New Fortress Energy /Yugadanavi Power Plant Govt. will not agree to pay more than Rs 18 per unit

• Previous govt. had awarded projects at prices high as Rs 21

By Yohan Perera and Ajith Siriwardana

Minister Mahindananda Aluthgamage yesterday said the government had agreed to work with New Fortress Energy only if the company supplied a unit of power at Rs 18, a Cabinet Minister told Parliament yesterday.

Speaking during the committee stage debate on the budget in the house on behalf of Minister of Power Gamini Lokuge, Minister Aluthgamage said President Gotabaya Rajapaksa had assured that government will not agree to pay more than Rs 18 for a unit produced at Yugadanavi Power Plant in Kerawalapitiya. “The price of a unit produced at Yugadanavi will not go beyond Rs 18,” he said.

“It will not be possible to overcome the challenges in the power sector without the support of the private sector,” Mr. Aluthgamage said.

“Our government has not given licences to mini power projects if the quoted unit price is high.  The previous government had awarded projects to companies that had quoted prices as high as Rs 21. Even a unit of power that has been produced at a power plant in Aruwakaru costs Rs 21 a unit,” he also said. 

• It will not be possible to overcome the challenges in the power sector without the support of the private sector