CPC to provide diesel to CEB sufficient to keep lights on for only 8 days

• As a result, power cuts, which were supposed to happen from today, averted
• CB has provided CPC with forex to secure 37,500 MT of diesel from a ship docked at Colombo Port

Ceylon Petroleum Corporation (CPC) has agreed to provide 10,000 MT of diesel to the Ceylon Electricity Board (CEB), which would be sufficient for the generation of electricity for eight days, potentially averting the power cuts that were supposed to happen from today. 

After the Central Bank (CB) agreed to provide the required foreign exchange to secure 37,500 MT of diesel from a ship docked at the Port of Colombo, Energy Minister Udaya Gammanpila has instructed to provide 10,000 MT of diesel from the shipment to the CEB for power generation.

“The CEB requires around 1,500 MT of diesel a day and this will be sufficient for eight days,” Gammanpila said. 
However, according to the CEB sources, the diesel stocks were yet to reach the Kelanitissa power station as of last evening.

“The fuel stocks most likely be used for generation by tomorrow noon. So, most probably there won’t be any power cuts tomorrow day time, as we can manage with hydro and other power sources,” a top CEB official told Mirror Business.

With fuel running out, a 100MW gas turbine at the Kelanitissa power station was shut down yesterday.
The CEB official stressed that the Power Ministry as well as CPC were both informed in advance of their fuel requirements.

“Usually, we submit the foretasted fuel requirement three months ahead and in addition, we also submit weekly reports to accommodate the latest developments. Based on our forecasts, CPC usually orders the necessary fuel for us,” he added.

Gammanpila said a shipment of diesel arrives every week while a shipment of petrol arrives once every five days. Hence, the public doesn’t need to worry about supply of fuel. 

However, he noted CPC is facing severe difficulties in securing the required foreign exchange to purchase fuel from the ships, due to the ongoing forex crisis.

“Currently, we are in a quest to find US dollars for another fuel shipment anchored here,” he added.
Meanwhile, CPC had delivered 900 tonnes of furnace oil to keep the 50MW plant in Sapugaskande operational until today. In addition, CPC has agreed to provide furnace oil for the plant until 22nd of this month.

The ongoing foreign exchange crunch, lack of wind and the ongoing drought have been cited as the main reasons for the crisis, with no major power plant projects being implemented over the past several years, except for a handful of renewable power generation projects. 

In addition, a 300MW coal plant is also currently under maintenance and it’s expected to return to operations later this week or early next week. (NF)