Features
Taiwan’s and Sri Lanka’s Power Sectors
by Kumar David
(State Owned Utility like our CEB)
There is no reason, except cabinet and ministerial mismanagement, government meddling and political corruption, why the electricity supply sector is a mess in Mother Lanka but successful in, say Taiwan. But then the same is true of these two economies almost in every way. Lanka’s population is 22 million and Taiwan’s 26 million, our land area of 65 thousand sq. km is quite a bit larger than Taiwan’s 36 thousand and both countries lack significant deposits of oil, gas or mineral resources. Taipei, latitude 25 degrees north of the equator is more temperate than Colombo’s six degrees north. The economic indices however are as far apart as paradise is from purgatory; Taiwan’s nominal GDP and GDP per capita are US$ 760 billion and US$ 32,000, respectively, while the corresponding numbers in Mother Lanka before Covid were US$ 88 billion and US$ 3,700; though in the first decades after the Second World War we started with a notable handicap in our favour. People wistfully recall Lee Kuan Yew’s lament about similar early disadvantages that Singapore had to start from. Taiwan in those days after the civil-war in China was a bigger laggard.
These differences show up sharply in the electricity supply sector. The size of the sector in Taiwan with the corresponding number for Sri Lanka in parenthesis is; installed capacity 49 GW (4.1 GW) and electricity generated 270 TWh (20 TWh). A TWh (terra watt hour) is a thousand-million kWh and a kWh in common parlance is a unit. Taipower, Taiwan’s CEB owns the world’s largest gas-turbine power-station, the 4.4 GW Tatan and the world’s fourth largest coal-fired station, the 5.5 GW monster Taichung, nine times bigger than today’s Norochcholai. And, Taipower manages without provoking too big an uprising by irate environmentalists and without blanketing the nearby countryside with fly-ash to an unbearable extent. Taiwan’s breakdown of generation by energy source is 35% coal, 32% gas, 10% nuclear, 9% renewables and 8% oil. Allow me to remind you that in Sri Lanka the averages – hydro varies with rainfall and modifies all other annual percentages – is about 40% coal and 25% major hydro, other renewables including minor-hydro, wind, solar and biomass add to about 5%. The rest is oil-fired (private and CEB). Renewables will increase in the coming years in absolute terms but not much as a percentage because demand too will rise as the country’s economy (hopefully) improves.
Taiwan as one of four Asian Tigers is credited with an astounding economic trajectory; but the other three are easier to understand. South Korea is the biggest and Korea has the longest modern history, it also sports a complex and chequered relationship with Japan. Singapore’s upswing is half a century and going; it is a meritocracy of singular distinction, a place where racial bigotry is officially despised and there is English. Hong Kong from the post-revolution Shanghai money pots and after that in Deng’s days it was a sophisticated hub of the world’s soon to be largest economy. But Taiwan is different. It was colonised and raped by Japan from 1895 to 1945, and in 1949, kicked out of China. Chiang Kai Chek established himself as dictator till he died in 1975. Forty two years of Martial Law on the island ended only in July 1987 and thereafter the territory gradually emerged as a thriving if cantankerous democracy.
In the next three to four decades Taiwan evolved into a thriving economic powerhouse. What is the answer to this enigma? Let me try to explain. First, Taiwan was in the frontline of America’s anti-China policy and a magnet for American investment and finance. Second, a treasure-trove of Chinese talent fled to the island with Chiang in the late 1940s and carried with it a mother-lode of historical and artistic treasure and money. Thirdly, Deng’s opening up of China benefited Taiwan as much as it did Hong Kong.
However there is another reason which is no less important for us in Sri Lankan. Religion, language and ethnicity count for nothing and Taiwan has no “national conflict” to speak of; it is pretty cohesive. Mandarin is the unofficial national language and after the removal of Japanese was made compulsory in schools. It is a more natural lingua franca in Taiwan than English or Hindi are in India. True, though related, in everyday life nearly 70% speak Hoklo (Hokkien) and 20% use Hakka; aboriginals have their own languages. The point however is that the government recognises and fosters many languages and dialects.
A second huge advantage that Taiwan has over Sri Lanka is that religion has no clout in public life and plays no official role. No Mahanayakes or Ganasaras rally their forces, no Cardinals gather their flock and there is hardly a ‘madarasa’ school in sight. Thankfully, 20% of Taiwan’s population is officially atheist. Among the majority about 35% each are Far Eastern Buddhists and Taoists and 4% Christians. Nearly 10% belong to a rainbow of faiths though unfortunately Animists (a better lot than the religious) have died out even among the remoter indigenous peoples. The lesson to me seems clear; though admittedly language, race, ethnicity and religion aid social cohesion, communication and culture, none can dominate the show and boss others in political-space. Now you fill in the blanks.
