Despite the Government Ministers and Prime Minister Ranil Wickremesinghe advising the Tender Board of the Kerawalapitiya LNG power plant, the Ministry of Power and Renewable Energy has decided to go ahead with its own……biased decision to reject five of the six qualified bidders, top officials said.

A certain official in the Power and Renewable Energy Ministry has misled the Cabinet saying only the Korean company has given a proposal for LNG.

Despite the Technical Evaluation Committee (TEC) naming six bidders as suitably qualified, the Tender Board overruled the TEC recommendation for unknown reasons.

Now the SCAPC, (Standard Cabinet Appointed Procurement Committee) has for the second time taken a secret decision and has informed Samsung of Korea to be present for the financial bid opening this Friday, where strangely only its bid is to be opened.
Ceylon Today reliably learns that the other five bidders are being kept in the dark about this development.

It is learnt that the Ceylon Electricity Board (CEB) also has been kept in the dark. The CEB representative on the Tender Board has requested that all bids be opened.
(NA)

ReadMore:Controversy surrounds LNG tender

Ceylon Today 2017-08-09

By Dr. Tilak Siyambalapitiya

So, here we go again. There is a new team leading the Board of Investment. A new PPP agency is in the making, whatever PPP means. PUCSL, the electricity industry regulator, has recently approved an all-diesel power generation plan (name board says ‘gas’ but to the delight of many, they will run on diesel). The oil refinery is ageing and falling apart. While the entire world is drawing comfort in their energy business with low energy prices, Sri Lanka is shivering, moving dangerously towards full-scale power blackouts, shortages and price increases. Why?

To the Board of Investment

Your previous Chairman said in early 2015 that he has received four “proposals” to build liquefied natural gas (LNG) terminals, and that all four will be built. Note: The whole of India has only three terminals; the BOI wants Sri Lanka to have four terminals.

Obviously, the BOI Chairman did not know how much one cost, that the market is only for Sri Lanka (a gas terminal is not a garment factory, to manufacture and export), and that each one costs about $ 700 million. So he accepted “proposals” from four parties, boasted about it and did not allow a systematic process to be followed in procurement. Finally, two and a half years later, all four terminals, their proponents, local agents and the Chairman himself are gone with the wind. Sri Lanka is back to square one.

Adding insult to injury, the Government reportedly issued letters of intent to two countries to build gas terminals. What a joke? Governments do not issue letters of intent to another government. They are not worth the paper on which they are written on. Letters of intent are commercially binding documents, issued after a serious procurement process. You do not issue a letter of intent on an undefined project. Such flimsy documents in the bureaucratic jargon are called ‘non-binding MOUs’. So with a flimsy MoU on a gas terminal, Sri Lanka is again back to square one……

Read more: http://www.ft.lk/article/632246/An-open-letter-to-BOI–PPP-on-petroleum–gas-and-electricity-industry

Daily FT  31 July 2017

The Engineers’ Union of Ceylon Electricity Board (CEBEU) has called for the appointment of fresh professionals to the Public Utilities Commission of Sri Lanka (PUCSL) since there has been a breakdown in trust among the membership.

The CEBEU stated that they had rejected the request of the PUCSL to implement a Least Cost Long Term Generation Expansion Plan (LCLTGEP) prepared by the Commission.

In a letter to the Minister of Power and Renewable Energy Ranjith Siyambalapitiya on Thursday, 27 July the CEBEU has demanded the urgent intervention of the minister to get the CEB, and the LCLTGEP to facilitate the unhindered procurement of future power plants. The Union also called on the minister to intervene to ensure that the PUCSL is staffed by people of proven caliber who will function objectively and in a professional manner. The Union says they had no other option but to resort to trade union action to safeguard their membership and the sector from such individuals….

Ceylon Today – 2017-07-31

Read More: http://www.ceylontoday.lk/print20170401CT20170630.php?id=26621

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The Ceylon Electricity board Engineers union objects the proposal put forward by the Public Utilities commission regarding long term power generation.Chairman of the union Saumya Kumarawadu states that the proposal approved by the Public utilities commission is not the proposal submitted by the Electricity board.Public Utilities Commission of Sri Lanka has granted approval to the alternate Least Cost Long Term Generation Expansion Plan 2018- 2037 of the Ceylon Electricity Board’s , with the view of ensuring energy security and continuous supply of electricity in Sri Lanka.Sri Lanka expects a 5.0% energy demand growth and a 4.5% peak demand growth rate for the period 2018-2037

READ MORE:

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Engineers object Public Utilities commission proposal on power generation

The Government has decided to open all bids that qualify  by the Technical Evaluation Committee (TEC), selected for the construction of the 300 MW Liquid Natural Gas (LNG) Combined Cycle Plant at Kerawalapitiya, a top government official said.

