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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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Landslide RED warnings issued to the Divisional Secretaries Divisions of Ududumbara, Nildadndahinna and Walapane

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The landslide early warning center of the National  Building Research Organisation [NBRO] has issued RED warnings to the districts of Kandy and Nuwara Eliya for the next 24 hours effective from 0900 hrs today [09th January].

Accordingly,
LEVEL III RED landslide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Ududumbara in the Kandy district, and Nildandahinna and Walapane in the Nuwara Eliya district.

LEVEL II AMBER landslide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Wilgamuwa in the Matale district, and Mathurata and Hanguranketha in the Nuwara Eliya district.

LEVEL I YELLOW landslide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Uva Paranagama, Welimada,  Kandaketiya, Badulla, Meegahakiwula, Hali_Ela, Passara and Lunugala in the Badulla district, Minipe in the Kandy district, Ambanganga Korale, Ukuwela, Rattota, Naula and Laggala_Pallegama in the Matale district, and Nuwara Eliya in the Nuwara Eliya district.

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A Policy is being formulated to ensure Child Protection in the use of Technology — Prime Minister

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Prime Minister Dr. Harini Amarasuriya stated that a policy is currently being formulated to ensure child protection in the use of technology.

The Prime Minister made this statement on Thursday (08) in Kandy while briefing the Most Venerable Mahanayake Theros of the Asgiriya and Malwathu Chapters on the issue that has arisen regarding the Grade 6 English module. Thereafter, printed copies of all modules were  presented to the Mahanayake Theros.

Earlier on Thursday  (08), the Prime Minister visited the Malwathu Viharaya in Kandy and met the Most Venerable Thibbatuwawe Sri Siddhartha Sumangala Nayaka Thero, the Mahanayake of the Malwathu Chapter, where she explained the error that had occurred in the first print run of the English module for Grade 6 .

The Mahanayake Theros emphasized that education is a sensitive subject and that such matters should be handled with greater sensitivity and proper oversight. They further advised that a formal investigation should be conducted and that education reforms should be carried forward in a systematic manner.

Subsequently, the Prime Minister visited the Asgiriya Maha Viharaya and met the Most Venerable Warakagoda Sri Gnanarathana Mahanayaka Thero of the Asgiriya Chapter, where she clarified the error related to the English module.

The Mahanayake Thero noted that education reforms are a timely necessity and should be implemented with due oversight and careful review and also pointed out that there are broader issues in Sri Lanka regarding the use of technology, which are evident in the manner in which modern tools such as AI technologies are being used on social media.

Clarifying the issue Prime Minister Dr. Harini Amarasuriya further stated,

“We have appointed a committee to look into this issue, and based on the recommendations of the National Institute of Education (NIE), steps were taken to remove the relevant lesson. In addition, all printed copies of the relevant module have been stamped, and no module has been distributed to schoolchildren. A formal investigation into this matter has been initiated by the Ministry, and a complaint has also been lodged with the Criminal Investigation Department.

At the same time, we are in the process of formulating a policy on child protection in the use of technology”.

Thereafter, addressing the media and responding to the’ questions raised by journalists, the Prime Minister stated:

“The Opposition is attempting to use this national task for their own political advantage. However, many in society have expressed their views on the issues that have arisen in a positive manner, with the objective of identifying and correcting mistakes. The government has decided to move forward with education reforms by recognizing the error that have occurred and rectifying them. We will take the no-confidence motion brought by the Opposition as an opportunity to further advance dialogue on education reforms”

The occasion was graced by the Most Venerable Anunayaka Thero of the Asgiriya Chapter, Venerable Narampanawe Ananda Nayaka Thero; Deputy Registrar of the Asgiriya Chapter, Venerable Muruddeniye Dhammarakkhita Thero; Deputy Registrar of the Malwathu Chapter, Venerable Mahawela Rathanapala Thero; Members of Parliament Thushari Jayasinghe and Thanura Dissanayake; Mayor of Kandy Chandrasiri Wijenayake; Secretary to the Ministry of Education Nalaka Kaluwewa; and Secretary to the Ceylon Teachers’ Union in Central Province D. D. Wimalaweera.

[Prime Minister’s Media Division]

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The deep depression to the South-east of Sri Lanka is likely to intensify in to a cyclonic storm during the next 24 hours

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Deep depression Track. (Source: RSMC)

A RED warning  for a deep depression to the South-east of Sri Lanka has been issued at 01.00 a.m. on 09 January 2026 for the period until 01.00 a.m. 10 January 2026 by the Natural Hazards Early Warning Centre, of the Department of Meteorology.

The deep depression in the Bay of Bengal to the southeast of Sri Lanka (At 01:00 a.m. on Jan 9th, 2026 located about 200 km East of Pottuvil) is very likely to intensify further and move west-northwestwards towards the coast of Sri Lanka between Pottuvil and Trincomalee in the evening today (9th January 2026.) The system is likely to intensify in to a cyclonic storm
during the next 24 hours.

Hence, showery, and windy condition over the island, particularly in the Northern, North-Central, Eastern, Uva and Central provinces is expected to enhance.

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