CEB incurs additional losses due to Norochcholai

 

Tuesday, 15 October 2013

The loss making state entity, the Ceylon Electricity Board (CEB), has had to incur billions of rupees in additional losses due to the shutdown of the Norochcholai coal power plant.

The plant was shut down for a period of 50 days in August for maintenance work. However, over 50 days have lapsed and the CEB is yet to set a date to recommence operations of the plant.

It is learnt that the additional loss incurred by the CEB due to the shutdown is estimated to cost Rs. 3.6 billion.

The National Electricity Consumers' Movement (NECM) has noted that the coal power plant has been broken down on numerous occasions since it was commissioned.

The Movement has pointed out that the CEB would lose Rs. 72 million per day in monies spent on purchasing power from independent power producers (IPPs).

The CEB has so far entered into agreements with 11 IPPs to purchase power at rates ranging from Rs 22 to Rs 40 per unit.