Oct 22, Colombo: The preliminary construction work of Sri Lanka's first ever 300 MW coal power plant is now underway at Norochcholai in the North Western Province.

The ground clearance work of the 232.5 acre land and the construction of offices and residences for the staff have begun.

The project will construct a 300 MW coal fired thermal power plant, with infrastructure planned for a 900 MW power plant in the future at total estimated coat of US$ 455 million. Exim Bank of China is to provide a soft loan of US$ 300 million for the construction. The government expects to commence the coal power generation from this plant by 2011.

President Mahinda Rajapaksa in May 2006 inaugurated the work on the Norochcholai coal power plant.