Power Ministry to purchase 15,000 tons fuel from Lanka IOC

Tuesday, 1 February 2022 02:42 -     - {{hitsCtrl.values.hits}}

Power Minister Gamini Lokuge yesterday said that steps have been taken to directly purchase 15,000 tons of fuel from Lanka IOC, whilst noting that plans were also underway to purchase power from private plants.

“We hope to purchase 15,000 tons of fuel from Lanka IOC and the Finance Ministry has had discussions with the company. During the discussions, they have agreed to pay the firm in rupees similar to their fuel station operations,” he told journalists post a Renewable Energy meeting chaired by President Gotabaya Rajapaksa yesterday.

He said that during the meeting there were parties who were for and against renewable energy sources. “When the industry alone is indecisive like this, it is very hard for us as policymakers. This is the very reason why people often call it a mafia,” Lokuge said.

Separately, Energy Minister Udaya Gammanpila justified his remarks on possible load shedding by March, pointing out that there is a shortage of 300 MW, considering the supply and demand as well as the Ceylon Electricity Board (CEB) not having a long-term power generation plan.

However, Lokuge affirmed that there would be no load shedding until April. “We came into power to provide uninterrupted supply and we will do it,” he stressed.

When asked about the Power Ministry directly purchasing fuel, Gammanpila said he would arrange transport, storage and distribution “free-of-charge”.

The Energy Minister denied claims that there would be shortage of fuel for transportation in the future, and provided assurance of sufficient stocks.

Meanwhile, the Ceylon Electricity Board Engineers’ Union (CEBEU) President Saumya Kumarawadu said only a selected number of unions that had supported Government initiatives had been invited for the meeting chaired by President yesterday.

He said that they had informed President that it was very challenging to go into renewable energy sources, due to uncertainty surrounding sources.

“During the day we have solar power and at night we don’t. The winds are also not constant. So, we said that it was very difficult to move to renewable energy,” Kumarawadu said.

Meanwhile the CEB Trade Union Collective and Electricity Consumers’ Association charged that the Government’s plan to purchase power from private power plants was “illegal”.

“They are attempting to get 300 MW through Independent Power Producers. We understand that they are trying a deal with A.S. Embilipitiya and A.S. Matara,” CEB Trade Union Collective President Malaka Wickramasinghe said.

Electricity Consumers’ Association’s Secretary General Sanjeewa Dhammika said the ulterior motive of the CEBEU was clear with their recommendations to the Government.

“They are the same engineers that recommended load shedding and now they advise again to direct purchase fuel. It is crystal clear on who are involved in the ‘fuel mafia’ that loot the public money,” he claimed.

Dhammika also revealed that the Power Ministry had drafted a Cabinet paper to purchase 100 MW from A.S. Embilipitiya and 20 MW from A.S. Matara.

 

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