CEB clarifies reports on competitive procurement of fuel

October 18, 2024 at 5:11 PM

The Ceylon Electricity Board (CEB) has clarified that no new decision has been taken against competitive procurement of diesel.

Issuing a statement, the CEB said that recent articles in media on competitive procurement had misinterpreted the word fuel.

The CEB pointed out that it uses three types of petroleum fuels, which are Heavy Fuel Oil, Naphtha, and Diesel, to generate electricity.

Stating that diesel was the only fuel available for purchase through competitive bidding, as there are multiple distributors, the CEB clarified that, however, it has never purchased diesel for electricity generation, through competitive bidding, including during the tenure of the former government. 

The new management has not taken any decision against competitive procurement of diesel for electricity generation, the CEB said, adding that it does not consider diesel as an economically viable electricity generation option.

Revealing that up to September 30th in 2024, only 1.1% of electricity was generated using diesel, the CEB emphasized that it will ensure competitive procedures in all its business operations. 

The clarification from the CEB comes after recent media reports on competitive procurement, which was also questioned by former Foreign Minister Ali Sabry. (Newswire)