Let me get back to the electricity sector which I chose because it is topical in Lanka and representative of the point at which I am hammering away. There are reasons some different and some similar why renewable sourced electricity is nine percent in Taiwan and 25-30% in Sri Lanka. Taiwan is simply not blessed with big hydro power in the way we are. However, being a small island with an even higher population density than Lanka it simply cannot find the tens of thousands of acres of land needed to generate gigawatts of power and terra-watt hours of electricity using solar panels. Being intelligent the Taiwanese are not living in 70% cloud-cuckoo land.
A crucial matter on which learning from East Asia is vital for Sri Lanka is how to buy LNG on contract and in global spot-markets. Whatever happens to the New Fortress Energy game (I hope a competitive tender succeeds instead) we can be certain that LNG is the way to go. The hard part is that gas and LNG prices have been wildly volatile in 2021 thanks to supply chain disruptions and the unexpected post-Covid pick up of the global economy. And the future’s not ours to see. Therefore, Sri Lanka, meaning CEB and CPC, need to build LNG buying departments and teams and start training right now. East Asia is the place to send our people for training.
Let me give you a ball-park idea of scale. When the two stations (total 660 MW) now under consideration for LNG fuelling in the Negombo area are in full flow they will need about 35 million-million Btu of LNG a year. The secretive contract with New Frontier Energy makes mention of the following two pricing options for the Take-or-Pay deal that is being pushed: Henry-Hub+115%+$5 per million Btu or Japan-Korea Marker+$1.15 per million Btu. My column last week (Oct 3) carried graphs of Henry Hub and JK-Marker prices in recent months. No one can be sure where they will end up in about two years but these two composites computed on Jan 2021 prices work out at about $12 and $25 per million Btu, respectively. (The big difference may be due to liquefaction and transport costs but the variation underlines a point; we need purchasing people who are on the ball. Otherwise the country will be screwed).
Now as I said these are ball-park numbers to indicate to readers the magnitudes involved. Let me use $15 per million Btu for LNG for my purposes next. The LNG bill for the two aforementioned power stations will be about $525 million per annum – dear God! The CEB’s long term expansion plan to 2037 speaks of a gas-fired generating capacity of about 3,000 MW. If all this happens and if prices stay more or less the same as my assumption, the outlay on LNG fuel will be in the region of $2 billion to $2.5 billion per year. These numbers will be out of kilter within a decade but one thing is for sure, LNG is the way of the foreseeable future for electricity generation and it brings me back to what I am trying to say: Start inducting a group of blokes with expertise in gas purchasing and LNG spot markets. My two cents worth is that East Asia is an important location for this training. After core teams are built the skills will become self-perpetuating, but get down to training buyers now whatever happens to ongoing shenanigans.
There is one other matter we need to bear in mind going forward. China’s President Xi announced at the UN a few weeks ago that his country will not build any more coal-fired plants abroad. Sri Lanka’s only coal plant and the additional unit now being installed are Chinese made; and China helped in the financing. Now that road is closed. However, the CEB’s 2020-2039 expansion plan envisages the addition of 1,800 MW of coal-fired capacity distributed over five power plants in this period. Pretty surely some projects will go out of the window but the 600 MW plant at Foul Point said to be for 2026 will be re-timed but not easy to replace. Europe and America are not in the power plant construction game but are turbine, generator, transformer and control software providers. This leaves us with India, Japan and South Korea as potential sources for finance and equipment and construction agents as well. Taiwanese plant contractors with equipment sourced globally may also be an option. Is it too cheeky to expect Beijing to finance projects while the province of Taiwan builds them? Ah well, hope springs eternal in the human breast and paupers need to find ever more innovative ways to beg.
Features
The Easter investigation must not become ethno-religious politics
Representatives of almost all the main opposition parties were in attendance at the recent book launch by Pivithuru Hela Urumaya leader Udaya Gammanpila. The book written by the PHU leader was his analysis of the Easter bombing of April 2019 that led to the mass killing of 279 persons, caused injuries to more than 500 others and caused panic and shock in the entire country. The Easter bombing was inexplicable for a number of reasons. First, it was perpetrated by suicide bombers who were Sri Lankan Muslims, a community not known for this practice. They targeted Christian churches in particular, which led to the largest number of casualties. The bombing of Sri Lankan Christian churches by Sri Lankan Muslims was also inexplicable in a country that had no history of any serious violence between the two religions.
