August 25, 2011 / 2:02 PM / 8 years ago

Production up at Sri Lanka 300 MW plant despite fire

COLOMBO, Aug 25 (Reuters) - A fire broke out in Sri Lanka’s first coal-powered power generation station on Thursday, the third accident in the Chinese-built plant since its installation, but officials said there was no damage or effect on production.

“Things are under control,” head of the state-run Ceylon Electricity Board Wimaladharma Abeyewickreme told Reuters. “There is no major damage as far as the plant is concerned. This is a highly volatile area. There had been smoke and small fire.”

The 300 MW plant, due to eventually produce 900 MW, was built by Chinese engineers. China’s Exim Bank loaned $455 million to build the first phase and has offered an $891 million loan to build the second phase.

A fire broke out in the station’s recycling plant in November and a bearing broke last month, interrupting power supply. Abeyewickreme said there was no power interruption due to Thursday’s fire.

Early this month, former Chief Justice Sarath N. Silva said the plant was built with outdated technology that could result in a higher cost of power generation. (Writing by Shihar Aneez; Editing by Bryson Hull)

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