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By Ravi Ladduwahetty

The Government has decided to permit the private sector to import a part of the requirement of electricity metres to fill the void of unmetered connections which number 357,000 units, Minister of Power and Energy Karu Jayasuriya told the Daily News in an interview.

In addition to this, the main causes for the losses of the Ceylon Electricity Board (CEB) are the unrecovered costs of the fuel and that is why the Government permitted the Ceylon Petroleum Corporation to have the fuel prices based on the fluctuations in global prices, he said.

Q: What is your vision for the long term power generation in the light of the coal fired power plant and the Upper Kotmale Hydro Power project taking a minium of another five years?

A: We are looking forward to the medium and long term power plants. As far as the hydro power sector is concerned, we have decided to proceed with the Upper Kotmale project which will take five years. We will also proceed with the thermal power station initially with 300 MW and which can go up to 900 MW. This will be in three stations. The decision is firm. There are three locations that we are contemplating, which will be either Norochcholai, Hambantota or Trincomalee. The decision will be taken in two weeks and it will be the Cabinet which will decide on this.

Q: Of the short term plans, many are sceptical about your proposed plans before June in the light of the monsoonal rainfalls before June. What is your reaction?

A: We will guarantee that the entire power cut will be lifted on June 20. That is where my deadline ends. I made the pledge at 10.57 am on December 20, last year at a news conference. I told the media to count from that date.

Q:It is said that Dr. Tilak Siyambalapitiya, a veteran in the sphere of power and energy, has predicted another major imbroglio in the power sector in 2006/2007. What is your reaction and how do you see countering this ?

A: We are currently having a close dialogue with all the frontline resource personnel in the energy sector and all the committee members of the Institution of Engineers. We are personally aware that there is a possibility of a short term deficit around that time. However, we will assure that the country will not be kept in darkness ever again in the future.

Q: If the private sector is made to participate in power generation, there should be a realistic tariff structure. It is said that the current levels are consistently low. So do you see substantial increases in tariffs in the near future ?

A: It is most certainly true that the tariff structure in Sri Lanka is low, keeping in mind the levels of poverty prevailing in the country. These tariff reductions must be persisted with until we can afford to bring down the costs of generation.

Q: The losses are said to be high due to unmetered connections and overstaffing of the CEB. How do you rectify this anomaly ?

A: The main reason for the losses have been that the costs of fuel have not been recovered. That is why the fuel adjustment had to be made. With regard to the staff, there are surpluses on one side and deficits in other areas. This will be examined. There will be a total revamping of the CEB soon which will take it to new heights. As for unmetered connections there are 357,000.

Q: If the supply of the metres are a problem, why can't the Government permit the private sector to import them for the CEB on a tender basis ?

A: The Government has decided to import a part of this and already offered the balance to the private sector and I hope that the private sector will make use of this opportunity.

Q: The CEB has called for the installation of generating plants in the capacity of 100 MW in at least three locations such as Trincomalee, Hambantota, and Embilipitiya. Can the Ministry of Power and Energy publicly announce that the transmission lines are capable of transmitting the additional power from these plants to the national grid ?

A: It is true that the CEB and the Energy Supply Committee has called for the installation of additional power totalling to 300 Megawatts under emergency purchases. It was advertised and it went trough the normal tender procedure. Now 240 Megawatts has already been installed. They are at Mathugama, Kosgama, Valanagoda and Ambatale. Of course the transmission lines are capable of handling the additional supply. The CEB has completed the studies on that which have been extensive. One emergency unit is also at Embilipitiya.

In addition to that, there is also a medium term energy supply program from which there will be an additional 200 Megawatts. These stations will be at Trincomalee, Hambantota, Embilipitiya, Amparai, Puttalam and Habarana. There will also be a station at Chunnakam which will supply Kankesanthurai. These projects will be commissioned in around June 2003. Offers have been called on March 22. Tenders will be awarded by June/July and they will be commissioned in 2003.

Q: The transmission lines from Trincomalee to the new Anuradhapura substations are said to be inadequate to transmit an additional 100 MW of power installed in Trincomalee. If this is true, what action is planned to strengthen the power line?

A: There will be a substation at Trincomalee under the medium term where there will be an addition of around 50-60 Megawatts. The existing 132 Kilovolt (KV) lines are adequate to transmit this.

Q: Are you aware that the present supply of furnace oil is only in the range of 1.2 million metric tonnes per annum and with the increased demand in power under the medium term, the increase in the demand at the rate of 100 Megawatts of energy is in the range of 250,000 tonnes of fuel? Therefore, has the CPC planned to store the increased quantities and also have it pumped from the Colombo Port faster than the present rate of five days to unload 40,000 tonnes?

A: This has not been studied yet.

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