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* Second phase of Sri Lanka's Norochcholai power plant to be commissioned next month
Sun, Nov 24, 2013, 01:27 pm SL Time, ColomboPage News Desk, Sri Lanka.

Nov 24, Colombo: Second phase of Sri Lanka's Lakvijaya coal power plant in Norochcholai will be completed by next month, according to the Chairman of the Ceylon Electricity Board (CEB).

The Norochcholai plant will add another 300 megawatts to the national grid after the second phase is commissioned next month Chairman of the CEB W.B. Ganegala has told the state run radio.

The third phase of the Lakvijaya coal power plant will also be completed and declared open in May 2014, he added.

The power plant, constructed in Norochcholai, a coastal fishing village 120 km north from Colombo along the west coast, will have an ultimate capacity of 900 megawatts of electricity when it is completely developed.

According to CEB Chairman, the government has spent US$ 890 million to construct the infrastructure for the second phase.

The construction of the three phases of the project is to cost US$ 1.35 billion, Ministry of Energy sources say.

The Chairman has noted that US$ 300 million was saved by the operations of the first phase of the power plant last three years.

Financial aid for the project is provided by the Exim Bank of China. The construction is carried out by the China National Machinery and Equipment Import and Export Corporation (CMEC). The Chinese have agreed to carry out the project on a Design, Build and Transfer (DBT) basis.

The CEB expects to make profits from the Lakvijaya power plant by 2018, according to the CEB Chairman.

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