Sri Lanka power utility sells assets to military

Dec 06, 2009 (LBO) – A housing facility built by contractors for a hydro electric dam project will be sold by the state-run Ceylon Electricity Board (CEB) to the military, the government has said. The cabinet of ministers had given the nod for the housing complex built for Swedish expatriates who worked at the Kukule river hydro power complex to be sold to the Sri Lanka Army.

The expatriate officials’ complex and another complex for construction worker will be transferred with land and buildings for 140.8 million rupees, the government’s information office has said.

The CEB will offset the amount from its due to the Treasury.

The CEB is running billions of losses and has been unable to repay its loans without Treasury assistance. The utility losses stem from years of political interference in its long-term generation plan which has loaded the system with expensive sources of thermal generation while sidelining cheaper plants.