Small hydro power industry connects 175 MW to national grid

The Small Hydro Power Developers' Association (SHPDA) recently connected 175 MW to Sri Lanka's national grid.

The 4.5 percent of the country's electricity requirements supplied from this indigenous industry saves Rs.10 billion a year on foreign exchange.

Minister of Power and Energy Patali Champika Ranawaka was present at a celebration organised by the Association to commemorate this milestone.

President of the Association Anil Makalanda said, "This has been the collective effort of a large number of players, who have at times faced insurmountable odds.

Our total target is to feed 350 MW to the national grid and this could be achieved within the next decade.

The industry has now reached a stage where all so-called good sites have been explored. We're now left with not so lucrative sites with lesser yields.

Our wish is also to see the facilitation agency - Sri Lanka Sustainable Energy Authority, and approving authorities - the Central Environmental Authority and other relevant government and local government institutions play a more active role when it comes to the approval process of projects."

"The first small hydro power project at Dickoya was commissioned and connected to the national grid in 1996.

We have overcome many obstacles over the years. This private sector industry mainly with local middle class investors, in addition to generating power, also makes a laudable contribution to the country's infrastructure development in the remote areas and provides employment.

We are proud that Sri Lankan small hydro expertise has received international acclaim and local developers are now venturing overseas to replicate their success in other countries", he said.

The Ceylon Electricity Board began promoting electricity generation using renewable energy resources in the early nineties.

It assisted the private sector with training and capacity building, pre-feasibility studies and resource assessments.

With international recognition given to renewable energy resources and following the initiative taken by local banks to fund small hydro projects, the World Bank also began supporting the small hydro power sector. The World Bank has hitherto supported 57 grid connected mini hydro power projects amounting to a capacity of 137.366 MW. The support extended by a few local banks to the industry is also commendable.

Makalanda said that the SHPDA has helped the nation to add 175 MW to the national grid as at end 2010.

"This has invariably helped the nation to reduce the high cost of thermal energy generation.

This is primarily due to the fact that small hydropower plants operate below the actual cost to the country as compared with oil-fired power plants.

It is also the cheapest compared to other forms of renewable energy generation".

"We are pleased that the World Bank has recognised Sri Lanka's small hydropower industry as a role model for hydropower development in other countries.

This is perhaps the only world class industry Sri Lanka can be proud of", he added.

Small hydro power projects are run-of-the-river flow type that release water back into the stream, after power generation.

This renewable source of energy is one of the most environmentally friendly technologies out of non-conventional renewable energy in the world.

The industry also contributes towards regional development in line with the Mahinda Chinthanaya.

Rural infrastructure such as roads, bridges, community centres, schools and temples have been constructed or improved in numerous villages.

Remote villages in the vicinity invariably gain access to electricity as a result of these projects. Many such communities enjoy a tangible improvement in their quality of life.

Page 44 of President Mahinda Rajapaksa's manifesto, 'A Brighter Future', states - 'The contribution to electricity generation from non-conventional renewable energy sources in Sri Lanka will be raised to 20 percent of the total electricity production by the year 2020.'

"Without any hesitation the Association affirms that the main component of the total non-conventional renewable energy that Sri Lanka generates will be from the small hydro industry", Makalanda said.