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India, Sri Lanka soon to ink pacts for power project

Monday, 07 Oct 2013
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India and Sri Lanka will soon sign agreements for the development of a thermal power project in Sri Lanka.


These pacts include those related to power purchase, land lease and coal supply.


The project, with 500 MW capacity, is to be fired with imported coal. It will be developed by Trincomalee Power Company - a 50:50 JV company between NTPC and Ceylon Electricity Board (CEB) in two units each, with 250 MW capacity. The power generated from the plant will be supplied to Ceylon Electricity Board.


Coal for the project will be imported and supplied by Lanka Coal Company (LCC), while land will be given by the Government of Sri Lanka on a long term lease.


Even though the agreement for the JV project was signed in late 2011, various differences between NTPC and CEB had delayed further progress.

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