Tender issued for 500 MW of renewable energy to be cancelled

The tender issued for 500 megawatts of renewable energy is expected to be cancelled by the Cabinet and a fresh tender will be issued, Minister of Power and Energy Kanchana Wijesekera said.

He said the decision is to be taken as some of the companies that were awarded tenders have sold them to other entities.

“It has been discovered that some of the organizations that were awarded tenders have sold them to other entities. As a result, the tender call for 500 megawatts of renewable energy is expected to be cancelled in the upcoming cabinet meeting, and a fresh tender call will be issued,” the Minister said.

He also said that India’s Adani Group has been granted approval for the construction of a 500 MW renewable energy power plant.

“Their energy generation is projected to be integrated into the national grid by December of next year,” the Minister said.

Wijesekera also said that?Sri Lanka is exploring nuclear energy options and there are moves to incorporate it into the 2023-2042 generation plan.

He said that a comprehensive evaluation will determine the suitability and viability of nuclear energy for Sri Lanka and subsequent decisions will be made accordingly.

Speaking to reporters today, Wijesekera said that the Ceylon Electricity Board had been facing significant financial losses, with a total loss of Rs. 409 billion in the past.?However, he said last year’s loss was reduced to Rs. 167.2 billion.

“The Government has successfully completed all payments to suppliers and has created a favourable environment for initiating new renewable electricity projects. Additionally, steps have been taken to remove a Rs. 120 billion debt from the balance sheet of the Petroleum Corporation, resulting in the electricity board’s improved financial position,” he said.

With the strengthened financial position, the electricity board plans to resume maintenance work and provide new connections that were put on hold in the past three years.

“Out of the 36,000 new connection applications received, 20,000 connections have already been completed, and efforts are underway to fulfil the remaining connections within the next two months,” he said.

The Minister also said that the Ceylon Petroleum Corporation has successfully repaid all loans owed to the Bank of Ceylon and the People’s Bank, resulting in its strengthened financial position.

However, he said the restructuring process of the Ceylon Petroleum Corporation will continue as planned. (Colombo Gazette)