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by P. Krishnasamy

The Ceylon Electricity Board (CEB) has been given the green light for the Upper Kotmale Hydropower Project (UKHP) in Talawakelle. Senior Assistant Secretary to the Ministry of Power and Energy, Ananda Dharmpriya, told the "Sunday Observer" that the project would be launched in the first week of July.

The Rs.350 billion project, which will add 150 MW power to the national grid on completion in 5 years, fetches a loan of Rs.280 billion from the Japanese Bank for International Co-operation (JBIC) on an interest rate of 95%. The repayment period is 40 years with a grace period of 10 years. The loan terms have been described as very 'gracious' and the project as very viable and a 'dire necessity of the day'.

Minister of Power and Energy, Karu Jayasuriya, and his Ministry officials met a Ceylon Workers' Congress (CWC) delegation led by his ministerial colleague Arumugam Thondaman on May 21 over representations made by the CWC relating to the project. Several apprehensions expressed by the CWC over the project were ironed-out at the meeting, according to Ministry sources.

CEB engineers are to meet the CWC again on May 28 for further discussions in the matter. This would be followed by a final meeting on June 6 with the participation of Minister Jayasuriya, Environmental and Natural Resources Minister, Rukman Senanayake, and the CWC delegation. CWC spokesman R.Yogarajan MP told the "Sunday Observer" that they have now called for a fresh environmental report on the project.

It was explained to them at their last meeting with Minister Jayasuriya that there would be no vast reservoir at the project site but only a 'pond' in an extent of 60 acres at a low level, facilitating the free flow of water. Water from the pond will be pumped to the turbine generator, he said. There were no major threats of tea plantation inundation, displacements of plantation workers and earth slips, he acknowledged. Specific families for relocation and rehabilitation assistance were identified with more families still to be identified, he said.

Up-country People's Front (UPF) leader and Minister P. Chandrasekaran told the "Sunday Observer" that his interest would be to ensure that the plantation people accrued the benefits of the project. In the past they were not benefited under all such projects started in the plantation areas, he said.

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