FT
Saturday Nov 02, 2024
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By Surya Vishwa
Below are excerpts of an interview with Mohamed Fahim, who has been for over 20 years attempting to support in the introduction of renewable energy to Sri Lanka through contacts with a wide global network, prioritising on Sri Lanka controlling the income reaped through this foreign investment as well as the overall initiative. The publication of this interview is part of a media campaign on solar energy awareness that will lead to the national solar conference to be initiated end of August.
Q: Could you explain the work that you have done or tried to do in Sri Lanka to promote solar energy/and/or renewable energy?
I have had the good fortune of being overseas for over 20 years and thereafter continued to associate with a lot of foreign principals engaged in finance and infrastructure project development. First I was in cement manufacturing and thereafter in housing development, in Dendro power development, municipality waste to energy development, solar power development, roof top solar power projects as well as hybrid power development. In many of these projects we ended up unsuccessfully because of many reasons such as political instability, the long drawn terrorism linked wasted years the nation had to undergo and lengthy approval procedures where newcomers were treated adversely and discriminated.
The country fell victim to short sighted policies that did not allow projects beyond 10 MW Power Generation Capacity. Foreign investors were not willing to invest for small projects. If you want to describe these small scale 10 MW power projects, we can say that it is like limiting the national solar power potential in a ‘tea kiosk’ or ‘petti kade’ parameters. As a country we have to learn to handle foreign investment through a far thinking foreign investment policy where foreign investment can be attracted in a manner enabling Sri Lanka to have a solid hold on national interests.
What I tried to assist in was not to get an investing company that will exploit our resources and take the benefit by having us buy back the service from them at a high price but where Sri Lanka will solidly benefit. From a foreign investment perspective it is very easy to get big time investment for solar for a country such as Sri Lanka. We certainly do not have to languish the way we are doing now by digging the earth for fossil fuel. The stumbling block is when any country develops a culture of expecting commissions or indulging in encouraging a network of unnecessary red tape. There are many regions in the world where systems have been put in place where it is easy to implement such projects and hence there is high investor competition.
I remain positive that Sri Lanka can move forwards from this point and make a turnaround in its economic sphere especially through the route of renewable energy. All Sri Lankans should support in this and I believe that it is pointless to merely carry out the blame game. If we are blaming some people for inaction then all of us are to be equally blamed. This is the time we should start working for the country with utmost commitment.
Q: In trying to do the solar projects in Sri Lanka what was the major hindrance?
One of the major hindrances was the cost of obtaining approvals and implementing projects. We need a framework where we ensure that irrespective of which government is in place or who the ministers or officials concerned are, related to any project, the priority will be in the process of obtaining approvals functioning effectively and remaining uncompromised. This is not pertaining to any one particular government but a general policy change needed.
I repeat that Sri Lanka is not a country that has to be languishing in poverty. I will be able to talk to you for weeks and months on the extent of natural resources Sri Lanka has which can be used to promote environmental protection and not destruction. Fossil fuel destroys the environment and we need not contribute to this in any part of the planet by purchasing this energy resource for high amounts of money from other countries.
For a proper national plan on renewable energy, consistent commitment by policymakers for a minimum of five years would have been sufficient for Sri Lanka to transform its entire economy. The Harmony page of Daily FT had pointed this out a few weeks back in a detailed article. Each of our districts in the country is a gold mine of solar energy. Districts such as Jaffna and Kurunegala are superb examples.
Q: This interview is part of an initiative to create national solar energy awareness in this country. Could you speak of the district level solar energy potential in Sri Lanka; for example Kurunegala?
Kurunegala is an area known to be extremely hot and humid. Kurunegala is an ideal location for solar power to be maximised. Jaffna is another haven for solar power. Of course the whole of Sri Lanka is conducive for solar energy. With this unlimited renewable energy resource it is a mystery how Sri Lanka for 74 years after independence has not maximised its solar potential. In the current power crisis a national plan that will emphasise renewable energy as a base for economic transformation of the country is a must. It is imperative that solar power generation is considered as a priority to substantiate and create sustainable power generation in this island. It will fully transform the economy.
Q: Could you speak of how solar power can be introduced in diverse scales in Sri Lanka?
We have to think out of the box. We have to develop about four different routes for introducing solar to the different socio economic categories of people – for example the urban, suburban and rural areas have to be tackled in separate ways. For the urban and some suburban areas there can be roof top solar power generation. Solar energy use can be off grid for all city and urban households.
Solar power generation for all public and private buildings can be grid connected. It is important that the controls on capacity should be lifted without precondition for investor confidence. Sri Lanka should at all times have a grip on its investor potential so that it develops a scale where the country benefit is priority while keeping in mind reasonable investor benefit as well.
Q: Could you comment on the solar potential to implement private-public partnership which can have minimum or no red tape?
This is ideal at this stage. Completely private off grid initiatives also can be carried out and the relevant support even on minimum scale should be there by necessary officials as required if done in rural areas. Joint venture partnerships are also ideal. Rural communities can benefit by offset projects to be funded by investors or donors to compliment and integrate with projects that provide water, roadways, sanitation and community housing and farming amenities.
Q: How can we prioritise renewable energy in Sri Lanka?
I think it is crucial that we have two separate government ministries to handle fossil fuel and renewable energy separately. We need a cabinet ministry for renewable energy. We need the highest level of concentration on this. One human being can barely handle the standard energy requirement dilemma. How can you expect the same person to focus on renewable energy which requires a vast amount of knowledge gathering, time and commitment? At least now we should start a separate government ministry for renewable energy.
Q: Can you speak of the overall renewable energy potential in Sri Lanka?
If I were to say that this potential is unlimited it is not an exaggeration. We have wind resources amply in many areas. Water is a major asset this country has. We have to harness our water resources that are present both inland and off shore. We have much scope for integrated development models. For example if we had interconnected our water sources properly for alternative transport routes we could have merged this with hydro power maximisation. There is much that we can do for the conservation of water sources and initiating salt water desalination hubs to produce clean water, power generation using sea water. There are countries that transform salt water into electricity.
As part of an integrated development plan we have so much potential to have mini renewable energy hubs across Sri Lanka that will operate with sun, water and wind energy as needed. Separately, Sri Lanka has so much capacity to develop mini ports all around the island for the transportation of goods via sea.
Q: Sri Lanka is cited by some natural resource experts as being one place in the world that has incredible natural resource and diverse energy resource power. What is your awareness on the above?
It is for reason that this country is referred to as paradise. It is a tragi-comedy how we have made such a place one where we depend on other countries for handouts.
Q: In your view despite having all the above resources, why are we poor as a nation?
Lethargy
Labour unrest
Corruption
Herd mentality
Pettiness
Barriers by bureaucrats holding control
Q: Are you confident of Sri Lanka’s human resource potential?
Hundred percent. For instance under proper skill management we have enough proof that Sri Lankans have excelled on par with any nation in the world.
Even IT sector and the garment industry – we have proven leadership and talent. However, it’s unfortunate that harnessing of such talent to the benefit of its people and the craftsmen themselves is very limited – where you observe mega international corporations hiring and exploiting our human resources with meagre returns (to the workers and to the country $$$).
I was told that in the IT sector alone we can save over $ 1 billion annually (if local resources are intelligently harnessed for Enterprise Resource Planning (ERP) requirements that are mostly sourced from multinational corporations. Sadly the procured products/apps are developed using our own human resources and sold for extremely high prices with no major benefit to us.