There were two further inexplicable features of the bombing. The six suicide bombings took place almost simultaneously in different parts of the country. The logistical complexity of this operation exceeded any previously seen in Sri Lanka. Even during the three decade long civil war that pitted the Sri Lankan military against the LTTE, which had earned international notoriety for suicide attacks, Sri Lanka had rarely witnessed such a synchronised operation. The country’s former Attorney General, Dappula de Livera, who investigated the bombing at the time it took place, later stated, upon retirement, that there was a “grand conspiracy” behind the bombings. That phrase has remained central to public debate because it suggested that the visible perpetrators may not have been the only planners behind the attack.
The other inexplicable factor was that intelligence services based in India repeatedly warned their Sri Lankan counterparts that the bombings would take place and even gave specific targets. Later investigations confirmed that warnings were transmitted days before the attacks and repeated again shortly before the explosions, yet they were not acted upon. It was these several inexplicable factors that gave rise to the surmise of a mastermind behind the students and religious fanatics led by the extremist preacher Zahran Hashim from the east of the country, who also blew himself up in the attacks. Even at the time of the bombing there was doubt that such a complex and synchronised operation could have been planned and executed by the motley band who comprised the suicide bombers.
Determined Attempt
The book by PHU leader Gammanpila is a determined attempt to make explicable the inexplicable by marshalling logic and evidence that this complex and synchronised operation was planned and executed by Zahran himself. This is a possible line of argumentation in a democratic society. Competing interpretations of public tragedies are part of political discourse. However, the timing of the intervention makes it politically more significant. The launch of the PHU leader’s book comes at a critical time when the protracted investigation into the Easter bombing appears to be moving forward under the present government.
The performance of the three previous governments at investigating the bombing was desultory at best. The Supreme Court held former President Maithripala Sirisena and several senior officials responsible for failing to act on prior intelligence and ordered compensation to victims. This judicial finding gave legal recognition to what victims had long maintained, that there was a grave dereliction of duty at the highest levels of the state. In recent weeks the investigation has taken a dramatic turn with the arrest and court production of former State Intelligence Service chief Suresh Sallay on allegations linked directly to the attacks. Whether these allegations are ultimately proven or disproven, they indicate that the present phase of the investigation is moving beyond negligence into possible complicity.
This is why the present moment requires political sobriety. There is a danger that the line of political division regarding the investigation into the Easter bombing can take on an ethnic complexion. The insistence that the suicide bombers alone were the planners and executors of the dastardly crime makes the focus invariably one of Muslim extremism, as the suicide bombers were all Muslims. This may unintentionally narrow public attention away from the unanswered questions regarding intelligence failures, possible political manipulation, and the allegations of a broader conspiracy that remain under active investigation. The minority political parties representing ethnic and religious minorities appear to have realised this danger. Their absence from the book launch was politically significant. It suggests an unwillingness to be drawn into a narrative that could once again stigmatise an entire community for the crimes of a handful of extremists and their possible handlers.
Another Tragedy
It would be another tragedy comparable in political consequence to the havoc wreaked by the Easter bombing if moderate mainstream political parties, such as the SJB to which the Leader of the Opposition belongs, were to subscribe to positions merely to score political points against the present government. They need to guard against the promotion of anti-minority sentiment and the fuelling of majority prejudice against ethnic and religious minorities. Indeed, opposition leader Sajith Premadasa in his Easter message said that justice for the victims of the 2019 Sri Lanka Easter Sunday attacks remains a fundamental responsibility of the state and noted that seven years on, both past and present governments have failed to deliver accountability. He added that building a society grounded in trust and peace, uniting all ethnicities, religions and communities, is vital to ensure such tragedies do not occur again.
Sri Lanka’s post war history offers too many examples of how unresolved security crises become vehicles for majoritarian mobilisation. The Easter tragedy itself was followed by waves of anti-Muslim suspicion and violence in some parts of the country. Responsible political leadership should seek to prevent any return to that atmosphere. There are many other legitimate issues on which the moderate and mainstream opposition parties can take the government to task. These include the lack of decisive action against government members accused of corruption, the passing of the entire burden of rising fuel prices on consumers instead of the government sharing the burden, and the failure to hold provincial council elections within the promised timeframe. These are issues that touch the daily lives of citizens and the health of democratic governance. They offer the opposition ample ground on which to build credibility as a government in waiting.
