News
Engineers insist Lanka’s energy security in danger
By Ifham Nizam
US firm, New Fortress Energy, was trying to take advantage of the country’s declining economic situation on the pretext of purchasing 40 percent shares of the West Coast Power Plant, Yugadanavi by paying Sri Lanka USD 250 million, but in actual fact the US firm was targeting huge returns, says Ceylon Electricity Board Engineers’ Union President Saumya Kumarawadu.
Responding to queries, Kumarawadu said that the unsolicited offer from New Fortress included clauses that required Sri Lanka to make all LNG purchases through that firm. “In other , it will give the US firm an opportunity to make more than USD 6,000 million in a 10-year period. However, if LNG purchases went through competitive bidding the amount would be much lower,” he said, adding that they were waiting to take up the matter with President Gotabaya Rajapaksa.
The transaction cost under the NFE’s LNG supply contract could be in the range of USD 3000 million for five years and could go up to USD 6000 million for 10 years, given the fact that the country would be forced to buy LNG from NFE for the plants in Kelanitissa premises as well since there was no other alternative option, he said.
Exclusive rights of supplying LNG to Sri Lanka would be given to the American company for five years initially, but the country would be compelled to extend the period and that was a great threat to national energy security, he stressed.
The CEBEU President said they feared that the Colombo-based existing and future power plants could be controlled by the US company through the LNG supply deal, which would greatly hamper the country’s electricity supply availability and reliability. Supply of LNG under the contract might not be limited to the electricity sector but could also be extended to other sectors such as transport and domestic use in the years to come.
Dhammike Wimalaratne, Secretary of CEBEU said: “New Fortress USA only agrees to buy 40% government shares of West Coast Plant by paying Sri Lanka USD 250 million provided Sri Lanka agrees to give them the exclusive rights to supply and operate both LNG FSRU infrastructure and LNG Supply to all the power stations in the country.
He too warned that the national energy security in the country which was enforced through the Country’s National Energy Policy issued in Aug 2019 was in jeopardy.
It states, “Considering the impact to the country’s energy security, operation of the first terminal and LNG procurement shall be kept under state control”
• CEB has already developed a comprehensive road map for the deployment of LNG for Sri Lanka electricity generation through a detailed feasibility study funded by ADB.
• The intention was to deploy LNG for the Colombo based power plants initially with the actual LNG requirement determined carefully in accordance with CEB’s generation plan as well as forecasted dispatch scenario.
• The tenders were separated for the procurement of LNG terminal, pipeline and LNG supply through a competitive bidding process to secure the optimum economic benefits to the country while ensuring transparency and accountability.
• International Competitive Tenders were called by CEB to procure LNG terminal (FSRU, mooring facility and other infrastructure) and by CPC to construct the pipeline network and the bids received are currently under evaluation.
• Bid documents to procure LNG through a competitive bidding process are being prepared.
Indian Prime Minister Shri Narendra Modi departed today (06) from Air Force Base Anuradhapura concluding his State visit to Sri Lanka. The Indian Premier embarked on a tour to Sri Lanka at the invitation from President Anura Kumara Disanayake.
This visit underscores the enduring relationship encapsulated by the theme “Friendship of Centuries, Commitment to a Prosperous Future,” further solidifying the bonds between India and Sri Lanka.
This marks Prime Minister Modi’s fourth visit to Sri Lanka, which has further enhanced the economic, cultural, and historical relations between the two nations, while also reinforcing their multifaceted partnership. This visit by the Indian Prime Minister reinforces Sri Lanka’s important role in India’s “Neighbourhood First Policy” and ‘MAHASAGAR’ vision concerning diplomatic relations.
This state visit is anticipated to yield significant results on various collaborative initiatives, fostering a path towards mutual growth and development. The citizens of Sri Lanka will soon be able to witness the fruitful outcomes of these partnerships, and Indian Prime Minister Shri Narendra Modi’s visit will mark a significant milestone in the government’s pursuit of sustainable development focused on the needs of the people.
Accompanying Indian Prime Minister Modi were Indian External Affairs Minister Dr. S. Jaishankar, National Security Advisor Ajit Doval, Foreign Secretary Vikram Misri and a delegation of senior officials from the Indian government.
[PMD]
Latest News
President Dissanayake and Indian PM Modi jointly commission upgraded Maho-Omanthai railway line & Maho-Anuradhapura railway signalling system
The upgraded Maho–Omanthai railway line and the newly installed Maho–Anuradhapura railway signalling system were officially commissioned by Indian Prime Minister Shri Narendra Modi and President Anura Kumara Disanayake today (06)
The Prime Minister of India is currently visiting Sri Lanka at the invitation of President Anura Kumara Disanayake, reinforcing the longstanding bond encapsulated in the theme “Friendship of Centuries Commitment to a Prosperous Future” between the two nations.
Highlighting one of the key aspects of this visit, the two leaders participated in these inaugural ceremonies. The President and the Prime Minister of India jointly unveiled the commemorative plaque and commissioned the railway line and signalling system.
The upgraded Maho-Omanthai Railway Line project was carried out with funding through the Indian Credit Line, totalling an investment of US$ 91.27 million. The Maho–Anuradhapura railway signalling system, established as a result of President Disanayake’s recent visit to India, was funded by the Indian Government at a cost of USD 14.89 million.
[PMD]
Latest News
Prime Minister Modi and President Dissanayake pay homage to the sacred Jaya Sri Maha Bodhi
Indian Prime Minister Shri Narendra Modi, currently on a State visit to Sri Lanka, along with President Anura Kumara Disanayake paid homage to the sacred Jaya Sri Maha Bodhi in Anuradhapura this morning (06) and received blessings.
Following his visit to the sacred site, Prime Minister Modi proceeded to the Udamaluwa, where he met with the Chief Incumbent of the Atamasthanadhipathi and Chief Sanghanayake of Nuwarakalaviya, Most Venerable Dr. Pallegama Hemarathana Nayaka Thera, for a cordial discussion.
During the meeting, the Prime Minister shared that relics of the Buddha were discovered in excavations conducted in his home state of Gujarat during the 1960s. He further stated that he would discuss with the President of Sri Lanka the possibility of exhibiting these sacred relics in Sri Lanka.
Responding to a request made by the Atamasthanadhipathi to develop Bodh Gaya as a spiritual city, Prime Minister Modi assured that he would take the necessary steps after discussions with President Disanayake and work towards making it a reality.
The Maha Sangha, led by the Atamasthanadhipathi, chanted Seth Pirith and invoked blessings on the Indian Prime Minister.
The Indian Prime Minister also left a commemorative note in the special guest book at the site. In addition, he formally declared open the newly constructed ‘Makara Thorana’ within the Jaya Sri Maha Bodhi premises.
The occasion was also attended by Chief Incumbent of the Ruwanweli Maha Seya Temple Ven. Ethalawetunawewe Gnanathilaka Thera and other Atamasthana Viharadhipathi Theras, Minister of Foreign Affairs, Foreign Employment and Tourism Vijitha Herath, Minister of Trade, Commerce, Food Security and Cooperative Development, Wasantha Samarasinghe, Minister of Health and Mass Media Dr. Nalinda Jayatissa, North Central Province Governor Wasantha Jinadasa, Indian High Commissioner Santosh Jha and others.
[PMD]
Indian Prime Minister Shri Narendra Modi concludes State Visit to Sri Lanka
President Dissanayake and Indian PM Modi jointly commission upgraded Maho-Omanthai railway line & Maho-Anuradhapura railway signalling system
Prime Minister Modi and President Dissanayake pay homage to the sacred Jaya Sri Maha Bodhi
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