Post on 25-Jan-2023
A Road Map for Cleaner Fuels and
Vehicles in Sri Lanka
Ministry of Environment and Renewable Energy
September 2014
2
CABINET DECISION ON
ENHANCING THE QUALITY OF FOSSIL FUELS FOR MANAGING AIR QUALITY
IN SRI LANKA
First Cabinet Decision:
Cabinet Paper No.l2/1225/527/025, a Memorandum dated 2012/08/15 by the Minister of
Environment on "Enhancing the Quality of Fossil Fuels for Managing Air Quality in Sri Lanka"
- the above memorandum was considered along with the observations of the Minister of Finance
and planning and approval was granted –
(i) To appoint a Ministerial committee comprising of the following Ministers*:
Hon. Susil Premajayantha,
Minister of Environment and Renewable Energy;
Hon. Patali Champika Ranawaka,
Minister of Technology and Research;
Hon. Pavithra Vanniarachchi,
Minister of Power and Energy;
Hon. Anura priyadarshana yapa,
Minister of Petroleum Industries; and
Hon. Kumara Welgama,
Minister of Transport;
(* Then Ministers, Hon. Susil Premajayantha, Minister of Petroleum Industries; Hon. Patali
Champika Ranawaka, Minister of Power and Energy; Hon. Pavithra Vanniarachchi, Minister
of Technology and Research)
to study all aspects pertaining to the enhancement of the quality of fossil fuels and to make
recommendations to the Cabinet on the management of the quality of air and also on the
institution where the proposed laboratory facility should be established; and
(ii) Appoint a Technical committee consisting of the following to assist the Ministerial
committee in its deliberations -
a representative of the Ministry of Finance and Planning;
a representative of the Ministry of Petroleum Industries.
a representative of the Ministry of Environment;
a representative of the Ministry of Technology and Research;
a representative of the Ministry of Transport;
a representative of the Department of Motor Traffic;
a representative of the Central Environmental Authority; and
a representative of the Department of Chemical Engineering of the University of
Moratuwa;
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The Secretary, Ministry of Environment should function as the Secretary to the Ministerial
Committee and also take action to submit the recommendations of the Ministerial committee
within two (02) months, for consideration by the Cabinet. Accordingly, following members
were appointed to the TC:
Mr. B.M.U.D Basnayake, Secretary, Ministry of Environment &Renewable Energy
Prof. (Mrs) Padma Amarasinghe, Department of Chemical Engineering, University of
Moratuwa
Mr. K.D.S.R. Perera, Director (Environment), Department of National Planning,
Ministry of Finance & Planning
Mr. U.N. Mallawarachchi, Deputy Director (Planning), Ministry of Transport
Mr. R.M. Kulasena, Deputy Director, Environment Pollution Control Division, Central
Environment Authority
Mr. M.P. Kasun Pramodith, Assistant Secretary (Development), Ministry of Petroleum
Industries
Mr. W.R.K. Fonseka, Senior Research Engineer, Industrial Technology Institute,
Ministry of Technology and Research
Mr. A.W. Dissanayake, Project Director, Vehicular Emission Testing Programme
Office, Department of Motor Traffic
In addition to above, TC decided to co-opt following sector specialists to the committee in order
to obtain specialized views.
Dr. D.S Jayaweera, Director General, Department of Development Finance, Ministry of
Finance& Planning
Mr. Gamini Gamage, Addl. Secretary (Environment & Policy), Ministry of Environment
&Renewable Energy
Dr. A.G.T. Sugathapala, Director General, Sri Lanka Sustainable Energy Authority
Mr. Anura Jayatilake, Director General, South Asia Co-operative Environment
Programme
Dr. Ruwan Wijayamuni, Deputy Chief Medical Officer, Colombo Municipal Council
Mr. N.R Amarasinghe, Deputy Refinery Manager, Ceylon Petroleum Co-operation
(CPC).
Mr. Ajith Silva, Director, Air Resource Management & International Relations, Ministry
of Environment & Renewable Energy
Second Cabinet Decision:
Based on with the recommendations of TC, Hon. Minister of Environment & Renewable
Energy submitted a Cabinet Paper No.l3/1329/527/021, dated 2013/08/30. The Cabinet of
Ministers has appointed an Officials’ Committee to formulate an Action Plan for the activities
with a time frame, key performance indicators and the cost involved by considering the
recommendations of the Ministerial Committee. The Official Committee is comprised of the
following Officials;
- Secretary, Ministry of Petroleum Industries- Chairman of the Officials’ Committee
- Secretary, Ministry of Environment and Renewable Energy - Convener and Secretary to
the Officials’ Committee
- Secretary, Ministry of Technology and Research
- Secretary, Ministry of Power and Energy
- Secretary, Ministry of Transport
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The Official Committee decided to co-opt the following sector specialists to the Committee in
order to obtain specialized views.
Mr. V. Amarathunga, Addl. Secretary, Ministry of Transport
Mr. Upali Daranagama, Addl. Secretary, Ministry of Power and Energy
Dr. A.G.T. Sugathapala, Director General, Sustainable Energy Authority
Mr. Anura Jayathilake, Director General, South Asia Cooperative Environment
Program (SACEP)
Dr. Ruwan Wijayamuni, Chief Medical Officer, Colombo Municipal Council
Ms. Y.M. Samarasinghe, Addl. General Manager (Transmission), Ceylon Electricity
Board
Mr. W.L.A. De Silva, Deputy General Manager, Ceylon Electricity Board
Prof. (Ms.) Padma Amarasinghe, Dept. of Chemical Engineering, University of
Moratuwa
Prof. Ajith de Alwis, Dept. of Chemical Engineering, University of Moratuwa
Dr. Parackrama Karunarathne, Dept. of Chemical Engineering, University of
Peradeniya
Mr. M.C. Fernando, Director(ES), Sri Lanka Standards Institution
Mr. Ajith Silva, Director, Air Resource Management & International Relations
Mr. W.R.K. Fonseka, Senior Research Engineer, Industrial Technology Institute
Mr. B. Samarasekara, Chief Engineer(General Planning), Ceylon Electricity Board
Mr. A.W. Dissanayake, VET Project Director, Dept. of Motor Traffic
Mr. R.M. Kulasena, Deputy Director, Central Environmental Authority
Mr. N.R. Amarasinghe, Deputy Refinery Manager (Manufacturing & Operations),
Ceylon Petroliam Corporation
Dr. Hemantha Herath, Deputy Director, Environment and Occupational Health
Division, Ministry of Health
Mr. K.J. Sirikumara, Asst. Director, Sri Lanka Standard Institution
Mr. S.P.R. Liyanapathirana, Asst. Director, Sri Lanka Tourism Development
Authority
TERMS OF REFERENCE FOR THE OFFICIALS’ COMMITTEE
The first meeting of the Officials’ Committee was held on 31st March 2014 at the Ministry of
Petroleum Industries and consented to carry out the following broad activities.
1. Study the TC report on “Enhancing the quality of fossil fuels for managing air quality of
Sri Lanka”.
2. Review the activities identified in the above report, and with due consideration of the
current issues of the areas of concern, refine the activities further.
3. Study the related government policies, strategies, regulations and development plans,
etc. and make recommendations accordingly.
4. Review the technical report and its recommendations prepared by the Ministry of
Environment & Renewable Energy and improves the concern areas.
5. Prepare and finalize a time bound action plan for recommended activities indicating:
Responsibilities / Organizations
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Key performance indicators (KPIs)
Cost involved
This report presents the findings and recommendations of the above TC and OC on the
enhancement of quality of fossil fuels for managing quality of air in Sri Lanka.
Report Preparation:
Dr. A.G.T Sugathapala, Director General, Sustainable Energy Authority
Co-ordination and Special Assistance in Report Preparation:
Sampath Ranasinghe, Environment Management Officer, Air Resource Management &
International Relations, Ministry of Environment & Renewable Energy
Ruwan Weerasooriya, Environment Management Officer, Air Resource Management &
International Relations, Ministry of Environment & Renewable Energy
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CONTENT
Page No:
EXECUTIVE SUMMERY
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1. BACKGROUND 11
1.1 Fuel Quality and Air Pollution 11
1.2 Introduction to Air Quality in Sri Lanka 11
1.3 Overview of Sri Lanka Energy Demand 12
1.3.1 Energy Balance 12
1.4 Transport Energy 14
1.5 Industrial Energy 16
1.6 Government Policy 16
1.7 Renewable Energy Development 17
CHAPTER 2: HISTORICAL ACHIEVEMENTS IN AIR POLLUTION
MANAGEMENT IN SRI LANKA
20
2.1 Vehicular & Industrial Emission Control 20
2.2 Phasing Out of Unleaded Gasoline 21
2.3 Banning Of Two Stroke 3 Wheelers 22
CHAPTER 3: PRESENT STATUS OF FUEL QUALITY AND AMBIENT AIR
QUALITY
23
3.1 World Scenario 23
3.1.1 Impact of Fuel Quality on Vehicular Emissions 24
3.1.1.1 Gasoline Vehicles 25
3.1.1.2 Diesel Vehicles 26
3.2 Status of Air Pollution in Sri Lanka 28
3.2.1 Industry Sector 31
3.2.2 Transport Sector- Vehicular Emissions 32
3.2.3 Emissions of Power Plants 33
3.3 Petroleum Products Supply and Demand in Sri Lanka 35
3.3.1 The Quality of Transport Fuels 38
3.3.2 Current Gasoline and Diesel Fuel Specifications and Quality 38
3.3.3 Crude Oil Refining Process at the Existing Refinery at Sapugaskanda 40
3.3.4 Quality of Gasoline and Diesel Marketed In Sri Lanka 40
3.3.5 Expansion / Modification of the Existing Refinery 41
3.3.6 Existing Barriers in Improving the Fuel Quality 41
3.3.7 Options for Fuel Quality Improvement 41
3.4 Need for Establishment of Independent Fuel Quality Testing Laboratory 43
3.4.1 Objectives of the Fuel Quality Monitoring System 44
3.4.2 Key Elements of Good Fuel Quality Monitoring and Enforcement Program 45
3.4.3 Responsible Authority 45
3.4.3.1 Emission Related Standards for Super Diesel 47
3.4.3.2 Customer Complaints 47
3.4.3.3 Industry Cooperation 47
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3.4.3.4 Capacity: Staff and Equipment 48
3.4.3.5 Sampling and Analysis 49
CHAPTER 4:- IMPACTS IN ENVIRONMENTAL, HEALTH AND SOCIO-
ECONOMIC SECTORS
50
4.1 Quality of Fossil Fuels and Impact on the Environment 51
4.1.1 Air pollution control measures 53
4.2 Potential Health Related Urban Air Quality Issues Caused By Low Quality
Fossil Fuels
55
4.3 Economic Analysis for Fuel Quality Improvement 58
CHAPTER 5:- ELEMANTS AND STRATEGIES IN THE FUEL QUALITY
IMPROVEMENT ROAD MAP
60
CHAPTER 6:- RECOMMENDATIONS FOR THE ROAD MAP OF
INTRODUCING CLEANER FUELS IN SRI LANKA
66
CHAPTER 7:- ACTION PLAN OF THE FUEL QUALITY ROAD MAP OF
SRI LANKA
71
REFERENCES 76
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Executive Summery
A Road Map for Cleaner Fuels and Vehicles in Sri Lanka is designed to provide decision
makers with up-to-date information on how to clean up fuels in Sri Lanka by implementing a set
of activities with time-bound targets giving due consideration for regional and international
trends in the subject, while addressing the local concerns. Implementation of this road map
would help in establishing environmentally sustainable transport (EST) system that lead to a
better air quality management in Sri Lanka. As the emission characteristics of a vehicle fleet in
an urban environment and resulting ambient air quality degradation are very complex in nature,
a comprehensive strategy covering all the facets of the problem is required. Accordingly, this
report discusses the interaction between fuels and vehicle technologies and the approaches that
existing refinery can take to produce cleaner fuels, and makes recommendations for next line-
of-actions. The following are among the key conclusions drawn from this comprehensive study.
