Business
The Darker Side and the Light at the end of the Energy Tunnel
Eng Parakrama Jayasinghe
Those of us who were hoping for some sanity to emerge in the energy sector were given a severe jolt on Dec. 15 on reading the press release from the Presidential Secretariat, presumably after the Presidents meeting with the Ministers and senior officials of the energy sector. This stated that His Excellency had given instructions to develop action plans to achieve the target of 70% contribution to the electricity sector by 2030 using Hydro, Solar Wind and LNG resources.
This was indeed a shock, as this portends an attempt to constrain the space available for the future development of true renewable energy, thus scuttling the President’s declared target.
Fortunately, good sense has prevailed and an amended press release appeared next day without the reference to LNG as part of the 70% R E Target by 2030. It is also a matter of comfort to listen to the recordings of the above meeting, where the president was very clear in his instructions citing only Hydro, Wind and Solar as the renewable energy sources. But it is a matter of concern to us why Bio Energy which has none of the impediments of Solar and Wind, but has multiple spin off benefits, and has all the attributes of a source of firm power available 24/7 throughout the year, continues to be ignored. Fortunately there is an interest to accelerate the implementation of the many stalled renewable energy projects, thus setting the country on the correct path.
Role and Acceptability of LNG
Natural Gas is certainly not a renewable energy resource. But is it a “Clean” source of energy? Certainly it is a lot “Cleaner” than both coal and oil and is free from some most toxic components such as sulfur, lead, mercury and a plethora of heavy metals and radioactive nucleoids present in coal. But it will certainly emit
* 50% of carbon emissions compared to Coal not zero carbon as in case of Solar and Wind
* Significant amounts of Oxides of Nitrogen
* Potential fugitive emissions of Methane prior to combustion which is 23 time more potent than Carbon Dioxide.
In Sri Lanka’s context, what is even more important is the fact it is an imported resource subject to the vagaries of price fluctuations and the parity rate of exchange, continuing to compromise our energy security. LNG is the lesser evil, and in the light of the CEBs reluctance accept the vast strides in technology which has made it possible for both wind and solar to be upgraded to firm sources of electricity generation, and due to the lack of any significant additions to the generation capacity for over five years, limited use of Natural Gas may have to be viewed as an interim option.
Questions Needing Urgent Answers
However, a very severe uncertainty of the source and the means of supplying the LNG necessary to operate the 300 MW LNG plant remains unresolved, and appears to be ignored, according to the information available to the general public. Sri Lanka escaped a potential disaster by not proceeding with an unsolicited proposal to set up a Floating Storage and Re-gasification Unit (FSRU) and a contract to supply LNG for 20 years on terms totally disadvantageous to us. But the million dollar questions remains unanswered:
1. What is the means of supplying LNG to the proposed 300 MW power plant at Kerawalapitiya?
2. Under whose control will such supplies, presumably from an FSRU operate, and which is the location chosen?
3. If the gas supplies are not available by the time the power plant is commissioned, will the plant be operated with diesel or some other oil and for how long?
4. What will be the extra cost of using such alternate fuels and who will bear the extra cost above the tendered price of Rs 14.85 per unit?
5. In the absence of any plans of resolving such issues, is the government still pursuing options for more LNG plants with India and Japan and now with the USA?
With such a plethora of unanswered questions, even assuming that Sri Lanka will be obliged to proceed with the first 300 MW LNG plant, at least as a means of avoiding any more ruinous emergency power options, isn’t it time to take a very close look at the need or the justification for any further use of LNG ?
As usual Sri Lanka has missed the bus in this instance too. If the first LNG plant was initiated and a viable means of supplying the LNG was initiated in 2016, we could have avoided depending on emergency power for at least two years up to now, and it would have improved the space for greater level of integration of Solar and Wind to the national grid and the consequent reduction of the huge losses incurred by the CEB annually.
Hope for the Future
But on a happier note, the world did not stand still, and technologies are now available to iron out variability and seasonal and diurnal nature of wind and solar energy . For example the State Minister is keen to launch the 100 MW Solar park at Siyambalanduwa and a further 100 MW of solar and 150 MW of wind power in Pooneryn very early. It is very likely that all these projects will generate electricity at costs less than Rs 10.00 per unit. Therefore the addition of adequate battery storage is feasible to at least serve the peak loads as well as to make them sources of firm power. The resultant cost may not surpass the Rs 14.85 per unit expected from the LNG plant.
A place for Prosumers and Electricity as a National Industry
In addition the innovative program of State Minister Duminda Dissanayake to provide 5 kW rooftop solar systems to 100,000 Samurdhi recipients without burdening the treasury is a major paradigm shift in the electricity sector whereby the smallest level of consumer becomes a generator of electricity for his own consumption with a significant surplus and thus becomes a PROSUMER whereby the Electricity Industry becomes a contributor to the GDP instead of being a mere facility for other sectors to grow. With a total of 1.6 Million Samurdhi recipients, the future potential for growth of this program is immense
As a further step in this direction the program to install micro Solar Parks of 100 kW linked to 10,000 distribution transformers will make the Electricity generation a national industry adding further to the GDP. These two programs would add 1,500 MW of Solar PV and create vast employment opportunities.
