Daily News : July 13, 2004

All system go for Upper Kotmale Project
By Rajimi Manatunga

The Government will shortly call tenders for the Upper Kotmale Hydropower Project which was on hold for the past few years.

Power and Energy Minister Susil Premajayanth told the Daily News yesterday that the Government will go ahead with the Project expected to cost an estimated Rs. 92.8 billion.

“The Upper Kotmale project was never halted. We are preparing documents to commence work. It will add 150 Megawatts to the national grid.” Minister Premajayanth said.

The Japanese government offered financial assistance for the construction off the Upper Kotmale hydropower plant in1992 and work was scheduled to commence in 2002.

However, the implementation of the project has continuously been postponed owing to opposition by the Ceylon Workers Congress (CWC) and various environmental organizations.

“The Japanese Bank for International Co-operation (JBIC) allocated funds for the construction of the power station in March 2002 and the project has been implemented according to the decided procedure since then. We also had a number of discussions with those opposing the project,” Project Director Shavindra Fernando said.

However, the authorities pointed out that the project has been approved by the Central Environmental Authority after a thorough study.

“The Upper Kotmale project along with the other proposed power project will save the funds spent on generating thermal power thereby greatly reducing electricity prices,” a spokesman for the Ceylon Electricity Board said.