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Sampur to result in more burdens for people

13 May 2013 03:52 pm - 20     - {{hitsCtrl.values.hits}}


In addition to the immense losses already incurred by the Ceylon Electricity Board (CEB), it would incur an additional loss of a staggering Rs.7.6 billion annually after the Sampur Coal Power Plant is fully operational, the Coalition against Corruption said today.

Despite Government assurances that the people’s financial burdens resulting from the electricity tariffs being increased would be eased after the construction of the power plant, the coalition said the people were likely to pay a further Rs.1,525 on their electricity bills following the completion of the Sampur power plant.

“This is due to the fraudulent nature of the agreement with the Indian company which was hired to construct the power plant,” coalition spokesman Saman Ratnapriya charged.

He said if the power plant was built according to international standards the rate of efficiency of the power plant should be 40%, however in the agreement with India, the CEB had agreed to a reduced rate of 33% efficiency, which meant the country would incur an annual loss of up to Rs.4.9 billion.

Mr. Ratnapriya said the annual expenditure incurred on maintaining the power plant would increase up to US$32 million which meant that the CEB would incur a loss of Rs.1.2 billion annually.

He said if adhered to internationally recognised standards the return on investment of a 500 megawatt power plant such as the Sampur power plant should be 18% in US dollars annually but instead it had been reduced to 12% in the CEB agreement which would result in a loss of Rs.1.2 billion. (Olindhi Jayasundere)

  Comments - 20

  • R.Rohan Tuesday, 14 May 2013 09:32 AM

    CEB is a highly corrupted institution.

    channa Tuesday, 14 May 2013 11:18 AM

    I'm not sure if Saman Rathnapriya is da right person to make a such comment because this is not his subject.

    lankan public Tuesday, 14 May 2013 11:10 AM

    Ow , we dont avhe qulified people to study the issue before.
    Ministirs shoud bear a part of it .. This is Lanka

    Upali Tuesday, 14 May 2013 10:37 AM

    In short, not only CEB or Sampur power plant, but the entire government is a burden for the people!

    Truth Hurts Tuesday, 14 May 2013 10:25 AM

    I did not want to take part in the general strike called, but now I am compelled to think about it.

    MirakRajBanda Tuesday, 14 May 2013 10:13 AM

    Not even politician can't make this much money. You should be a politician and a member of ..........

    willows Tuesday, 14 May 2013 09:53 AM

    even the efficiency rate at 40% we are still losing @ 3 bil???

    sena Tuesday, 14 May 2013 09:47 AM

    Probably someone's pocket is being filled or "they do not know what they are doing " so help them see light of day at the end of the tunnel at a very low cost.

    Suq Madique Tuesday, 14 May 2013 09:41 AM

    Seems Sampur will create a bigger hole instead of plugging the existing one.

    nalaka Tuesday, 14 May 2013 09:34 AM

    ohh god this indian papadam will be worse than chinese, this may break down at a daily rate

    thala Monday, 13 May 2013 05:09 PM

    Wow there we go

    Chewing Gum Tuesday, 14 May 2013 09:31 AM

    Not to worry, they will pickup the %. That is the main exercise. Power generation is a byproduct.

    DHA Tuesday, 14 May 2013 09:12 AM

    Today only I knew there was a group called "Coalition against Corruption"....were u'll sleeping all these days ???.......

    Sonali De Silva Tuesday, 14 May 2013 06:00 AM

    This is clear proof that this country is run by imbeciles. You need not look any further.

    mohamed asfar Tuesday, 14 May 2013 05:52 AM

    oh...some billions loss.i thought trillions. poooh.

    Seriously Tuesday, 14 May 2013 05:49 AM

    Not exactly, I thought coal will bring down the ops cost? So how come it be a loss? Commissions?

    Minister Tuesday, 14 May 2013 04:33 AM

    Why on earth a Government, if its a responsible one to its peoples, embrace some project that is going to cause losses in billions for its people? I cannot understand the logic!

    raviraj Tuesday, 14 May 2013 03:24 AM

    if the efficiency is reduced from 40% to 33% can you explain how will the country incur additional Rs.4.9 billion loss

    DN Tuesday, 14 May 2013 03:12 AM

    Most important part is missing in the report. The billions of money which goes to pockets of politicians.

    CriticRoshan Tuesday, 14 May 2013 12:45 AM

    All additional losses what ever, to be borne by poor low income citizens in Sri Lanka.

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