NTPC's proposed 2x250 MW coal based Trincomalee power project in Sri Lanka,
is likely to face further delays due to the long standing dispute between NTPC
and the Ceylon Electricity Board (CEB), the joint developers of the project.
CEB has expressed its discrepancy over a series of issues, including
additional payment security (Escrow mechanism), continuing rights of NTPC during
its exit from the JV, and the laws governing the JV agreement (JVA). The two
companies have also failed to reach a consensus on the coal supply agreement,
which is a pre-requisite for finalisation of the JVA.
Also See:
NTPC mulls
power plants in Nigeria, Sri Lanka (10-Aug-09)