standing at 0.07%, according to the NDCU.

The Western Province remains the worst affected region, accounting for 40,009 cases, or 52.61% of the country’s total infections. The Southern Province has recorded 11,707 cases (15.40%), while the Central Province has reported 6,431 cases (8.46%).

At district level, Gampaha has recorded the highest number of dengue infections with 15,910 cases, followed closely by Colombo with 15,110 cases. Of the Colombo District cases, 3,073 were reported within the Colombo Municipal Council area.

Matara has recorded 5,330 cases, Kandy 5,111 cases and Kalutara 5,010 cases.

Health authorities have urged the public to take preventive measures by keeping their surroundings clean and eliminating mosquito breeding grounds, particularly amid prevailing rainy conditions.The public has also been advised to seek immediate medical attention if symptoms such as fever develop, as early medical intervention is essential in preventing severe complications from dengue.

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SC dismisses challenge to gender change procedures

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The Supreme Court yesterday dismissed, without taking up for consideration, a Fundamental Rights petition seeking to invalidate a circular that permits individuals in Sri Lanka to change their gender legally .

The petition had been filed by retired Sri Lanka Air Force (SLAF) Warrant Officer Shantha Jayathilake, who challenged the legality of procedures allowing individuals to alter their gender designation following medical and psychiatric assessments.

Former Presidents Maithripala Sirisena and Ranil Wickremesinghe, as well as incumbent President Anura Kumara Dissanayake, were among those named as respondents in the petition.

The petitioner alleged that successive governments, including the present administration, had facilitated gender changes through medical procedures in a manner contrary to Sri Lankan law.

Jayathilake contended that the law did not permit a person to change their sex from male to female or female to male through medical intervention in the absence of a biological basis. He further argued that individuals had been allowed to alter their gender identity on the recommendation of a psychiatrist, under guidelines issued in 2016 by the then Director General of Health Services.

The petitioner also claimed that authorities had been issuing revised birth certificates and National Identity Cards to persons who had undergone gender-transition procedures, maintaining that such actions were unlawful.

However, the Supreme Court declined to entertain the application and dismissed the petition without granting leave to proceed.

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