Sri Lanka Hambantota port industries to be powered by LNG

Mar 15, 2014 (LBO) – Sri Lanka Ports Authority is in discussions with an Australia based firm to set up a liquefied natural facility to drive an industrial zone in Hambantota instead of coal, an official said. SLPA chairman Priyath Wickrama said several heavy industries in the port initially planned to use coal, which could involve burning up to 300 metric tonnes of the fossil fuel per day.

Wickrama said discussions were on with Energy World, a firm based in Australia and Hong Kong to set up an LNG power plant and terminal which may involve an investment of up to a billion US dollars, but would be cleaner.

Industries planning to set up plants in the port were in talks with the LNG company on terms and pricing of energy, he said.

Energy World was earlier connected to a proposed a power plant and distribution terminal in Kerawalapitiya, north of Sri Lanka’s capital Colombo.

The shift from LNG may delay several projects including a sugar refinery, a plastics plant and a cement factory, which have been approved to be set up in Hambantota port.

Wickrama said it was better to get things right the first time than rushing and having to deal with problems later.

Sri Lanka’s President Mahi