The search for truth and justice over the Easter bombing needs to continue until all those responsible are identified, whether they were direct perpetrators, negligent officials, or political actors who may have exploited the tragedy. This is what the victim families want and the country needs. But this search must not be turned into a partisan and religiously divisive matter such as by claiming that there are more potential suicide bombers lurking in the country who had been followers of Zaharan. If it is, Sri Lanka risks replacing one national tragedy with another. coming together to discredit the ongoing investigations into the Easter bombing of 2019 is an unacceptable use of ethno-religious nationalism to politically challenge the government. The opposition needs to find legitimate issues on which to challenge the government if they are to gain the respect and support of the general public and not their opprobrium.
by Jehan Perera
Features
China’s new duty-free regime for Africa: Implications for Global Trade and Sri Lanka
* The new duty-free regime for Africa, announced by Chinese President Xi Jinping in February, is the most generous unilateral nonreciprocal trade concession offered by any country to developing countries since the beginning of the modern rule based international trading system.
* Yet, it is a clear violation of the cornerstone of the multilateral trade law, the Most-Favoured-Nation (MFN) principle.
* Hence, its implications on developing countries, without duty-free access to China, will be extremely negative. Sri Lanka is one of the few developing countries without duty-free access to China.
On 14 February, 2026, Chinese President Xi Jinping announced that China will grant zero-tariff treatment to 53 African nations, effective 01 May, 2026. Under this new unilateral policy initiative, China would eliminate all import tariffs on all goods imported from all the countries in Africa, except Eswatini. China already enforces a zero-tariff policy for 33 Least Developed Countries (LDCs) in Africa. Now this policy would be extended to non LDCs as well. This policy initiative clearly aims at reducing the continuously expanding trade deficit between China and Africa. In 2024, China’s trade surplus against Africa was recorded at US $ 61 billion.
This trade initiative, a precious gift amidst ongoing global trade tensions, is the most generous unilateral nonreciprocal trade concession given by any country to developing countries, since the beginning of the modern rule based international trading system.
Though this landmark announcement has far-reaching implications on global trade, as much as President Trump’s “Liberation Day” tariffs, it was almost overlooked by the global media.
Implications for Global Trade
This Chinese policy initiative, though very generous, is a clear violation of the Most-Favoured-Nation (MFN) principle and the “Enabling Clause” of the International Trade Law. The MFN principle is the cornerstone of the multilateral trading system under the World Trade Organisation (WTO) and is enshrined in Article I of the General Agreement on Tariffs and Trade (GATT). It mandates that any trade advantage, privilege, or immunity granted by a WTO member to any country must be extended immediately and unconditionally to all other WTO members. Though, the GATT “Enabling Clause” allows developed nations to offer non-reciprocal preferential treatment (lower tariffs) to developing countries without extending them to all WTO members, this has to be done in a non-discriminatory manner. By extending tariff concessions only to developing countries in Africa, China has also breached this requirement.
This deliberate violation of the MFN principle by China occurs less than 12 months after the announcement of “Liberation Day” tariffs by President Trump, which breached Article I (MFN) and Article II (bound rates) of the GATT. However, it is important to underline that the objectives of the actions by the two Presidents are poles apart; the US objective was to limit imports from all its trading partners, and China’s objective is to increase imports from African countries.
Though the importance of the MFN principle of the WTO law had eroded over the years due to the proliferation of preferential trade agreements and unilateral preferential arrangements, the WTO members almost always obtained WTO waivers, whenever they breached the MFN principle. Now the leaders of the main trading powers have decided to violate the core principles of the multilateral trading system so brazenly, the impact of their decisions on the international trading system will be irrevocable.
Implications for Sri Lanka
China’s unilateral decision to provide zero-tariff treatment to African countries will have a strong adverse impact on Sri Lanka. Currently, all Asian countries, other than India and Sri Lanka, have duty-free access, for most of their exports, into the Chinese market through bilateral or regional trade agreements, or the LDC preferences. Though Sri Lanka, India and China are members of the Asia Pacific Trade Agreement (APTA), preferential margins extended by China under APTA to India and Sri Lanka are limited.
