Norochcholai running out of coal, six to eight hour power cuts loom

By Ifham Nizam

The contry risks six to eight hours per day power cuts down the road if coal supplies for the Norochcholai coal power plant are not sustained, CEB officials said on Friday.”If all coal shipments cannot be cleared because of the cash crisis, the coal plant cannot run after August and six to eight hour power cuts can be expected,” senior electrical engineers confirmed.The last two coal shipments for the Lakvijaya (Norochcholai) Power Plant for this season have arrived but unloading awaits letters of credit (LOC) clearance.

“The main issue is Sri Lankan rupees; and the climatic conditions are also about to change with the monsoon approaching.

Already six shipments were canceled. If the owners refuse to unload without LOCs or the monsoon arrives, 900MW capacity will not be available from mid-August this year,” he warned.Heavy demurrage costs are being incurred over delayed discharge. This costs about USD 30,000 a day. Already costs of over USD 100,000 has been incurred on this account.

Engineers also stressed that coal is no longer a cheap option for power generation with a single unit of coal power costing over Rs. 28 for coal alone.