(i) Clean fuels are essential.
Pollution control experts worldwide have come to realize over the past 30 years that cleaner
fuels are a critical component of an effective clean air strategy. In recent years, this
understanding of the critical role of fuels deepened and spread to most regions of the world.
Fuel quality is now seen as not only essential for directly eliminating or reducing pollutants
such as lead, but also as a precondition for introducing many important pollution control
technologies (e.g., the lowering of sulfur content to enable use of diesel particulate filters).
Further, one critical advantage of cleaner fuels has emerged—its rapid impact on both new and
existing vehicles. For example, tighter new vehicle standards can take 10 or more years to be
fully effective, but the removal of lead in gasoline in Asia has reduced lead emissions from all
vehicles immediately.
(ii) A systems approach is essential.
Fuels and vehicles are parts of an integrated system and must be addressed together. The main
benefits of reducing emissions will be realized through the coupling of cleaner fuels with
cleaner vehicles having advanced emission control technics/devices and regular systematic
maintenance scheme. Management of ambient air quality also requires controlling emissions
from other sources with significant emission levels through appropriate regulatory actions. In
particular, the recently developed stationary sources emission standards should be enforced to
complement the vehicle emission control programme to achieve the air quality targets. Hence, it
is important to harmonize the source emission standards (both mobile and stationary sources)
with the national ambient air quality standards, with the aid of air quality modeling tools, such
that the concentration levels of pollutants specified in the standards become logical and realistic.
This also requires setting up of ambient air quality monitoring network at strategically identified
locations, development of an emission inventory for the country and assessment of socio-
economic and environment impacts of air pollution.
Further, promotion of mass transport and non-motorized transport systems together with non-
technical interventions such as transport demand management and multimodal planning are
vital elements for the establishment of EST system in Sri Lanka.
(iii) Fuel quality and vehicle emission standards should be regulated together. As Sri
Lanka has adopted European vehicle (Euro) emission standards to suit the local situation like
most Asian countries, European fuel parameters are an important reference point, especially as
the fuel quality and emission standards in Europe represent an integrated approach to reducing
air pollution from the transportation sector. For example, the advanced emission reduction
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technologies utilized in the new vehicles are not functioning properly due to high level of
impurities in the diesel and petrol oils. High sulfur levels reduce the effectiveness of advanced
three-way catalysts for gasoline vehicles and clog particulate filters in diesel vehicles.
(iv) Reducing sulfur is essential.
As the lead (Pb) has been already removed, sulfur levels in both gasoline and diesel fuels are the
primary fuel parameter to be addressed in Sri Lanka’s fuel road map. Reducing sulfur in fuels is
a key measure in reducing air pollution from motor vehicles as well as industrial sources. High
sulfur levels reduce the effectiveness of advanced three-way catalysts for gasoline vehicles and
clog particulate filters in diesel vehicles. Further, as the new vehicle engines are designed to use
low sulfur fuel it is very important and essential to low sulfur diesel and petrol. Therefore it is
necessary to use the fuel recommended by the manufacturers to reduce the wear and tear and to
control the emissions. Almost all Asian countries will be adopting increasingly stricter Euro
emission standards, which require reduced sulfur fuels, with an ultimate goal of 50 ppm or less
sulfur in diesel and gasoline. Therefore, it is recommended providing of diesel with maximum
of 1000ppm sulphur level by 2015 in Sri Lanka.
(v) The benefits of reducing sulfur are clear.
A vast volume of literature based on extensive studies conducted in both developed and
developing countries could be found on estimation of impacts of air pollution and also the cost-
benefit analysis of different emission control strategies. For example, the United States (US),
Mexico, and the People’s Republic of China (PRC) have estimated that the economic benefits
of an integrated system of clean fuels and vehicles far outweigh the costs. The estimated benefit
cost ratios of these programs are 15:1 in the United States, and 20:1 in the PRC.
(vi) Cleaner fuels are cost-effective and reduce air pollution.
In general, air pollution could be reduced by 20% from EURO III fuels compared to EURO II
fuel, while reduced by 30% from EURO IV fuels compared to EURO III fuels. Such
replacements have high implication on cost of fuel importation and cost of health which
includes cost of medicine, and low productivity of labour force. It also found that the present
import fuel bill of US $ 5.2 billion in the country can be reduced to US $ 4.3 billion by
improving present fuel quality to EURO III which is 5% of total country’s import bill. The
impact on budget deficit is also reduced by almost 4 % which cannot be achieved from any
other component.
Introduction of cleaner fuels not only reduce the emissions leading to better air quality but also
improve the technical performances of vehicles including their fuel economy/efficiency and life.
Therefore, net benefits of introduction of cleaner fuels far outweigh the cost associated with the
fuel switching. For example benefits of providing cleaner fuels, especially low sulphur
petroleum oils (i.e. diesel, petrol, heavy fuel oil - HFO, light fuel oil – LFO, naphtha, etc) in the
country includes improvements of public health and environmental impacts on reduction of air
pollution attributed non-communicable disease incidents and increase of life expectancy of Sri
Lankans. It is important to highlight that the Government of Sri Lanka spends more on health
sector development compared to other south Asian countries. It was around 5 percent of total
government expenditure during the recent past years while consumed fuel by the transport
sector was only US $ 2.9 billion and import bill of fossil fuel for power generation was US $ 2.2
billion. Further the air pollution could be reduced considerably by using EURO III fuels
compared to EURO II fuels, and also from EURO IV fuel compared to EURO III fuel. This has
high implication on cost of fuel importation and cost of health which includes cost of medicine,
and low productivity of labour force.
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(vii) Current refinery expansion creates a window of opportunity.
The increasing demand for transportation and industrial fuels has necessitated the upgrading or
expanding of existing refineries in the country, thereby creating a window of opportunity to
produce the clean fuels necessary for reducing emissions.
At present, demand of the auto diesel in the country is 5000 tons/day and existing refinery
process produce about 40% of fuel oil with 3.5% sulfur which use in the thermal power plants.
It is recommended to upgrade/improve this amount of fuel oil into valuable products like petrol,
diesel etc, in the propose refinery expansion/improvement proposal of the Ceylon Petroleum
Co-operation (CPC). The gasoline produced in the existing refinery is in par with Euro IV
standards. However, at present sulfur extracted during the refinery process is burned into the air
since there is no sulfur recovery unit available. Therefore it is highly recommend implementing
the existing CPC Refinery Expansion / Modification project as early as possible to provide the
proposed fuel standards within the country itself.
(viii) Taxing policy and other incentives are effective.
Worldwide experiences indicate that governments can accelerate the introduction of cleaner
fuels and their uptake in the fuels market through a balanced and thoughtful combination of tax
and pricing policies. Introduction of alternative fuels for Transport – Electric Vehicles and
provide attractive tax concessions for promoting smaller hybrid vehicles with higher efficiency
in fuel consumption will be highly effective in managing air quality and related issues.
(ix) Establishing an independent Fuel Quality Management Centre must be essential for
preventing of Fuel adulterations.
Whatever the fuel specifications are adopted in Sri Lanka, it is important to have routine
monitoring of the fuel quality at the pump and along the distribution chain to ensure that the
actual fuels in the marketplace meet the required specifications by establishing an independent
Air Quality Management Committee(AQMC). As the final aim of the fuel quality road map is
the air quality management in the country, it is a must to enhance the scope of activities of this
committee to cover overall elements in air quality management programme at national level.
(x) All stakeholders should be consulted in the decision making process.
The decision making process on the introduction of cleaner fuels should include a dialogue
among all stakeholders, including environmental and public health officials, the oil refining
sector, vehicle and engine manufacturers, and ministries concerned with oil pricing and
taxation.
