July 31 (LBO) – Sri Lanka has called for interested investors to set up a power plant by end this year, to supply electricity to Jaffna in the island’s war torn north.
The 35 megawatt power project will be on Build Own and Operate basis, under a power purchase agreement signed with state utility the Ceylon Electricity Board (CEB).
The CEB invites proposals from reputed companies for the generation and supply of electricity to the Jaffna peninsula on a Build Own and Operate basis, the CEB said in a public notice last Friday.
There are currently two companies supplying the North – local company Kool Air that operates up to 15 megawatts in a high security zone and private company Aggreko operating a further 20 megawatts.
A 35 megawatt plant is expected to cost in the region of 35 million dollars, local developers say.
Electricity generated will be sold to the CEB under a ten year power purchase agreement, with tariffs paid in two parts – for capacity available and for energy dispatched.
The plant should begin commercial operations by December 31 this year, the notice said, with a deadline for offers of September 25.