The Public Utilities Commission of Sri Lanka (PUCSL), approved the second re-gasified Liquid Natural Gas-powered Combined Cycle power plant project to be built in Kerawalapitiya, PUCSL Chairmann Janaka Rathnayake said.
He said the project was approved after an an emergency meeting.
The plant's construction will be completed in 2023, with combined cycle operation beginning in 2024, he said.
"The plant will generate 300 MW of power and will add more than 1800 Gw/h annual power generation to the system. The power plant was designed as a dual-fuel power generator, which can generate electricity using both natural gas and diesel Once the natural gas supply is in place, the plant is expected to replace the expensive fuel oil-based generation", the Chairman said.
"The Ceylon Electricity Board (CEB) had requested PUCSL to tender this power plant under a Built Own and Operate basis (BOO) basis in May. The Commission held an emergency meeting on June 4 to go through the proposal and approved the request with changes including the power plant to be tendered under Built Own, Operate and Transfer basis (BOOT), considering the least cost principals andeconomic factors and required to revise the conditions of the agreement with regard to decommissioning cost as any decommissioning cost added in the plant cost to be paid back to CEB if the utility decides to take over the plant at the end of the contract period" the Chairman added. (Chaturanga Samarawickrama)