(xi) It is important to raise awareness about air pollution and vehicle emissions.
Intensified awareness-raising at the national and sub national levels are important for making
the priority of cleaner fuels is well-understood among all the stakeholders. Efforts in this regard
should focus on both decision makers and the general public on vehicle emissions, air pollution
and socio-economic & environment impacts.
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1. BACKGROUND
1.1 Fuel Quality and Air Pollution
Air is an essential basic need of all of living beings. Since air is abundantly available, it was not
treated as a resource in the same manner as land and water. The use of fossil fuels in energy
generation for development activities of many countries has resulted severe air pollution issues.
In fact, burning of fossil fuel is the most critical sources of pollution, which has a number of
potential undesirable effects: high levels of urban air pollution; acid rain and changes in global
climate. Among these adverse effects, air pollution continues to pose a significant threat to the
environment and the health and quality of life of Asia’s urban population. The World Health
Organization (WHO) has estimated that more than 530,000 premature deaths in Asia are due to
urban air pollution. Main source of air pollution in many instances is in the transport sector,
especially due to excessive use of road vehicles. Over the past 50 years, the world’s vehicle
population has grown fifteen-fold, now exceeding 700 million units and will soon reach 1
billion. Most of these vehicles were originally concentrated in the highly industrialized
countries, but an increasing number of urbanized areas in developing countries and Central and
Eastern Europe are now also heavily congested. While these vehicles have brought many
advantages, the benefits have been at least partially offset by excess pollution which has
resulted in many effects that endanger the quality of life of current and future generations and
carrying capacity of ecosystems. Motor vehicles, including motorcycles, three wheelers,
passenger cars, vans and heavy-duty buses and trucks, are almost always a major source of this
air pollution in Asian cities. Key emissions from motor vehicles include carbon monoxide (CO),
particulate matter (PM), nitrogen oxides (NOX), Sulfur Dioxide (SO2), and volatile organic
compounds including unburned hydrocarbons (HC).
Reducing emissions from motor vehicles needs comprehensive strategy covering aspects such
as cleaner fuels, cleaner technologies, traffic management and inspection & repair. This study
investigates the impacts of introducing cleaner fuels and also the advanced emission control
technologies that require these cleaner fuels. A key first step has been the worldwide drive to
eliminate lead in gasoline, which has resulted in more than 90% of the world’s gasoline
becoming lead-free. It is now time to address all fuel issues, including sulfur in fuel, additives,
and other fuel components.
1.2 Introduction to Air Quality in Sri Lanka
Air pollution has now been identified as a growing problem in Sri Lanka as in most other
countries in the world. This has been mainly due to rapid motorization and industrialization.
Trends in energy consumption show increases in petroleum consumption compared with other
renewable sources such as bio fuels and hydropower. Also, Sri Lanka has rapid motorization
with huge increase of vehicle fleet during last two decades. The new registration statistics of the
Department of Motor Traffic clearly shows the total vehicle population of Sri Lanka has
increased by one hundred thirty five percent (135%) during the 10-year period from 2003 to
2012 primarily due to motorcycles and three-wheelers, which is an alarming situation. If no
action is taken to clean up fuels and vehicles, urban air quality will continue to decline.
The atmospheric pollution has been highest in the Greater Colombo area, where a significant
proportion of the country’s population resides, and most of the industrialization has occurred.
The transport sector is contributing about 60% to the air pollution especially in the Colombo
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City. Greater dependence on fossil fuels as the sources of energy supplies in various sectors,
particularly in the industrial and transport sectors has resulted in increased atmospheric
pollution. It has been revealed that the Kandy City air has been polluted more than in the
Colombo City mainly due to the mobile sources as the Kandy City is located in a valley.
Further, the rapid economic development and associated higher levels of energy consumption
also caused significant levels of air pollution in the cities. The impact of this is aggravated by
the fact that the development of industrial and residential areas are completely unplanned within
most of these cities with housing is located by the side of industrial installations and visa versa.
Such levels of poor planning have exposed the population in these cities to increased risk of air
pollution from burning fossil fuels from vehicles, industries etc.
Air quality monitoring in Sri Lanka has focused mainly to the Colombo City where there is an
economic and urbanization activities are likewise centered. Air quality monitoring in other
cities such as Kandy, Anuradhapura, Puttalam, Kurunegala etc. are very limited.
Government of Sri Lanka spends more on health sector development compared to other south
Asian countries. It was around 5 percent of total government expenditure during the recent past
years. Research has revealed that ambient PM (PM10, PM2.5, and PM0.1) and SO2 leads to the
most significant adverse health effects that are associated with air pollution in Sri Lanka. The
other primary vehicular exhaust pollutants in the country include CO, NOX, and HC.
1.3 Overview of Sri Lanka Energy Demand
Sri Lanka at present meets approximately 35 % of its total energy needs from fossil fuels,
namely petroleum products and coal. Automobiles, petroleum refineries, thermal power plants
(oil and coal), the industrial sector and the domestic & commercial sector are the users of these
fossil fuels. Future predictions show that by 2026 oil-based thermal power plants are completely
replaced by coal power generation. The population in Sri Lanka grew marginally at an annual
rate of 0.7% during the last decade to reach 20.7 million in 2012. 87.7% of the households are
receiving electricity from the national grid, operated by the state owned monopoly, Ceylon
Electricity Board. 43.7% of the primary energy demand is met using biomass and a 46.3% from
imported petroleum fuels whilst the balance is met through other indigenous energy resources,
presently dominated by hydropower. With the economic development, the demand for energy is
expected to grow in the foreseeable future.
1.3.1 Energy Balance
The country falls into the category of low energy intensity countries, averaging only 542.71 kilo
ton of oil equivalent (ktoe) primary energy and 191.84 ktoe commercial energy use per capita
per annum. Considering annual per capita electricity and petroleum consumptions of 478.70
kWh and 198.61 kg respectively, commercial energy use can also be seen as low.
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The energy balance of Sri Lanka in 2011 can be summarized as follows.
Primary Energy (PJ) 2011
Biomass 207.0
Petroleum 205.8
Coal 13.6
Major hydro 40.4
New Renewable Energy 7.5
Total 474.2
Total Demand (PJ) 2011
Biomass 206.1
Petroleum 128.5
Coal 3.1
Electricity 36.0
Total 373.8
Demand by Sector (PJ) 2011
Industry 91.1
Transport 103.0
Household & Commercial 179.4
Agriculture 0.3
Total 373.8
Source: Sri Lanka Energy Balance 2011, Sri Lanka Sustainable Energy Authority
The country refines approximately 36% of its petroleum products in a government owned
refinery, and the balance is imported in the refined forms. Total petroleum consumption stands
at 128.5 PJ, which includes fuel for power generation.
The overall energy flow in Sri Lanka in the year 2011 is illustrated in Figure 1.
Figure 1: Sri Lanka Energy Flow 2011 (in thousand toe)
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Electricity industry which was dominated by hydropower up to the late 90’s, but now heavily
depends on thermal power to meet the rising energy demand. Approximately 59% of electricity
is generated from oil, while the balance comes from major hydro and new renewable energy
resources. Recent addition of the coal power to the generation system is expected to contribute
nearly 20% to the gross generation, which will gradually increase to replace the oil as the main
source of power generation fuel. The total installed power generation capacity was 3140.7 MW
and serves a peak demand of around 2163.1 MW in 2011. The future of power generation is
going to be heavily dependent on coal as depicted below.
Figure 2: The future of Sri Lanka power generation
With the above development, the efforts on managing fuel quality will have to shift from the
liquid petroleum fuels to coal in the case of power plant. However, the transport sector will
continue to depend on liquid petroleum fuels, and as a result, continued attention to the quality
of transport fuels is not to be compromised.
Given the nature of the power industry, the emissions are contained to few stationary locations,
which are relatively easy to monitor and control. Every effort must be made to introduce
continuous monitoring of emission signatures of all power plants which use some form of fuel
for combustion. This aspect has been taken into account in the proposed stationary sources
emission standards, enforcement of which becomes an important element in overall air quality
management programme in the country.
1.4 Transport Energy
With the Government paying attention to the economic development of all provinces and
improved transport infrastructure, the demand for transport services is expected to increase in
the foreseeable future.
0
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Figure 3: Transport Energy Demand in Sri Lanka
The transport sector is undergoing rapid changes in fleet structure, with more and more demand
is placed on private modes of transport in the context of deteriorating quality of public transport.
A marked increase of two wheeler and three wheeler vehicle registrations are indications of this
phenomenon. These trends, which are going to affect emissions in a negative-way, are
presented in the graph overleaf.
Figure 4: Increasing Vehicle Population in Sri Lanka
A large portion of transport energy is demanded in the Western province, due to the
concentration of businesses and other services in the province. With the increased participation
16
in economic development by other provinces, this situation may exhibit a slow change. Given
this situation, the emphasis placed on controlling vehicle emissions will have to be further
stressed. Policy measures which create a conducive environment for the public mass
transportation modes are expected to play a significant role in the coming years, if the transport
energy demand is to be managed. Further, promotion of non-motorized transport systems
together with non-technical interventions such as transport demand management and
multimodal planning are vital elements in reducing fuel intensity in the transport sector of Sri
Lanka.
1.5 Industrial Energy
Industrial energy demand is more susceptible to the fuel price fluctuations, but the growth
projections indicate immediate return to the long term growth trajectories once the fuel prices
recede to low levels. These can be observed across all forms of industrial energy as depicted in
the graph below.
Figure 5: Industrial Energy Demand in Sri Lanka
The industrial sector, with large number of small and medium industries and an even larger
informal sector is becoming increasingly difficult to monitor and manage, as the globally
accepted industrial classifications are not adhered to in Sri Lanka. A concerted effort is required
to improve the quality of energy data provided by the industrial sector, before an appropriate
benchmarking programme can be launched to monitor and control emissions.
