10 December 2010

$15mn Biomass Energy Investment on Dendro Plant for Gliricidia Fuel Wood to Supply National Grid 10MW

10th December 2010, www.dailynews.lk By Harshini Perera

Mega Ten Bioenergy will start its production of biomass energy from Gliricidia fuel wood by 2011 end and the production will contribute to the national grid with 10 megawatts.

Shenzhen Full Dimension Sustainable Energy Investment Co Ltd of China (FUDEICO) together with IMS Holdings will invest US $ 15.23 million in this Gliricidia Sepium Biomass Power Station in Kumbukana in Moneragala district, Mega Ten Bioenergy Director Jinawara Dharmawardana said. The agreement for the joint venture investment was signed yesterday. Shenzhen Full Dimension Sustainable Energy Investment of China (FUDEICO) has invested 70 percent while IMS Holdings will invest the rest.

The construction of the power station will start in February 2011 and it could generate 60 direct job opportunities while there will be 100 indirect job opportunities in transporting and cultivating Gliricidia wood. “We have already obtained a 10 hectare plot of land on long lease from the Janatha Estates Development Board in Moneragala.”

The plant is in the full capacity of 12 megawatts while two megawatts will be utilised for factory use,” he said. IMS Holdings (Pvt) Ltd are currently negotiating to start a similar biomass production plant in Ridimaliyadda,Bibile with a capacity for 25 megawatts. IMS Holdings has signed a Standard Power Purchasing Agreement with Ceylon Electricity Board to sell a unit at Rs 18.56 for 20 years to the national grid.

The Gliricidia Sepium Biomass Power Station is the first biomass power station of the kind and has realized that there are possibilities of using sugarcane wastage as a biomass crop. The Government will introduce the use of natural gas to meet energy needs of Sri Lanka.

Image: Mega Ten Bioenergy Director Jinawara Dharmawardana, Electricity and Energy Minister Patali Champika Ranawaka and FUDEICO Chairman Dr. Xu Xing Zhong at the inauguration. Picture by Sumanachandra Ariyawansa.

Related Info:
Sri Lanka's New Renewable Energy Tariffs Displace Wind as the Most Expensive

Sri Lanka LOLC Invests in Dendro and Mini Hydro Plants

Sri Lanka to Focus on Renewable Energy. 300MW from Norochcholai Coal Power Plant by Year End

1 comment:

  1. Dendro is in ideal source of generating electricity as it has some element of stoarge unlike mini hydro. But supply of wood could be an issue if not properly organised.

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