U.S. AWARDS A US$ 560,000 - GRANT FOR DEVELOPMENT
OF A 300 MW COAL FIRED POWER PLANT
The U.S. Government has awarded a $ 560,000 grant to the Government
of Sri Lanka to fund a technical assistance program for providing
consultancy services on the development of a 300MW coal fired
power plant. This grant was awarded to Sri Lanka through the U.S.
Trade and Development Agency (USTDA).
Mr. James F. Entwistle, Chargé d'Affaires at the U.S.
Embassy in Sri Lanka, and
Mr. Charitha Ratwatte, Secretary of the Ministry of Finance,at
the signing of a U.S. Government grant for
development of a 300 MW power plant in Sri Lanka.
The agreement extending the grant was singed by Mr. James F Entwistle,
Charge d' Affairs at the U.S. Embassy in Sri Lanka on behalf of
the U.S. Government and Mr. Charitha Ratwatte, Secretary of the
Ministry of Finance, on behalf of the Government of Sri Lanka,
at the Ministry of Finance, Colombo.
Ambassador Devinda R Subasinghe said "I am pleased that
the agreement for extending a technical assistance programme on
the development of 300MW coal fired power plant was signed between
the Government of Sri Lanka and the U.S. As discussed with Ms.
Thelma Askey, Director TDA, I hope this is just the beginning
of TDA assistance for many more projects in key sectors with potential
for foreign investment in Sri Lanka. This grant and a few more
in the pipeline, with undoubtedly, enhance bilateral trade and
investment opportunities for US companies in Sri Lanka".
The Government of Sri Lanka has identified power generation as
a priority sector for foreign direct investment. The electricity
generating system is in transition from a predominant hydro power
generated system to a mixed hydrothermal system. Technical Assistance
Programme for providing consultancy services on the development
of coal fired power plant is vital to Sri Lanka's efforts to diversify
its power generation system. The present total installed capacity
in Sri Lanka, is 1409 MW, of which the hydro power generated capacity
is 1,137 MW. A 10 per cent annual growth in power consumption
is forecast. In order to meet this demand, the country needs to
generate an additional 1530 MW by year 2008. Therefore, Sri Lanka
looks, increasingly at non-hydro power sources i.e., thermal and
other renewable energy sources to be developed under private sector
Embassy of Sri Lanka
29 July 2003