Fuel quality available to the informal sector requires special attention, given the circumstances
prevalent such as adulteration and dilution with spent lubricants etc. are considered. In future,
specific measures are called for, to closely monitor the small and medium sector and the
informal sector through a routine plant inspection programme.
1.6 Government Policy
Government of Sri Lanka is keen on extending the grid electricity to the total population by year
2014 through grid and off-grid means. Already, 87.7% of households get grid electricity on 24x7
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basis, and the grid served households will continue to increase to over 95% by end 2013. The
remaining population will receive electricity using mini grids and stand-alone systems utilizing
energy from renewable resources such as solar and micro-hydro.
Development of all renewable resources using public and private investments is high on the
priorities and will focus on hydro, wind, biomass and solar sectors. Private sector will be
encouraged to develop renewable energy resource less than 10 MW under SPPA model with
declared technology specific feeding-tariff and resources with larger capacities (greater than 25
MW) will be jointly developed by the public and private sector.
There are two ongoing policy initiatives at present, which will provide a highly conducive
environment for renewable energy development. These initiatives are:
(i) Development of a comprehensive national energy policy which propose measures to
increase energy security, improved energy efficiency and more reliance on indigenous
energy resources. The draft policy is now before a group of key stakeholders for
review.
(ii) Preparation of a renewable energy development plan (or road map) which aims at
generating complete value chains to harness the natural resources for economic
development, including the creation of high skill employment opportunities.
1.7 Renewable Energy Development
Sri Lanka is blessed with impressive hydro, solar, wind and biomass resources and some of
these resources are developed to commercial levels, and others are in various stages of
development. The achievements of the new renewable energy (NRE) sector are presented Table
1 below.
Table 1: The achievements of the new renewable energy (NRE) sector
No. MW No. MW
Mini Hydro 95 206 117 209
Biomass Dendro 1 0.5 15 85.5
Biomass-Agricultural &
Industrial Waste 2 11 4 6
Waste Heat Recovery 1 0.1 - -
Solar 3 1.36 - -
Wind 8 48.85 6 74.15
Total 110 267.81 142 374.65
Projects TypeProject in Operation Projects with EP
Hydro:
Medium capacity hydro potential is developed to a capacity of 1,357MW and there are few more
potential sites awaiting development with a capacity around 150MW. Small hydro potential is
being developed to around 210MW, and there are around 375MW of resources awaiting
development.
18
In addition, there are around 300 micro hydro powerhouses operating in the island, capacities
ranging from few hundred watts to 60kW, providing power to communities either through mini
grids or as standalone units.
Wind:
There is a 3MW pilot wind power plant in the island connected to the national grid, owned by
the Ceylon Electricity Board, in operation from 1998. After many years, private sector
commissioned the first commercial scale power plant in 2010, adding a 10MW capacity to the
national grid. At end 2012, there were nearly 60MW of operating power plants in the national
grid and around 40 MW are under construction. A proposal to develop 100 MW wind power
farm in Mannar island is under development. Several standalone wind powered battery-charging
stations operate in isolated communities as a pilot project, with unit capacities ranging from
100W to 250W. Two community wind systems are also operational, one in a remote west coast
island and the other in southern coastal area.
The total meteorological potential of all the promising sites is a staggering 25,000MW. Wind
resource assessments carried out by NREL atmospheric scientists indicate that certain lagoon
areas and highland zones can accommodate a capacity of more than 2500MW, which are rated
as 'best sites available' anywhere in the world. Data collection for validation of the satellite data
using ground measurements is presently underway.
Biomass:
Considering the dominance of biomass on the national energy balance, there had been attempts
to develop the production of fuel wood as an industry. The trial plantations have indicated that a
hectare of marginal land can produce 25,000kg of dry matter per annum 15 months after
establishment, on a continuous basis.
In view of the availability of large extents of marginal land, several plants using gasifier and
steam boiler technologies have been planned, with capacities ranging from few hundred few
kWs to 10 MW. Larger plants using biomass direct combustion / steam boiler - turbine
technologies with their higher efficiencies are expected to play a leading role in future
developments.
At present, two grid connected power plants of total installed capacity 11.5 MW (10 MW and
1.5 MW) have been in operation among which the smaller plant is yet to reach the full capacity
due to technical issues. Further, number of off-grid community based power plants with
aggregate capacity of over 20 kW were installed but majority of them are not in successful
operation.
Solar:
Being a tropical country with plenty of sunshine, Sri Lanka uses solar energy primarily in agro
processing activities such as drying. Solar resources assessment carried out simultaneously with
the wind resource assessment is expected to provide a sound database of solar resources in the
near future.
Solar PV technology was introduced to Sri Lanka during 1980s is accepted widely in remote dry
zone farming communities. Standalone solar home systems with powers ranging from 10 W to
100 W power approximately 167,000 households as at end 2011. This figure is expected to
decline due to the rapid expansion of the national grid. There is a pilot grid connected solar PV
power plant in operation since 2001 as a demonstration model with a capacity of 30kW. In
19
2011, the first grid tied solar power plant was commissioned by the Sri Lanka Sustainable
Energy Authority as a pilot project, adding 1.24 MW of capacity to the national grid.
In addition to the above four renewable energy resources, there are indications of availability of
geo-thermal and ocean-thermal resources, but detailed resource assessments are yet to be carried
out for the identification of the technical and economic potentials.
20
12,596
8,742
8,272
10,904
53,486
Modal Share of Passenger km 2010 (Million Pkm)
Two wheelers 13.4%
Three wheelers 9.3%
Private cars 8.8%
Dual purpose vehicles 11.6%
Private Buses 56.9%
CHAPTER 2
HISTORICAL ACHIEVEMENTS IN AIR POLLUTION MANAGEMENT
IN SRI LANKA
2.1 Vehicular & Industrial Emission Control
Reducing emissions from motor vehicles is an important component of an overall strategy for
reducing air pollution. One essential approach to reducing air pollution caused by vehicle
emissions is to eliminate lead from gasoline in year 2003. Formulation of vehicle emission
standards was also taken place in 2003. Prohibition of importation of two stroke three wheelers
also contributed a significant ambient air quality improvements in the country. Formulation of
fuel quality standards was completed in 2003 with stepwise improvements to cater for the
deteriorating ambient air quality arisen from emissions of increasing vehicle fleet in the
economic development process. In addition to above, there were several fiscal policy decisions
taken in time to time by increasing custom duties of smaller vehicles and reducing duties of
electric and hybrid vehicles to reduce the air pollution caused by vehicles. Figure 6 shows the
model share of passenger km in millions contributed to total passenger transport requirements in
2010
Figure:-6. Model share of passenger km and projected active fleet in 2010
Source: Sri Lanka Sustainable Energy Authority
This figure gives an indication of the total pollution loads from each vehicle category based on
their active fleet and shows the contribution to passenger transport demands. Therefore,
regulations, standards as well as policy improvements are highly important to manage the
ambient air quality in the country.
For the control of air pollution from industry sector, the Central Environmental Authority has
set out the stationary source emission standards and all the industrial sector pollution loads are
expected to be controlled through these standards. Another important point is that one of the
factors considered in the development of these standards is fossil fuel quality used in energy
sources of the industrial processes. With the existing fuel quality levels in Sri Lanka, it is also
difficult for industrial community to manage their emissions within the standards. Specially, the
sulphur content in fossil fuel contributes significantly for the industrial air pollution by
generating sulphur dioxide in large quantities.
It is proposed to strengthen the vehicle emission standards to reduce air pollution caused by
motor vehicles as the present standards are very basic and less-stringent. But introduction of
11%
12%2%
6%
5%
8%
56%
Projected Active Fleet 2010
Motor Cars
Dual Purpose
Buses
Lorries
Land Vehicles
Three Wheelers
Motor Cycles
21
more stringent vehicle emission standards will not guarantee the improved ambient air quality
in the country without enforcing the fuel quality improvements.
Further to above, use of poor quality fuel to propel modern vehicles is contributing to economic
losses associated with replacement and repairs of corroded engines and parts due to use of poor
quality fuels. Therefore, fuel quality improvement is in utmost importance in transport sector of
the country. In addition, as per with MAHINDA CHINTHANAYA Development policy
framework in Sri Lanka, prepared by Department of National Planning , Ministry of Finance
and Planning, it has been targeted to reduce the annual average PM10 particulate matter
(particulates of aerodynamic diameter less than 10 micro meters) concentration to the value of
40 mg/m3 by year 2016. With effects of previously implemented air quality management
interventions, it was able to reduce to the value of 64 mg/m3 in 2011 from around 75mg/m3 in
year 2002 (source: Central Environmental Authority).
In considering whether to adopt the approaches in controlling emissions, policymakers in the
country should weigh several factors, including the impact of the vehicle emission to urban air
pollution as well as the comparative costs and benefits of introduction of cleaner fuels and other
available pollution control strategies.
2.2 Phasing out of Unleaded Gasoline
It is known that prior to the elimination of lead in gasoline, eighty to ninety percent of lead in
air is from automobile emissions. Lead is a cumulative, protoplasmic poison that affects health
in numerous ways. The best known hazard is its effect on the neurodevelopment of children.
Following the widely publicized and pioneering research of Needleman this is known to take
place even at low levels of exposure. During the period of leaded gasoline used in Sri Lanka, it
was found in a study that blood Lead levels are high in Colombo Traffic Policemen (see Figure
7).
Figure 7: Blood Lead Level in Colombo Traffic Police Officers in 1998
In June 2002, Sri Lanka shifted completely to unleaded gasoline and the entire SAARC region
is now “lead free” from gasoline additives. As shown in Figure 8, the air quality measurements
in Colombo carried out by National Building Research Organisation has demonstrated a drastic
22
drop in road-side atmospheric lead. Significant change occurred in blood lead levels of children
as a result of this lowered atmospheric lead, indicating the enormous benefits of the use of
cleaner fuels.