We earnestly request Minster Dulles Alahapperuma and State Minister Duminda Dissanayake to very seriously evaluate this possibility. This will enable the president to plan for the next goal of 100 % RE
E Mail parajayasingle@gmail.com
Business
AHK Sri Lanka champions first-ever Sri Lankan delegation at Drupa 2024
The Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) proudly facilitated the first-ever Sri Lankan delegation’s participation at Drupa 2024, the world’s largest trade fair for the printing industry and technology. Held after an eight-year hiatus, Drupa 2024 was a landmark event, marking significant advancements and opportunities in the global printing industry.
AHK Sri Lanka played a pivotal role in organising and supporting the delegation, which comprised 17 members from the Sri Lanka Association for Printers (SLAP), representing eight companies from the commercial, newspaper, stationery printing, and packaging industries. This pioneering effort by AHK Sri Lanka not only showcased the diverse capabilities of Sri Lanka’s printing sector but also facilitated vital bilateral discussions with key stakeholders from the German printing industry.
Business
Unveiling Ayugiri: Browns Hotels & Resorts sets the stage for a new era in luxury Ayurveda Wellness
In a captivating reimagining of luxury wellness tourism, Browns Hotels & Resorts proudly unveiled the exquisite Ayugiri Ayurveda Wellness Resort Sigiriya. This momentous occasion, celebrated amidst a vibrant and serene grand opening on the 6th of June, heralds a new chapter in the Ayurveda wellness tourism landscape in Sri Lanka. Nestled amidst 54 acres of unspoiled natural splendour, Ayugiri features 22 exclusive suites and stands out as the only luxury Ayurveda wellness resort in the country offering plunge pools in every room, rendering it truly one-of-a-kind.
The grand opening of Ayugiri Ayurveda Wellness Resort was an enchanting event, where guests were captivated by the melodies of flutists and violinists resonating through Sigiriya’s lush landscapes. As traditional drummers and dancers infused the air with vibrant energy, Browns Hotels & Resorts’ CEO, Eksath Wijeratne, Kotaro Katsuki, Acting Ambassador for the Embassy of Japan and General Manager, Buwaneka Bandara, unveiled the resort’s new logo, marking a significant moment witnessed by distinguished guests from the French Embassy, Ayurveda and wellness enthusiasts along with officials from the Sigiriya area, LOLC Holdings and Browns Group.
“Our strategic expansion into wellness tourism with Ayugiri Ayurveda Wellness Resort Sigiriya symbolises a significant milestone for Browns Hotels & Resorts. Wellness tourism has consistently outperformed the overall tourism industry for over a decade, reflecting a growing global interest in travel that goes beyond leisure to offer rejuvenation and holistic well-being. By integrating the timeless wisdom of Ayurveda with modern luxury, we aim to set a new standard in luxury wellness tourism in Sri Lanka. Whether your goal is prevention, healing, or a deeper connection to inner harmony, Ayugiri offers a sanctuary for holistic well-being” stated Eksath Wijeratne.
Ayugiri encapsulates the essence of life, inspired by the lotus flower held by the graceful queens of the infamous Sigiriya frescoes. Just as the lotus emerges from the murky depths, untainted and serene,
Ayugiri invites guests on a journey of purity and rejuvenation, harmonised with a balance of mind, body and spirit, the essence of nature, echoes of culture and the wisdom of ancient Ayurvedic healing.
Business
HNB General Insurance recognized as Best General Bancassurance Provider in Sri Lanka 2024
HNB General Insurance, one of Sri Lanka’s leading general insurance providers, has been honored as the Best General Bancassurance Provider in Sri Lanka 2024 by the prestigious Global Banking and Finance Review – UK.
The esteemed accolade underscores HNB General Insurance’s unwavering commitment to excellence and its outstanding performance in the field of bancassurance. Through dedication and hard work, the HNB General Insurance team has continuously endeavored to deliver innovative insurance solutions, cultivate strong relationships with banking partners, and provide unparalleled service to customers nationwide. This recognition is a testament to the team’s dedication and relentless pursuit of excellence in the bancassurance business.
“We are honored to receive this prestigious award, which reflects our team’s tireless efforts and dedication to delivering value-added insurance solutions and exceptional service through our bancassurance partnerships,” said Sithumina Jayasundara, CEO of HNB General Insurance. “This recognition reaffirms our position as a trusted insurance provider in Sri Lanka and motivates us to continue striving for excellence in serving our customers and communities.”