The value of China’s imports from Sri Lanka had declined from US$ 650 million in 2021 to US$ 433 million by 2025. However, China’s exports to Sri Lanka increased significantly during the period, from US$ 5,252 million to US$ 5,753 by 2025. This has resulted in a trade deficit of US$ 5,320 million. Sri Lanka’s exports to China may decline further from next month when African nations with duty-free access start to expand their market share.
Let me illustrate the challenges Sri Lanka will face in the Chinese market with one example. Tea (HS0902) is Sri Lanka’s third largest export to China, after garments and gems. Sri Lanka is the largest exporter of tea to China, followed by India, Kenya and Viet Nam. During the last five years the value of China’s imports of tea from Sri Lanka had declined significantly, from US$76 million in 2021 to US$ 57 million by 2025. Meanwhile, imports from our main competitors had increased substantially. Most importantly, imports from Kenya increased from US$ 7.9 million in 2021 to US$ 15 million in 2025. For tea, the existing tariff in China for Sri Lanka is 7.5% and for Kenya is 15%. From next month the tariff for Kenya will be reduced to 0%. What will be its impact on Sri Lanka exports? That was perhaps explained by a former Ambassador to Africa, when he urged Sri Lankan exporters to “leverage duty free access from Kenya” to expand their exports to China!
(The writer is a retired public servant and a former Chairman of WTO Committee on Trade and Development. He can be reached at senadhiragomi@gmail.com)
by Gomi Senadhira
Features
Daughter in the spotlight …
Jeevarani Kurukulasuriya was a famous actress and her name still rings a bell with many. And now in the spotlight is her daughter Senani Wijesena – not as an actress but as a singer – and she has been singing, since the age of five!
The plus factor is that Senani, now based in Australia, is also a songwriter, plays keyboards and piano, dancer, and has filmed and edited some of her own music videos.
Says Senani: “I write the lyrics, melody and music and work with professional musicians who do the needful on my creations.”
Her latest album, ‘Music of the Mirror’, is made up of 16 songs, and her first Sinhala song, called ‘Nidahase’, is scheduled for release this month (April) in Colombo, along with a music video.
‘Nidahase’,
says Senani, is a song about Freedom … of life, movement, love and spirit. Freedom to be your authentic self, express yourself freely and Freedom from any restrictions.
In fact, ‘Nidahase’ is the Sinhala translated version of her English song ‘Free’ which made Senani a celebrity as the song was nominated for a Hollywood Music in Media Award in the RnB /Soul category and reached the Top 20 on the UK Music weekly dance charts, as well as No. 1 on the Yes Home grown Top 15, on Yes FM, for six weeks straight.
Senani went on to say that ‘Nidahase’ has been remixed to include a Sri Lankan touch, using Kandyan drums and the Thammattama drum, with extra music production by local music producer Dilshan L. Silva, and Australia-based Emmy Award winning Producer and Engineer Sean Carey … with Senani also in the scene.
The song was written (lyrics and melody) and produced by Senani and it features Australian musicians, while the music video was produced by Sri Lanka’s Sandesh Bandara and filmed in Sri Lanka.

First Sinhala song scheduled for release this month … in Colombo
Senani’s music is mostly Soul, Funk and RNB – also Fusion, using ethnic sounds such as the tabla, sitar, and sarod – as well as Jazz influenced.
“I also have Alternative Music songs with a rock edge, such as ‘New Day’, and upcoming releases ‘Fly High’ and ‘Whisper’“, says Senani, adding that she has also recorded in other languages, such as Hindi and Spanish.
“As much of my fan base are Sri Lankans, who have asked me to release a song in the Sinhala language, I decided to create and release ‘Nidahase’ and I plan to release other original Sinhala songs in the future.
Senani has a band in Australia and has appeared at festivals in Australia, on radio and TV in Australia, and Sri Lanka.
She trained as a vocalist, through Sydney-based Singing Schools, as well as private tuition, and she has 5th Grade piano music qualifications.
And this makes interesting reading:
“I graduated from the University of Newcastle in Australia with a Bachelor of Medicine and I work part time as a doctor (GP) and an Integrative Medicine practitioner, with a focus on nutrition, and spend the rest of the time dedicated to my music career.”
Senani hails from an illustrious family. In addition to her mum, Jeevarani Kurukulasuriya, who made over 40 films, including starring in the first colour movie ‘Ranmuthu Duwa’, her dad is Dr Lanka Wijesena (retired GP) and she has two sisters – all musical; one is a doctor, while the other is a dietitian/ psychotherapist.
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