Government holds majority stake in Kerawalapitiya plant – Kariyawasam

Handing over a 40 percent stake of the Kerawalapitiya LNG power plant to a U.S. firm does not mean a complete sale, General Secretary of SLPP Sagara Kariyawasam said.

He added the power plant will be under the purview of the Ceylon Electricity Board (CEB) following the 15-year investment period. While the power plant was constructed by a private company that was in need of funds, the Government funded the company through the Treasury and thereby has a 50 percent stake, he noted.

“Furthermore, one main goal during the establishment of this power plant was to transform it into LNG but it has not been implemented for over 10 years. Therefore, the incumbent Government decided to take this step,” he said.

The SLPP General Secretary said over 80 percent of the telecommunication sector in Sri Lanka is owned by Malaysian companies and companies of other countries. However, this has never been questioned but the decision to hand over 40 percent shares of the Kerawalapitiya power plant to a U.S. firm is being criticised in an attempt to hinder its development, he stressed.

Kariyawasam said there is no threat to the national energy security as alleged by those against this project because there are laws in the country to prevent such occurrences.

(Source: Ceylon Today – By Faadhila Thassim)