China to finance major power projects

Including Second, Third phases of Norochcholai power plant:

Ranil Wijayapala in Beijing

BEIJING: The Chinese Government has expressed its consent to finance major power projects including the Second and Third Phases of the Norochcholai coal fired power plant project which will add 600 MWs to the National Grid, Power and Energy Minister Mahindananda Aluthgamage who participated at bilateral talks with the Chinese Government officials here in Beijing, told the Daily News yesterday.

Minister Aluthgamage said that President Mahinda Rajapaksa during his discussions with the Chinese Government emphasised the necessity to complete the Norochcholai project by the end of 2008.

The Chinese Government has already funded the First Phase of the Norochcholai coal fired power plant providing a US $ 454 million loan to the Sri Lankan Government.

Construction work on the First Phase has already commenced.

“In addition to the Norochcholai project, the Government also had discussions with the Chinese authorities to provide funding for another power project in Hambantota,” Minister Aluthgamage added.

Minister Aluthgamage said there was extensive discussions with the Chinese authorities on the expansion of the power and energy sector development process in the country.

Foreign Minister Rohitha Bogollagama and Investment Promotion Minister Dr. Sarath Amunugama also participated at this discussion.