Sri Lanka says no final decision to give China power project in North

The Government says no final decision has been taken to give China a power project in the North of the country.

Minister of Power Dullas Alahapperuma told Parliament today that the matter is still being discussed and no final decision has been taken.

He said that four companies had submitted tenders for the project, including a Chinese company and an Indian company.

Alahapperuma said that the tender board had picked the Chinese company as they had made the best offer of USD 12 million to construct and operate the hybrid power generation plant in the North.

However, he said cabinet has not yet approved the awarding of the tender to the Chinese company as the Treasury has sought more details on the proposed project.

“No final decision has been taken. We have not decided who will get the contract,” he said.

Meanwhile, the Minister of Power said that India has offered USD 12 million as a grant to cover the cost of the project.

China had this week called on Sri Lanka to strictly follow international bidding procedures after concerns were raised over a Chinese funded power project in the North of the country.

In a statement this week, a Chinese company defended the proposed wind-photovoltaic-energy storage hybrid power generation project in the North.

Sionsoar-Etechwin JV said that tens of thousands of ?poor people? in Northern Sri Lanka will benefit from the project.

The company said that the politicization of the project goes against the interests of the people and does not meet the manifesto of the current Government.

Sionsoar-Etechwin JV said that the project is funded by the Asian Development Bank, in full accordance with the international bidding procedures. (Colombo Gazette)