Ill Wind

Dec 01, 2007 (LBO) – Sri Lanka’s power engineers are protesting a controversial deal with Enercon, an Indian energy firm, alleging a massive procurement scandal after authorities approved the project when it was shot down by an evaluation committee. The Ceylon Electricity Board Engineers Union (CEBEU) said the government was about to award a letter of intent for a 50 MegaWatt wind power project despite a 10-member technical committee rejecting the bid.

The engineers have refused to work on the project or participate in any committees related to it.

No Tender

“This expensive project is being foisted on the CEB [Ceylon Electricity Board] and eventually people will have to bear the cost,” CEBEU President J Meegoda said.

“There was no open tender for the project and it was an unsolicited proposal.”

A 10-member committee made of representatives of the CEB, Treasury, the Board of Investment, the Ports Authority and the Institute of Bankers had rejected the proposal as being too expensive.

Enercon had asked for 13 US cents a kilowatt for the first six years, 7 cents for the next nine years and 5 cents for the next five years.

A four member cabinet appointed negotiation committee (CANC) had then approved