MOVE TO PURCHASE 100 MW ELECTRICITY IS VIOLATION OF ACT AND PROCUREMENT GUIDELINES

PUC informs Cabinet committee

Power and Energy Minister Ravi Karunanayake submitted Cabinet memorandum on January 22 seeking approval to purchase 100 megawatts of supplementary electrical power

The Public Utilities Commission (PUC) has informed the Cabinet Appointed Standing Procurement Committee that the move to purchase 100 megawatts of electricity was a gross violation of the Sri Lanka Electricity Act No 20 of 2009 and the Electricity (Procurement) Rules No 2 of 2016, it is learnt.

Power and Energy Minister Ravi Karunanayake submitted Cabinet memorandum on January 22 seeking approval to purchase 100 megawatts of supplementary electrical power. The tender was supposed to be called within ten days after.

According to engineers of the Ceylon Electricity Board (CEB), such a purchase of electrical power from the private sector will cost Rs. 20 billion per year. The CEB is slated to incur a loss of Rs.80 billion this year. According to experts in the field, there is no such additional demand for power that warrants such purchases at this hour.

They said it was possible to strike a balance between the supply and demand at this moment, and therefore there could be the involvement of huge commissions in the move to make additional power purchases.

The CEB has now called for tenders to make the purchase. CEB Engineers Union President Saumya Kumarawadu said his organization was opposed to the move to purchase supplementary electricity at a higher cost at this hour.