He told The Sunday Leader that the Standard Cabinet Appointed Procurement Committee (SCAPC) attempt to open the only Samsung bid has failed.

SCAPC reasoning to the government ministers for rejecting five bids was that losing bidders could go to PAB (Procurement Appeal Board) and fight their case.

Ceylon Electricity Board Engineers Union (CEBEU) had strongly protested for rejecting careful evaluations done by their engineers. READ MORE…

The Ceylon Electricity Board Engineers Union (CEBEU) urges that the request by the CEB to implement the Long Term Generation Plan (LTGP) prepared by the Public Utilities Commission of Sri Lanka (PUCSL) subsequent to getting rid of the LTGP submitted by the CEB for the period 2018-2037, should be immediately withdrawn.

They stressed that if the plan prepared and approved by the PUCSL is implemented, it will result in a loss of the net present value on the project to the CEB of Rs 155 billion.

They pointed out that due to the prices of Liquid Natural Gas (LNG) increasing in the future, this loss could increase further. READ MORE…

Click on the image to read

Lankadeepa – 19 Jul 2017

Controversies frequently erupt around renewable energy availability, prices and incorporation in the grid. Much is couched in language opaque to the newspaper reader. That’s a pity because the citizen eventually foots the bill and suffers the power cuts. Since I have some slight familiarity with electricity I am drafting a primer to help layman decode experts and wag a finger at their obfuscations.

…..The government foolishly dumped the proposed 500 MW coal station at Sampur and recently turned its back on a 1200 MW Japanese LNG proposal in the Western Province. Instead the Energy Ministry has opted for a 50 MW solar plant at Sampur. ….

The ISLAND – July 15, 2017

Link: http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=168309

Six of the eight bidders selected by the Ceylon Electricity Board (CEB) Technical Evaluation Committee (TEC) have qualified for the Financial Biddings round which is to be opened on Thursday.

SCAPC ignored the TEC recommendations and selected only Samsung JV of Korea and disqualified five bidders.

The Vice President of this Korean company had been sentenced to prison last year due to the billions of rupees pledged to approve the projects.

SCAPC was questioned whether electrical engineers or mechanical engineers pin pointed such details.

“Civil servants should not try to mimic engineers,” an official said adding none of the engineers’ input was taken into consideration.

SUNDAY LEADER – 2017/07/16

READ MORE :

Link: http://www.thesundayleader.lk/2017/07/16/controversy-over-kerawalapitiya-lng-plant-tender/

Ceylon Today  2^nd leading story on  12-7-2017 Continue reading “LNG Kerawalapitiya – SCAPC Warngling Tender Fraud?” →

The public and environmentalists are opposed to coal while the government is also having serious second thoughts. The Sri Lankan government has endorsed renewable energy even though its own electricity utility has selected a different path.

Also, the country has a history of failing implementation of Least Cost Long Term Generation Expansion Plans and the final plant which is also a coal plant was built in the year 2009.

Some question, whether the CEB has enough training in maintaining or building coal power plants. The answer is “ they are in the process.”

The annual journal of Japan Coal Energy Center (JCOAL), who is in the business to carry out consolidated efforts for further development of the coal sector, said that the invitational technology exchange programme was carried out aimed at the promotion of Japan’s coal-fired thermal power plant and the acquisition of new coal-fired power generation projects.

The executives and engineers of the Ministry of Power and Renewable Energy and the Ceylon Electricity Board have been invited to Japan with the objective of enhancing the understanding of Sri Lankans about Japan’s CCT.

READ MORE http://www.thesundayleader.lk/2017/07/02/ceb-is-geared-to-build-new-coal-power-plants/

 

 

One day possibly in April 2014, the President called the Minister of Power and Energy to meet her. He rushed to Temple Trees with his deputy, to be told that she would have no objection to the Ministry proceeding with the Norochcholai coal power project. The Minister and his deputy were astonished; they could not believe their ears, since for 11 years, their own President, much of the government and the opposition too, stated through dozens of decisions and Cabinet memos, that the Norochcholai power plant would not be built.

The Minister and his deputy came out of the President’s office, conferred among themselves for a while outside, and went back in, to double check with the President, what they heard from her minutes ago. And she confirmed it for the second time and possibly shouted out: go and do it! The pleas of electricity planners were brushed aside for over two decades, and politics took precedence. Two bad spells of power cuts had crippled the economy.

http://www.sundaytimes.lk/170709/business-times/feature-norochcholai-power-plant-has-already-paid-back-its-investment-248990.html Continue reading “Norochcholai power plant has already paid back its investment” →

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2017 JULY 02 -??????

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