Annual Report 2008 - Ministry of Finance and Planning

6. A Sectoral Perspective
254
Box 6.2
Electricity: Energizing Growth Contd.
Power Generation
The annual increase of demand for electricity is around 7- 8
percent. Therefore, around 200 MW needs to be added to the
system annually. To meet this, the total installed capacity
was increased from 2,444 MW in 2007 to 2,644 MW in 2008,
which included the installed capacity of the private sector
as well as the hired plants. The installed capacity of CEB
plants were 1,758 MW and the private plants were 886 MW.
The installed capacity owned by Ceylon Electricity Board
remained unchanged in 2008. However, capacity of the
private sector has increased by 28 percent due to the addition
of more mini hydro power plants which provide electricity to
the national grid. The thermal power installed capacity of
the private sector has also increased by 30 percent due to the
addition of 170 MW to the national grid with the operation of
the Kerawalapitiya Power Plant in 2008.
Power and Energy Sector Performance
Category Unit 2005 2006 2007 2008
Installed capacity MW 2,411 2,434 2,444 2,644
CEB
Hydro MW 1,207 1,207 1,207 1,207
Thermal MW 548 548 548 548
Wind MW 3 3 3 3
Private
Hydro MW 84 107 117 137
Thermal MW 567 567 567 737
Units Generated GWh 8,769 9,389 9,814 9,901
CEB
Hydro GWh 3,173 4,290 3,603 3,700
Thermal GWh 2,162 1,669 2,336 2,083
Wind GWh 2 2 2 3
Private
Hydro GWh 277 345 344 428
Thermal GWh 3,152 3,082 3,528 3,680
Source: Ceylon Electricity Board
In terms of power generation, the total power generated by
both the public and private sector increased by 0.89 percent
to 9,901 GWh in 2008. The hydropower generated by the
Ceylon Electricity Board increased by 2.7 percent in 2008
over 2007 due to the heavy rain prevailed in the catchments
areas. In contrast, thermal power generation by the CEB
decreased by 11 percent in 2008. The total power generation
by the private sector increased by 6 percent; hydropower
generation by 24 percent and thermal power generation by
4.3 percent.
Diminishing of Hydropower Domination
At present, electricity generation in Sri Lanka heavily
depends on crude oil. This has resulted in increasing
costs of power generation. Therefore, a balance in power
generation with appropriate combination of hydro, coal,
crude oil, solar power and wind is required. To achieve
this, lower cost electricity generating facility projects such
as Norochcholai Coal Power plant, Upper Kotmale Hydro
Power Project, Trincomalee Coal Power Plant and medium
scale hydropower plants i.e. Broadlands, Moragolla, Uma
Oya, Ginganaga hydropower Projects are in progress.
Ministry of Finance and Planning Sri Lanka
Annual Report 2008