Figure: 8. Reduction of Colombo Roadside Lead Levels after 2002 June
Source: National Building Research Organisation
2.3 Banning of Two Stroke 3 Wheelers
Recognizing the growing problem of urban air pollution associated with the use of three
wheelers with two stroke engine technology, the Cabinet of Ministers at its meeting held on
22.01.2007 has approved the following recommendations made by the then Minister of
Environment in his Cabinet Memorandum number 001/2007 dated 04.01.2007 under the title
"Improving the Urban Air Quality by regulating the use of Two Stroke Three Wheelers".
(i) To direct the Controller of Imports and Exports
a) to prohibit import of three wheelers powered by two- Stroke petrol engines with
effect from lst January 2008 and
b) suspension of import of the full engine by lst January 2011
c) engine block and cylinder head by lst January 2013 in order to avoid local
assembly of two stoke engines
(ii) To grant a grace period of six (06) months for registration of three wheelers powered
by two-stroke engines imported prior to 1st January 2008; and
(iii) To direct the Commissioner of Motor Traffic to suspend registration of three wheelers
powered by two-stroke petrol engines with effect from 1st July 2008.
This intervention too contributed significantly to the improvement of urban air quality and
reduction of the impacts of air pollution in the transport sector
23
CHAPTER 3
PRESENT STATUS OF FUEL QUALITY AND
AMBIENT AIR QUALITY
3.1 World Scenario
Major Asian cities are among the most polluted in the world; 13 of the 15 most polluted cities in
the world are from Asia. Main reason for the urban air pollution is the continued growth in
vehicle population to cater for the increasing demand for mobility. There are some significant
improvements in fuel quality in the last decade in the region. One of the major achievements is
lead phase-out from the gasoline. However, fuel quality monitoring legislations are lacking in
many countries in the region including Sri Lanka. Due to the socio-economic situations, several
countries including Sri Lanka have introduced different subsidies depend on the fuel types,
which in turn has influenced the characteristic of the vehicle fleet (i.e. number and type of
vehicles). As these subsidies usually introduced without considering the fuel qualities and
associated impacts, there are many instances where the expected benefits have been at least
partially offset by excess pollution. Therefore, the fuel quality plays a vital role in determining
the real impact of the transport sector to the socio-economic development of a country. In this
respect, it is not easy to compare the situation in different countries as in general the fuel quality
is not harmonized among the countries.
The biggest air quality problem in developing countries is air pollution in urban areas. The
World Health Organization (WHO) estimates that almost 800,000 people die prematurely each
year from urban air pollution. Most of these premature deaths occur in developing countries. As
vehicle traffic grows, the health and economic toll of poor air quality continues to mount on the
most vulnerable of residents: women, children, and the elderly who either live, play, walk and
work on or close to congested urban highways. Vehicle emissions are one of a number of
contributing factors to poor urban air quality. In terms of the health impacts, four pollutants are
of particular concern – particulate matter (PM), ozone (O3), carbon monoxide (CO), and sulphur
oxides (SOX). Like lead, emissions of sulfur compounds cause serious human health and
environmental concerns. More importantly, sulfur inhibits the use of advanced technology to
control total pollutant emissions, including NOx, HC, CO, and PM. Reducing sulfur levels in
fuels will decrease the vehicle emissions of smog precursors and other pollutants that foul our
air and choke our lungs.
Government policies to prevent the use of lead in fuel have been implemented in most countries
and are providing tremendous health benefits. Similarly, low-sulfur fuels can become the rule
creating cleaner air, improving public health, and reducing environmental problems. Often, fuel
sulfur standards are coupled with stricter emissions standards for new vehicles or retrofit
programs to reduce emissions in existing vehicles. Figure 9 illustrates the global status of the
sulfur levels in diesel fuel.
24
Figure 9: Global status of the diesel fuel sulfur levels
Any reduction in sulfur reduces the SO2 and sulfate emitted and, as sulfur levels decline past a
certain point, the benefits increase to include total pollutant emissions. Reduced sulfur fuel
(~150 ppm) makes existing vehicles cleaner. Low sulfur fuel (~50 ppm) allows for advanced
particulate filter and NOx control technologies to further restrict pollutant emissions. And near-
zero sulfur fuel (~10 ppm) enables tremendous advances in fuel efficient vehicle design and
advanced emissions control technology.
Reducing sulfur has its costs. Unlike lead, a fuel additive, sulfur is a naturally occurring
component of crude oil and some types of sulfur compounds can be more easily (and cheaply)
removed than others. Upgrading refineries to remove sulfur is expensive and increases
greenhouse gas emissions, despite the development of new catalysts and novel processes which
reduce the energy requirements and costs. Yet, weighed against the emissions reduction
potential of low-sulfur fuels, studies show the benefits far outweigh the costs.
3.1.1 Impact of Fuel Quality on Vehicular Emissions
Motor vehicles continue to be the dominant source of air pollution, despite tremendous
advances in engine technology and pollution control. In industrialized countries, even as cleaner
vehicles are replacing older, dirtier ones and total transportation emissions are beginning to
decline, vehicles are still the most important source of air pollution.
Meanwhile, in the developing world, vehicle numbers are growing exponentially and, without
strict control standards in place, emissions from transportation sources are becoming an
increasingly urgent concern. As shown in Figure 10, vehicle numbers in developing and
developed countries, and thus pollutant emissions, could exceed vehicle numbers in the
industrialized world within the next two or three decades.
25
Figure 10: Increasing Motorization and Vehicle Growth
Motor vehicles are a significant source of CO, HC, and PM, all of which are produced through
inefficient or incomplete combustion. In addition, motor vehicles are one of the most important
sources of NOX, which along with HC, are the essential precursors to ground-level O3, the main
component of photochemical smog. All of these conventional pollutants have important local
human health and environmental impacts, and there is increasing understanding of their global
significance as well. Vehicles are also an important and growing source of carbon dioxide
(CO2), the principle greenhouse gas contributing to global warming. While transportation is less
significant as a direct source of SO2, removal of sulfur from gasoline and diesel fuels will be
critical for the control of other vehicle emissions.
3.1.1.1 Gasoline Vehicles
Most gasoline vehicles currently in use are equipped with catalysts for the control of CO, HC,
and NOX, which are impacted by sulfur levels in the fuel. The sulfur impact increases in
severity as vehicles are designed to meet stricter standards. Current sulfur levels in fuel are the
primary obstacle in bringing advanced emission control technologies to market. These
technologies will dramatically reduce conventional pollutants and also enable more fuel-
efficient engine designs.
Worldwide, 85% of new gasoline vehicles are equipped with a three-way catalyst (TWC),
which simultaneously controls emissions of CO, HC, and NOX. Vehicles with TWCs must
operate with a very exact air-to-fuel ratio, allowing just enough O2 to fully oxidize the carbon
and hydrogen in the fuel. The TWCs then use the NOX in the exhaust to oxidize the CO and HC
to CO2 and H2O, while the NOx is reduced to N2. Sulfur levels in fuel impact TWC functioning
in several ways. These include:
I. Fuel sulfur reduces conversion efficiency for CO, HC and NOX. Sulfur competes with
these gaseous emissions for reaction space on the catalyst. It is stored by the TWC
during normal driving conditions and released as SO2 during periods of fuel rich, high-
temperature operation, such as high acceleration (Maricq et al., Gasoline, 2002).
26
II. Sulfur inhibition in catalysts is not completely reversible. Although conversion
efficiency will always improve with return to reduced sulfur levels, the efficiency of the
catalyst does not always return to its original state after desulfurization.
III. Sulfur content in fuel contributes to catalyst aging. Higher sulfur levels cause more
serious degradation over time and, even with elevated exhaust temperatures, less
complete recovery of catalyst functioning (MECA 1998).
3.1.1.2 Diesel Vehicles
In diesel vehicles, reducing sulfur not only reduces SO2 emissions, it also significantly reduces
particle emissions. In the oxygen-rich exhaust of diesel vehicles several percent of the SO2
formed during combustion is oxidized to SO3, which dissolves in the water vapor present to
form sulfuric acid (H2SO4) vapor. H2SO4 is one of the few substances that are capable of
homogenous nucleation. This appears to be a major mechanism for initiation of ultrafine
particle formation in diesel exhaust, producing newly formed particles of around 1 nm (Shi and
Harrison 1999). Even though sulfate particles account for only a small fraction of particle
volume or mass, they account for a large fraction of particle numbers. And sulfate nano-
particles provide a relatively large surface area onto which HC species condense, resulting in
particle growth and increasing particle toxicity (Shi and Harrison 1999).
Even without the benefit of additional emissions controls, reducing sulfur levels in diesel fuel
reduces both PM emissions and the carcinogenic and toxic effects of the particulate matter
formed (Bünger et al. 2000). A variety of tests have supported this conclusion. In Denmark, a
reduction in fuel sulfur levels from 440 to 0.7 ppm led to a 56% reduction in numbers of
particles emitted from diesel vehicles (Wåhlin et al. 2001). Tests on Japanese diesel trucks have
demonstrated that a reduction in fuel sulfur from 400 to 2 ppm cuts the mass of PM emissions in
half (WWFC 2000). In heavy-duty diesel trucks in U.S., a decrease in fuel sulfur from 368 to 54
ppm yielded a 14% reduction in PM emissions (MECA 1999).
In addition, SO2 emissions can lead to secondary particle formation—particles that form in the
ambient air. EPA models predict that over 12% of the SO2 emitted in urban areas is converted in
the atmosphere to sulfate PM (Darlington and Kahlbaum 1999). This means that diesel and
gasoline on-road vehicles in the U.S. may be responsible for up to eight times the PM emissions
that are accounted for in inventories for direct diesel emissions (EPA 2001). Urban areas would
benefit most from reductions in SO2 emissions, as polluted urban air has higher concentrations
of the constituents that catalyze the SO2-to-sulfate reaction. Even with existing vehicle stocks,
reductions of fuel sulfur levels would have a significant impact on primary and secondary PM
concentrations in urban areas.
