Present Status of the Coal Power Sector in Sri Lanka

1

Eng. P.G.P.Indrasiri

Power Plant ManagerLakvijaya Coal Power Plant

Ceylon Electricity BoardSri Lanka

November 2017

• Assuring Energy Security

• Providing Energy Supply at the Least Economic Cost

• Providing Access to Energy Services

• Enhancing Self Reliance

• Conserving Energy and Improving Energy Efficiency

• Caring for the Environment

• Enhancing the Share of Renewable Energy

• Strengthening Good Governance in the Energy Sector

• Securing Future Energy Infrastructure

• Providing Opportunities for Innovation and Entrepreneurship

Energy Policy Elements

3

SRI LANKAN POWER SECTOR - 2016

Installed capacity 4,054 MW

Peak Demand 2,483 MW

Electricity Generated 14,249 GWh

System Losses 10.3 %

Elec. Consumption per Capita 603 kWh

Level of Electrification 98%

(June 2016)

Installed Capacity and Peak Demand

4

GDP Growth % & Elec. Demand Growth %

SRI LANKAN STATISTICS –POWER SECTOR

0

400

800

1200

1600

2000

2400

2800

3200

3600

4000

4400

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

Inst. C

apacity

& P

eak

Dem

and (

MW

)

Year

Total Installed Capacity Peak Demand

-20.0

-15.0

-10.0

-5.0

0.0

5.0

10.0

15.0

20.0

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

Gro

wth

Rate

(%

)

Year

GDP Electricity

Per capita electricity consumption‐2004‐2016

5

0

100

200

300

400

500

600

700

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

kWh

/Per

son

Year

The per capita electricity consumption in 2016 was 603 kWh/person.

SRI LANKAN POWER SYSTEM

• Until early 1990s’ Sri Lankan power system depended on Hydropower

• The available hydro generation capacity was adequate to providethe demand

• The first coal power plant of 300MW was added to the powersystem in year 2011

• Electricity Generation mix has shown a shift from hydropower tofossil fuel with :

‐ Increasing demand

‐ Unavailability of economically feasible sites for the developmentof major hydro resources

7

PRESENT CAPACITY MIX AS OF DECEMBER 2016

Plant Name Capacity (MW) Annual Energy (GWh)

CEB Hydro 1390 3498.7

CEB Thermal ‐ Coal 900 5066.8

CEB Thermal ‐ Oil 606 2360.2

IPP Thermal 652 2163.8

Other RE 516 1158.1

CEB Hydro34%

CEB Thermal

Oil15%

CEB Coal22%

IPP Thermal

16%

Other RE13%

Capacity Share in 2016

CEB Hydro24%

CEB Thermal

Oil17%

CEB Coal36%

IPP Thermal

15%

Other RE8%

Energy Share in 2016

8

Daily Load Curve as at 08th March 2017

TYPICAL LOAD CURVE OF SRI LANKA

Actual Average Unit Cost of Electricity Generation -2016

2.32

6.58

17.59

24.34

28.37

‐

2.00

4.00

6.00

8.00

10.00

12.00

14.00

16.00

18.00

20.00

22.00

24.00

26.00

28.00

30.00

CEB Hydro CEB Coal Renewables CEB Thermal IPP Thermal

Un

it C

ost

(LK

R/k

Wh

)

Generation Technology

Average cost at selling point in 2016 = 18.09

Average cost at selling point in 2015 = 15.06

PRESENT SITUATION OF COAL POWER SECTOR IN SRI LANKA

The PlantOnly Coal Power Plant in Sri LankaLakvijaya Coal Power Plant (3x300MW)

Coal in Sri Lanka

• CEB identified coal as an economically attractive fuel

option for electricity generation in 1980’s

• No coal plants were start to built until 2009 due to several

environmental and social issues

• The first 300MW Coal Power Plant commissioned in 2011

• 900MW (3x300MW) Lakvijaya Coal Power Plant is in

operation since October 2014

Present Situation

• Sri lanka does not have coal deposits

• Depending on the specifications of the coal for which the boiler is designed and environment concerns low sulphur & low ash coal for LVPP is imported mainly from

