LAKDHANAVI AGAINST CEB SIGN­ING PPA PEND­ING COURT DE­CI­SION

Daily Mirror (Sri Lanka) - - NEWS - BY KELUM BANDARA

Lakdhanavi, the local power man­u­fac­tur­ing com­pany which has made a le­gal bid to win the ten­der for the LNG power plant ten­der in Ker­awalapi­tiya, is up in arms against the move to sign a Power Pur­chase Agree­ment (PPA) be­tween Gcl-china and the Pub­lic Util­i­ties Com­mis­sion (PUC).

Lakdhanavi which is a local com­pany, lost the ten­der to Gcl-china to establish the power plant. How­ever, the com­pany has chal­lenged the Cab­i­net de­ci­sion in court. The case is cur­rently go­ing on.

Deputy Chief Ex­ec­u­tive Of­fi­cer (Fi­nance) of Lakdhanavi Ravin­dra Pit­i­galage told Daily Mir­ror the Cey­lon Elec­tric­ity Board (CEB) was try­ing to ob­tain ap­proval from the Pub­lic Util­i­ties Com­mis­sion of Sri Lanka (PUCSL) for the PPA.

CEB is ex­pected to seek ap­proval from PUCSL by May 17 and PPA to be signed be­fore May 21, thus mak­ing

Lakdhanavi which is a local com­pany, lost the ten­der to Gcl-china to establish the power plant. How­ever, the com­pany has chal­lenged the Cab­i­net de­ci­sion in court. The case is cur­rently go­ing on

any re­ver­sal through lit­i­ga­tion more dif­fi­cult.

He said the case would be taken up the next hear­ing on May 21, and the move to sign the PPA be­fore that could not be ac­cepted. For that pur­pose, he said ne­go­ti­a­tions with Gcl-china started on May 6.

The ap­proval for Gcl-china was granted in March 26, by the Cab­i­net. It was rat­i­fied by the Cab­i­net on April 4.

How­ever, on April 5, in the hear­ing of FR case filed by Lakdhanavi and two more cases filed by mem­bers of the pub­lic, the lawyer for PUCSL said it had not given any ap­proval for award­ing the project to Gclchina as re­quired by the Na­tional Elec­tric­ity Act. Pe­ti­tions could not be sup­ported due to lack of time and Pe­ti­tion­ers’ lawyers re­quested the sta­tus of the mat­ter not be changed un­til the new date for hear­ing af­ter the court va­ca­tion on May 21.

How­ever, Power and Energy Min­istry Sec­re­tary Dr. Suren Batagoda called a meet­ing on April 4, and wrote to CEB on April 10 to start ne­go­ti­a­tions with Gcl-china.

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