28
3.2 Status of Air Pollution in Sri Lanka
Annual averages of ambient PM10 level in Colombo over the years have remained relatively
uniform within the range of 60 to 82 µg/m3 with a slight decreasing trend from 1998 to 2011.
The peak was recorded in 2001(Figure 11). It was observed that a sharp decrease in 2009, but
again started to increase. These values, however, consistently exceeded WHO latest guideline
value of 20 µg/m3 for PM10. Thus Colombo city is very unhealthy in terms of its particulate
pollution. However, there is a slight decreasing trend of PM10 from 1998 to 2006.
Figure11: Annual averages of PM-10 at Colombo Fort ambient air quality monitoring
Station (1998-2011) Source: Central Environmental Authority
Ambient air quality levels of NO2, SO2 and PM10 were monitored in Kandy and Nugegoda city
areas in July 2008. The maximum value of 24 hourly average was recorded as 96 µg/m3 at
Nugegoda while 75 µg/m3 at Kandy (see Figure 12 and Figure 13).
Figure 12: PM10 24-hour average concentrations at Nugegoda in Sri Lanka Source: Central Environmental Authority (Year2012)
PM
10
Annual averages of PM-10 at Colombo
Fort Monitoring site (1998-2012)
0
25
50
75
100
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Year
µg
/m3
29
Figure 13: PM10 24-hour average concentrations at Kandy in Sri Lanka Source: Central Environmental Authority
Ambient air quality levels of NO2, SO2 and PM10 were monitored in major cities on Padeniya,
Anuradapura road for 24 hour periods at each location in July 2009. The maximum value of 24
hourly averages was recorded as 52 µgm-3 at Galgamuwa town (see Figure 14).
Figure 14: PM10 24-hour average concentrations at selected locations at Padeniya
Anuradapura road in Sri Lanka
Source: Central Environmental Authority
Figure 15: Minimum, Mean and maximum of one-hour averages of SO2 concentrations at
selected locations in Sri Lanka Source: Central Environmental Authority
30
Figure 16: Minimum, Mean and maximum of one-hour averages of CO concentrations at
selected locations in Sri Lanka
Source: Central Environmental Authority
Figure 17: Minimum, Mean and maximum of one-hour averages of NO2 concentrations at
selected locations in Sri Lanka Source: Central Environmental Authority
Figures 15 to 17 show the SO2, CO and NO2 concentrations in ambient air in three different
cities. According to these figures, the high air pollutants concentrations were recorded in
Nugegoda and Kandy with high PM10 concentrations were recorded in Colombo Fort monitoring
station. 24-hour average concentrations of PM10 in Colombo, Nugegoda and Kandy were below
Sri Lankan National Standard 100 μgm-3 while exceeding the WHO guideline value of 50 μgm-
3. It was observed that PM10 concentrations at Nugegoda and Kandy city areas were marginal to
the Sri Lanka National Standard 100 μgm-3. Considering the other parameters, high
concentration were recorded in traffic congested highly populated Kandy and Nugegoda City
areas. Also it is observed that all roadside locations at Padeniya Anuradhapura road were
recorded fairly high concentrations. Among these locations highest concentrations were
recorded at Galgamuwa city area with high traffic populated. Sooriyawewa is the remote
location at Hambanthota district. Very low concentrations of all parameter were recorded at
Sooriyawewa due to little sources with low traffic movements.
31
Dust/Soot is the major source of air pollution in Sri Lanka. In addition to dust, fairly high
concentrations of SO2 and NOX were reported. Major cause of this kind of air pollution is
mobile sources. Figure 18 shows the net energy inputs for different energy demand by the
sectors and it implies that transport sector become the most responsible source of pollution by
burning highest percentage of fossil fuels in the country.
Figure 18: 2010 commercial Energy Demand by Sector (ktoe)
Source: Sustainable Energy Authority
Therefore it is a must to maintain good fuel quality used in transport sector to maintain good air
quality status and thereby assuring healthy air for breath.
3.2.1 Industry sector
Within the last decade, industrial activity in Sri Lanka has grown at a relatively rapid pace. Air
pollution due to industrial sources has increased proportionately. Air pollution problem arisen in
Sri Lanka from industrial activities mainly due to lack of using of air pollution control measures
and also lack of consideration of environmental problems at the planning stage. Most industries,
which were established prior to 1980, use outdated technology without proper pollution control
measures incorporated. Many of these find it difficult to adopt new technology or pollution
control equipment due to limitations in financial resources, knowledge & expertise and lack
physical space for installation of pollution control devices.
Commonly used fuels in the Industrial sector include electricity, furnace oil, diesel, and
firewood. Emission of Carbon dioxide occurs in various industrial processes including cement
and lime manufacture, petroleum refining and handling, activated carbon manufacture, etc.
Therefore the air pollutants from industry can be categorized into two types: emissions
associated with processing of raw materials (e.g. cement dust or lead particulates from lead
smelting furnaces or again acid fumes and mist from acid processing plants) and emissions from
energy generation processes (i.e. in furnaces and boilers). While urban industries are mostly
confined to fossil fuel, agro-industry and certain manufacturing industries in rural areas mostly
use biomass fuel.
As the distribution of the industries is concerned, most of the manufacturing sector industries
are concentrated in Kandy, Gampaha and Colombo districts. Air pollutants from various
industries include suspended particulate matter (SPM), carbon dioxide, oxides of sulphur and
nitrogen.
32
3.2.2 Transport sector - Vehicular emissions
Rapidly increasing vehicle population and fuel consumption, particularly diesel, high proportion
of old vehicle usage in transportation and poor vehicle maintenance, absence of clean fuel and
high rate of urbanization are contributing factors to high pollution levels in Sri Lanka which is
significantly higher than recommended health standards. The energy requirement of the Sri
Lankan Transport Sector is entirely met through petroleum fuels.
Figure: 19. Increasing Cumulative Vehicle Registrations in Sri Lanka
Source: Department of Motor Traffic
Figure 20: Different types of fuels used in the road transport sector in Sri Lanka
Source: Sri Lanka Energy Balance 2010 - SLSEA
33
Automobile exhaust is a major source of air pollution in Sri Lanka. Existing evidence has
shown that the urban environment of Colombo is heavily contaminated with vehicular
emissions. Various studies undertaken by regulatory agencies and researchers clearly indicate
that inefficient combustion of petroleum oil in motor vehicles is the primary cause of growing
air pollution in Colombo, the largest metropolitan area with nearly 50% of the vehicle
population is on the move and 30% of the nation’s human population dwells. The observed
lead, total suspended particulates (TSP), SO2, and O3 levels are significantly higher than the
levels recommended by the WHO and the CEA of Sri Lanka. It has been found that among the
major sectors contributing emissions of air pollutants to the atmosphere from petroleum–
derived combustion sources (transport, industry, power and domestic) approximately 75% of
SPM, NOX, HC, CO originates from the transport sector.
3.2.3 Emissions of Power Plants
Emissions from thermal power generation has significant contributor of air pollution in Sri-
Lanka as furnace oil and diesel used for power generation has more than 10,000 ppm of sulfur.
Over 95% of the country’s electricity requirements in 1995 were obtained from hydroelectric
schemes. The scenario has rapidly changed during the last few years due to increasing demand
and prevailing droughts, the thermal power plants have taken over the generation of around 40-
50 % of the national requirement. Current hydroelectric power production has reached
saturation point at approximately 4000 GWh annually. Power requirements are expected to
double over the next decade. To meet this increased energy demand the government’s preferred
option is the installation of more fossil fuel power plants. The total installed capacity of thermal
power plants is about 1400 MW in the year 2010. The first coal fired power plant in
Norochcoloi , Puttalam came into operation in 2011. This adds 300 MW at its first phase of
operation. Fuels usage in power generation (Furnace oil, Diesel & Naphtha) in Sri Lanka is
shown in Figure 21.
Figure 21: Different types of fuels used in power generation sector in Sri Lanka
Source: Sri Lanka Energy Balance 2010 - SLSEA
34
0
150
300
450
600
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003
Year
Fu
el
Usag
e f
or
Ele
ctr
icit
y(X
1000)M
T
0
2
4
6
8
10
12
14
16
Em
issio
n o
f S
O2 &
NO
2 (
X10
6)g
SO2 NO2 Auto Diesel Furnace Oil Naphtha
Figure 22: Fuel consumption and emission of NO2 and SO2 –Sri Lanka power sector
Sources: Central Bank Reports 1991-2003 and Statistical Digest of CEYPETCO and CEB 2002,
2003
Thermal power generation has increased in Sri-Lanka to fulfill increasing demand because
hydroelectric power was constrained by unfavorable weather conditions. Figure 22 above shows
that increasing amounts of SO2 and NO2 with respect to fuel consumption. High concentration
of sulfur (3.5% maximum) in furnace oil is responsible for high sulfur dioxide levels in thermal
power generating areas in Sri-Lanka.
Among the major sectors contributing emissions of air pollutants to the atmosphere from
petroleum–derived combustion sources, approximately 75 -80 % of SO2 originate from mainly
thermal power plants and the petroleum refinery. The western province in Sri-Lanka (The area
including the districts of Colombo Kaluthara and Gampaha) commonly known as Colombo
Metropolitan Region (CMR) was identified as most vulnerable area of air pollution. Kandy
town area, Galle, Kurunegala, and Puttalamwhere identified as other air pollution hot spots in
Sri-Lanka.
35
Table 4: Input data- Source Characteristics
Source: NBRO prepared power sector emission inventory and EIA report of Thermal Power
Plants
3.3 Petroleum Products Supply And Demand in Sri Lanka
Following petroleum products are used as energy sources in different sectors in Sri Lanka. Total
requirement is nearly 4 million tons.