– South Africa

– Indonesia

– Russia

• Annual consumption of coal: 2.2 million metric tons

Present Situation

Particle Size : between 2mm and 50 mm

Moisture Content : < 15 %

Gross Calorific Value : 5800 ‐ 6300 kCal/kg

Ash Content : < 16 %

Sulphur content : < 1 %

Volatile matter : > 22.5 % and < 39.9%

Fixed carbon : > 43 %

Coal Specifications

As per the Draft Long Term Generation Expansion Plan 2018‐2037

Generation Planning Capacity Additions

Planning horizon for the next 20 years:

Thermal Based Power Plants 4500 MW

(Coal/LNG/GTs/Reciprocating Engines)

Major Hydro 240 MW

Pumped Hydro 600 MW

Other Renewable Energy (Wind, Solar, Mini Hydro and Biomass)

2800 MW

Wind Solar Mini Hydro Biomass

1200 MW 1300 MW 220 MW 100 MW

Thermal

Renewable Energy

Energy and Peak Demand – Actual/Forecast

16

As per Long Term Generation Expansion Plan 2018‐2037

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

0

5000

10000

15000

20000

25000

30000

35000

40000

45000

50000

Dem

and

(M

W)

Ene

rgy

(GW

h)

Generation

Peak Demand

FuturePresent

LONG TERM GENERATION EXPNASION PLAN 2018-2037: Capacity Mix by 2037

15%

31%

32%

4%

13%

5%

Base Case

Major Hydro

ORE

Thermal ‐ Coal

Thermal ‐ Oil

Thermal ‐ LNG

PSPPCOAL

UPCOMING MAJOR THERMAL PROJECTS

Plant Year of Operation

100+70 MW Furnace Oil Power

Plant

2017/2018

3 x 35 MW Gas Turbine 2 Units by 2019

1 Unit by 2020

300 MW Natural Gas Fired

Combined Cycle Power Plant

Open Cycle – 2019

Combined Cycle ‐

2020

2 x 300MW High Efficient Eco

Friendly Coal Power Plant

(Feasibility study in progress)

2023/2024

FUTURE OPTIONS-CONVENTIONAL GENERATION

19

HVDC Link Between Sri Lanka and India

• Technical and Economical feasibility studies are carried out between CEB andPower Grid India to interconnect two Networks by DC link.

• Project to be expedite as soon as the completion of the Feasibility Studies.

Proposed India – Sri Lanka Grid Interconnection

Cancelled ‐ Coal Power Plant Project

• Initially planned to be built the 2nd

Coal Power Plant as a joint venture between CEB and NTPC India in Trincomalee

• Capacity = 2x 250 MW and panned to start in 2016

• Estimated cost = USD 600 million

• Approval not granted by Public Utilities Commission Sri Lanka in the Long Term Generation Expansion Plan 2015‐2034

• Due to a Supreme Court order

Drawbacks of Coal Power Developments

Pre‐feasibility Study for 1200MW High‐Efficiency Eco‐friendly Coal‐Fired Thermal Power Plant at Trin

• Pre‐feasibility Study for 1200MW high‐efficiencyeco‐friendly coal‐fired thermal power plant was conductedat Trincomalee, Hambantota Port and Galle

• Government of Sri Lanka selected Trincomalee as acandidate site for 3rd coal‐fired thermal power plant in SriLanka.

• Similarly, Feasibility Study for Trincomalee was conducted byNEDO (J‐POWER etc.) in 2014.

Future Plans for Coal Power Plants

Future Plans for Coal Power Plants as per LTGEP • All future coal power plants are proposed to be

– highly efficient with strict emission controls,

– Indoor coal storages enclosed coal handling

• Mitigation measures result in an additional capital cost of approximately 700USD/kW compared with conventional coal power plant

• To minimize environmental impact, Supercritical Power plants were selected instead of subcritical coal power plants’

Future Plans for Coal Power Plants

• Disposal of Ash

• Spreading coal dust during the windy season

• Public awareness

• Publicity against Coal Power Plants

Present Issues- Public & Environmental

THANK YOU!