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Home LOCAL

Norochcholai to stop functioning again?

Tamara Rebeira by Tamara Rebeira
5 days ago
in LOCAL
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Third generator of the Lakvijaya power plant malfunctions once again
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Chairman of the Lanka Coal Company Shehan Sumanasekara says concerns will arise in operating the Norochcholai Coal Power Plant if necessary funds for the purchase of coal is not released.

Sumanasekara said Rs.15.3 billion must be released by the Central Bank of Sri Lanka in order to secure the US dollars to purchase coal for the week ahead.

He said orders are placed with a payment agreement in place and generally an agreement that 30% payment will be made at the time of shipment and 70% payment at the time of unloading.

He noted that between the 30th of January and the 3rd of February payments had to be made for three shipments.

Sumanasekara said a 30% payment of Rs.1.35 billion was made for one shipment with two more payments set to be made.

He said the two payments were set for Thursday and Friday but have still not been settled as the Ceylon Electricity Board failed to meet the financial requirement.

The Chairman stated that a complex situation will arise the coming week adding that the financial requirement between the 4th and 10th of February is Rs.10.74 billion.

He noted that the y require prompt solutions as the Power Plant will not have sufficient stocks to operate.

The Chairman of Lanka Coal Company has also directed a letter to Minister of Power and Energy Kanchana Wijesekera requesting the provision of Rs.4.56 billion for the three coal shipments.

Tamara Rebeira
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