LPG -Domestic / Industry / Transport
SBP -Industry
Petrol – 90 RON - Transport
Petrol – 90 RON - Transport
Aviation Gasoline - Transport
Naphtha - Power
Jet A1 - Transport
Kerosene - Domestic / Industry
Super diesel (0.05% S) -Transport
Auto diesel (0.3% S) -Transport / Power
HS diesel (0.5% S) - Power
F.O.800’ - Industry
F.O.1500’ -Industry/Power
Low Sulphur F.O.1500’ -Power
F.O.3500’ -Power
These products are supplied partly by processing imported Crude oil at the oil Refinery at
Sapugaskanda and balance by importing directly as refined products. In addition, Lanka Indian
Oil Company (LIOC) also distributes Gasoline and Diesel through their outlets in the Country.
The following graphs illustrates the price difference and fluctuation between high Sulphur
(0.3%) and low Sulphur (0.05%) diesel at the Singapore oil market in year 2012.
36
Figure 23: Price difference between super diesel and normal auto diesel 2012.
Source: Singapore Platt’s prices
Figure 24: Price difference between LSFO and HSFO 2012.
Source: Singapore Platt’s prices
Imported petroleum represents approximately 85 % of Sri Lanka’s commercial energy demand
and the balance comes from hydropower. The total petroleum demand increased by 27.5 %
from year 2000 to 2010 with an average annual growth rate of 2.75 %.
Table 5: Present country’s fuel consumption
Fuel Type Average Daily consumption (MT)
Petrol(90 OCT) 1900
Petrol(95 OCT) 100
Diesel(0.25% Sulfur) 4450(Without Power Plants)
Diesel(0.05% Sulfur) 100
Jet A-1 800
37
Kerosene 1290
LSFO 1000(Kerawalapitiya power plant only)
HSFO 2150(Other power plants and Industries.)
Naphtha 300
As this consumption is growing yearly, environment impact is also increasing. The predicted
consumption is given below.
Figure 25:- Sri Lanka Oil Demand Forecast.
Source: CPC
When CEB utilizes their thermal diesel power plants, diesel consumption is increased
seasonally. However, energy sector has considered moving forward primarily with Coal and
possibly with LNG too in the future. These trends also should take in to consideration when
forecasting oil demand.
Figure 26:- Fuel requirement to meet the increasing electricity demand.
Source: CEB
38
However, with the increase of vehicle population and industrial fuel demand, the Sri Lankan
market for oil practically impossible to satisfy with a single refinery with the present capacity. If
this trend is not reversed, Sri Lanka will become increasingly dependent on imports, and, in the
long range, the viability of the refinery may become questionable.
3.3.1 The Quality of Transport Fuels
The fuel quality parameters that should be considered in controlling vehicle emissions and air
quality was discussed briefly in the first chapter of this report. The main parameters include:
- for gasoline: lead, benzene, total aromatics, front-end-volatility (RVP), sulphur.
- for diesel fuels: sulphur content, T95, Cetane Number/Index, density, poly-aromatics.
The refinery crude slate, the refinery configuration, the operation severity of the key refinery
processes, and the relative demands of the various products are all essential features that
influence product quality.
3.3.2 Current Gasoline and Diesel Fuel Specifications and Quality
The existing fuel specifications were introduced on the 1st
of January 2003, as required by the
extraordinary issue of the 23rd of June 2000 of The Gazette of the Democratic Socialist Republic
of Sri Lanka (No. 1,137/35).
Tables 6 and 7 below list the current Sri Lankan specifications for gasoline and diesel fuels,
respectively:
Table 6: Specification for Petrol
Specifications
Property/Test 90 Octane 95 Octane
Appearance Clear & free from water and
impurities
Clear & free from water and
impurities
Density @15 0 C kg/m 3 725- 785 725- 785
Reid Vapour Pressure @37.8
0 C (100 0 F) 35-70 kpa** (5.0 - 10psi) 35-70 kpa** (5.0 - 10psi)
Marketing Colour Pink Pink
Octane Number (RON) Min 90 Min 95
(RON+MON)/2 Min 89 Min 89
Distilliation
IBP o C To be reported To be reported
10% Vol. Evoporated 0 C 45-70 45-70
50% Vol. Evoporated 0 C 80-125 80-125
70% Vol. Evoporated 0 C Max 188 Max 188
90% Vol. Evoporated 0 C Max 215 Max 215
39
Res % Mx 2.0 Mx 2.0
Doctor Test Sweet or less than 15ppm RSH Sweet or less than 15ppm RSH
Total Sulphur content %wt Max 0.10 Max 0.10
Lead content Pb mg/l Max 13 ppm Max 13 ppm
Existent gum mg/100ml Max 5 Max 5
Oxygenate content Vol % Max 15 Max 15
Ind period @ 100 0 C Min 480 Minutes Min 480 Minutes
Cu Strip corrosion 3 hrs @ 50
0 C Max 188 Max 188
Benzene % vol Max 8.0 Max 8.0
Table 7: Specification for Auto Diesel
Specifications
Property/Test Auto Diesel Super Diesel
Appearance Clear & free from water
and impurities
Clear & free from water and
impurities
Density @15 0 C kg/m 3 820 - 860 820 - Max 870
Colour ASTM Report Report
Marketing Colour Amber Amber
Distilliation
IBP o C Report Report (196 - 204)
10% Evoporated 0 C Report Report (245 - 245)
50% Evoporated 0 C Report Report (288 - 294)
90% Evoporated 0 C Max 370 Max 340
Recovery @ 315 0 C Min 50 Min 50
Recovery @ 350 0 C Min 80 Min 80
Cetane Index or Min 46 ** Min 50 **
Cetane Number Min 49 Min 53
Cloud Point 0 C ( 0 F) Max 15.5 (Max 60) Max 15.5 (Max 60)
CFPP 0 C ( 0 F) Max 10 (Max 50) Max 10 (Max 15)
Sulphur Content % (w/w) Max 0.3 Max 0.05
Total Aromatic content
25
Cu Strip corrosion 3 hrs @ 50 0 C
Max 188
Poly Aromatic content ( di+tri+)%m/m
5
Flash Point (PMCC) 0 C ( 0 F) Min 60 (Min 140) Min 60 (Min 140)
40
Viscocity Kin @37.8 0 C cst 1.5 -5.0 1.5 -5.0
Water Content % (v/v) Max 0.05 Max 0.005
Cu Strip corrosion 3 hrs @ 50 0 C Max 1 Max 1
Ash % w/w Max 0.02 Max 0.02
Carbon residue Ramsbottom
on 10% residue % (w/w) Max 0.3 Max 0.3
Sediment by extraction % (w/w) Max 0.01 Max 0.01
Total Acid No. KOH mg /g Max 0.2 Max 0.08
Strong Acid No. KOH mg /g Nil Nil
Caloric value gross K Cal/KG Min 10500 Min 10500
Poly Aromatic content ( di+tri+)%m/m
5
**N/A if any cetane improver additive is present
5
3.3.3 Crude Oil Refining Process at the existing Refinery at Sapugaskanda
Existing oil Refinery at Sapugaskanda was originally designed in 1969 to process 38,000 Barrel
/ day of Iranian Light Crude oil from Iran to meet the national demand of Petroleum products.
However, several light crude oils from other countries like Saudi Arabia, Oman, Abu Dhabi,
Kuwait, Iraq, and Egypt could also be processed at the Refinery meeting product specifications
prevailed at that time. With the increase in demand, refinery capacity was increased to 50,000
Barrel/ day (6900 MT/day) in 1979. In 1992, main unit of the Refinery was revamped to add
more flexibility to process different types of crude oils. In 1999, some of the downstream units
were revamped for the purpose of phasing out of Lead in Gasoline and implemented in 2001
onwards. In 2003, Sulphur specification in Auto diesel was reduced from 1% wt to 0.3% wt by
converting / modifying Diesel Hydrotreater units. With the introduction of new diesel
specification, types of Crude oils that could be processed at the Refinery were limited to Iranian
Light and Arabian Light.
Malaysian Crude oil, Miri Light which was processed as a blend with above crude oils was
stopped in 2007 due to economic reasons with escalation of its price compared to crude oils
from Middle East. From 2012 May, due to USA sanctions on Iran, Iranian light crude oil was
not available and Oman crude, Arabian Light, Murban are left for processing at the Refinery at
a lower capacity (40,000 - 45,000 Barrels / day).
3.3.4 Quality of Gasoline and Diesel Marketed in Sri Lanka
Gasoline produced at the Refinery meets the Euro 4 standards except for RON, benzene and
Aromatics. However, imported gasoline does not conform to Sulphur specification of Euro 4.
Diesel specification is below the level of Euro 2 standards with respect to Sulphur. Also, there
are some difficulties in meeting the existing specifications of some of the products when
processing above crude oils.
41
3.3.5 Expansion / Modification of the Existing Refinery
Several proposals for expansion/modification of the refinery have been forwarded by various
international organizations from year 2000 incorporating improvement of fuel quality. None of
them has materialized so far. In 2010, a feasibility study was carried out on the expansion /
modification of the refinery. Although implementation is surfaced in time to time at various
forums, no decision has been taken yet for implemention. Recently, Ministry of Petroleum has
requested CPC to look for modification of the existing Refinery without going for the said
expansion project within a cost limit of US$ 500 million. The proposed refinery expansion will include improving of existing refine process and installation of the sulfur recovery unit. Through the sulfur recovery unit, CPC will be able to provide sulfur 150 metric tons per
day to produce Sulfuric Acid and other related products. This Sulfuric Acid can be used to
convert Rock Phosphate into Super Phosphate Fertilizer which saves foreign exchange that
spends for fertilizer importation by the country and also create large number of employment
opportunities. Accordingly, it has been decided to carry out a process study on the modification
of the existing Refinery by UOP LLC, USA being the process consultant for the Refinery from
its inception.
