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Government takes policy decision to abrogate CFA.

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Energy Ministry now wants LECO to handle Moragolla project

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By Aisha Edris
Ceylon Electricity Board (CEB) trade unions once again are up in arms against the Power and Energy Ministry, which has approached Lanka Electricity Company (LECO), asking it to manage the Moragolla hydropower project.

According to a CEB source, Ministry Secretary M.MC. Ferdinando had sent a letter to the CEB last week, requesting the CEB to grant permission for LECO to manage the Moragolla hydropower project.

"Even if CEB allows LECO to manage the power project, it will not be able to handle it properly since it does not have the expertise in hydropower generation and the results would be disastrous," the source said.

The source added that CEB would not allow LECO or any of its subsidiary companies to manage these power projects since it may disturb major hydropower project activities. He added that the CEB trade unions would be forced to take stern action if such methods continued.

"Moragolla is the hydropower potential of the Mahaweli River basin and if it is given to a private firm to be managed, it will only interfere with our operations and the CEB would be forced to pay for the water utilised for its power generation in that area," he explained

He said that the Electricity Act of 1969 specifically states that only CEB could produce major hydropower while mini hydropower projects, which only produce lower than 10 megawatts, could be initiated by private companies.
In June, Sustainable Energy Authority (SEA) allowed LECO to manage the Broadlands hydropower project but the government later withdrew the approval consequent to continuous protests.

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