3.3.6 Existing Barriers in improving the fuel quality
In spite of various benefits, there are several barriers for the fuel quality improvements,
which could be summarized as follows:
1. With the existing Refinery configuration, high quality Gasoline or Diesel cannot be
produced at the Refinery unless Refinery is modified / expanded aiming for products of
high quality Diesel / Gasoline.
2. If high quality standards are imposed without modification / expansion of Refinery,
Refinery has to be shutdown and all the products are to be imported. Shutdown of
Refinery, which is the only process plant in Sri Lanka, would be a national issue.
3. Import of all the products to the country cannot be done with the existing facilities like
piers, pipe lines etc.,
4. Import of refined products is not economical compared to production in a Refinery with
imported crude oil.
5. Problems associated with pricing of the products at the level of actual cost.
3.3.7 Options for fuel quality improvement
There are several options for the implementation of fuel quality improvements in Sri
Lanka
1. Introduction of improved product quality to be done step by step without straightaway
going for highest quality.
2. Refinery products and imported higher quality products can be blended to arrive at an
interim standard. However, available facilities may have to be improved /modified for
this purpose.
3. Implementation of the Refinery Expansion / Modification project as early as possible
and imposing the improved standard at the time of completion of the project. According
to the feasibility report carried out by KBC, Singapore, one of the reputed process
designers in the world. The economic indicators highlighted in the report are given
below.
42
Estimated Capital Cost - US$ 2,215 Million (At mid 2010 prices)
Net Present Value (NPV) - US$ 264.6 Million
Internal Rate of Return(IRR) -15.17 %
Pay Back Period -8.4 Years
4. Presently, two-third of Gasoline and Diesel requirement is imported to the country
whereas one third is produced at the Refinery. As such, consideration can be given to the
option of importing the two-third of the requirement with higher quality to meet the
consumption of specified customers and balance produced at the Refinery for the rest of
the customers. The selection of customers may be based on sectors or areas. Additional
investment will be required to develop existing facilities.
Full switching over to higher standard fuel quality can be implemented once the Refinery
expansion / modification are completed.
43
3.4 Need for Establishment of Independent Fuel Quality Testing Laboratory
Outdoor air pollution can be originated from point sources such as industrial emissions and
power plants and mobile sources such as agricultural and constructions vehicles, and road
transport vehicles. The severity of air pollution level and the contribution of the transport sector
to overall emissions will determine the extent of motor vehicle emissions control requirements.
For the management of ambient air quality in the country, it is required to control both mobile
and stationary source emission through regulatory standards. Even though the regulatory
standards are available for both mobile and stationary sources in Sri Lanka under National
Environmental Act, regulation itself are not sufficient to control the total emission loads emitted
from above both sources.
Control of fuel qualities is the prime cause of managing total emission loads which contributes
the ambient air quality deterioration in the country. In managing fuel qualities, it is required to
develop fuel quality strategy which may contain not only fuel quality standards but also
monitoring mechanisms and enforcement policies. The most important implementation building
block for any fuel quality strategy is monitoring and enforcement. Fuel specifications, how
strict they are, do not guarantee good fuel quality for end users.
The foundation for clean fuels at the pump is based on National Standards. The ability to ensure
the quality of fuel at the point of distribution – filling station or other distribution network is an
important element. The later can only be achieved through implementation and commitment to
an effective fuel quality monitoring program. Without the effective monitoring of cleaner fuels
at the end of any distribution network, there is no basis for a national standard for cleaner fuel
specifications. Failure to establish a fuel quality monitoring system and enforcement policy
could render the cleaner fuel specifications irrelevant as it is the implementation policy which
provides the incentive to comply with the regulations, especially if there are appropriate
penalties acting as a deterrent
Monitoring fuel can be done in following two distinct pathways.
- Monitoring fuel quality to ensure that the fuel sold at the end of distribution network is
in compliance with specifications set out in national fuel quality regulation.
- Policing and enforcing fuel quality requirement to ensure compliance and sanctioning
those actors not in compliance.
These monitoring mechanisms may include, product sampling and compliance testing, industry
reporting, facility audits, certification, pump labelling, fuel product and batch registration
surveys, Q/A audits in production process.
Many of these mechanisms are seen as necessary for effective FQMS. However, stakeholder
discussion shall determine the most feasible mechanism based on the resources available with
regulatory authorities, expertise and trained manpower available within regulatory authorities
and Sri Lankan socio-economic and cultural and geographical or legislative situation and
financial stability for operation and maintenance of such FQM mechanisms.
44
3.4.1 Objectives of the Fuel Quality Monitoring System
The prime objective of the fuel quality monitoring system is to ensure that the quality of fuels
used by end users is in accordance with prescribed fuel quality specifications, as well as policies
related to importation, distribution and disposal. These requirements (specifications and
policies) may have been set by giving due consideration on environmental and technical
resources (i.e. that the fuel used does not harm vehicle, burners or any combustion equipment,
environment and the ambient air quality of the country or emission regulations of country.) The
said objective is directly linked to the secondary goal of the monitoring system, which is to
protect consumers and guarantee that quality of fuel specialized for different users matches with
specifications. Fuel can be off spec through intentional or non-intentional actions, the latter
usually refer to non compliance or a result of poor product management, either in production or
distribution process. The first refers to the fuel adulteration which may cause harm either
vehicle engine or any other combustion equipment and to the environment. However, fuel can
be adulterated yet pass some of the sampling tests and not to be classified as off-spec due to test
methods that are not capable to trace such variations within the specified test results range.
Therefore it is necessary to invest on sophisticated analytical instruments to trace the fuel
adulteration in effective fuel quality monitoring system.
Fuel quality monitoring can also have other financial implications such as fuel quality
specifications set from a technical as well as an environmental/health perspective, fuel that is
off- spec can mean increased vehicle emissions. This in turn means increased costs to
government through health care facilities. For example a World Bank study conducted in 1995
concluded that the annual health costs due to ambient air pollution level exceeding WHO
guidelines ranged between US$517 - US$2012 million in all over the world. The study however
does not isolates the impacts of vehicle emission on urban air pollution from other sources
including indoor air pollution. Table 8, below shows the environmental cost reductions
associated with improved fuels in Finland and Sweden.
Table 8: Cost Reduction (in euro millions) calculated based on environmental/health
damage due to bad air quality
1994 1995 1996 Sum
Finland (total) 16 17 17 50
Gasoline 10 10 10 30
Diesel 6 7 7 20
Sweden (total) 34 46 52 132
Gasoline 2 13 13 28
Diesel 32 33 39 104
Even in Sri Lanka, several researches have been conducted to estimate the cost of economic
damage due to air pollution. In these studies, analysis have been done based on final economic
lost due to human age reduction, personal inefficiency, deceases related to air pollution and
cost for treatments, damages to the properties, and reduction of crop harvest by impacts of air
pollution on crops. In addition to above, economic damages due to effect of fuel adulteration on
end users also considered.
45
3.4.2 Key Elements of Good Fuel Quality Monitoring and Enforcement Program
Key factors necessary for a successful fuel quality monitoring systems include sampling
requirement, process audit requirement, Importer reporting requirement, batch analysis reports,
man power needs, financial needs, and policies related to penalties and sanctions. However in
design a fuel quality monitoring system suitable for Sri Lanka, following key points must also
be taken in to consideration.
- Identification of the responsible Authority.
- Industry Corporation
- Capacity - Staff
- Capacity – Equipment.
- Sampling and Analysis.
- Policies for sanctions and penalties and authorities for implementation of policies.
- Fuel quality reporting to the policy implementation Authority.
After finalization of firm solutions for above points, following basic schematic steps should be
adhered / followed to establish fuel quality monitoring system
3.4.3 Responsible Authority
As an independent body as well as a regulatory body, the Central Environmental Authority must
monitor and enforce the provisions of fuel quality strategy in Sri Lanka. Further the monitoring
Establish which Fuel Parameters to be controlled
Review Current Fuel Quality Standards
Establish inventory for fossil fuel imports, refinery outputs, outputs
from distributor networks, statistics of waste oil infiltrations,
Establish fuel quality testing facility with instruments and trained staff
sufficient to sample and analysis the above parameters and number of
samples to be collected annually or on volume basis of fossil fuel imports
Train special chemists and technicians for fuel sampling, container sealing
analysis and reporting.
Design monitoring strategy and monitoring framework with the other stake
holder organizations.
Sampling, analysis and reporting to
policy implementing authorities
Assessment of laboratory results must be under taken by
skilled trained laboratory manager with knowledge of
precision and accuracy of the test methods and test results
and quality control and quality assurance practices
46
organizations must be the organization setting up standards. But the policy implementation
activities should be done by the Ministry of Environment. The following tables provide
emission related standards for different fuels.
Emission Related Standards for Gasoline in the National Environmental Act with the effect
from 1st of July, 2013.
Item
No
Parameter Unit Low
Octane
gasoline
High
octane
Gasoline
Test Method
1 Research Octane Number
(minimum)
90 95 ASTM D2699
2. Benzene (Maximum) %v/v 4 2.5 ASTMD3606
3. Lead content (maximum) g/l 0.013 0.013 ASTMD3341
&ASTMD5055
4. Sulfur (S) Maximum) ppm 1000 500 ASTMD1266
5. Reid Vapour Pressure (Maximum) kPa 60 70 ASTMD5191
6. Motor octane number(Minimum) 85 ASTMD2700
7. Evaporation at 150C % 70 75
8 Total Aromatics %v/v 4.5 4.5 UOP 273
9. Oxygen Content(maximum) % m/m 2.7 2.7 By calculation
Emission Related Standards for Diesel in the National Environmental Act.
Emission Related Standards for Auto Diesel
Item
No
Parameter Unit Standards
with the effect
from January
1st, 2007
Specifications
of Auto diesel
presently
distributing in
Sri Lanka*
Test Method
1 Cetane Number
(minimum)
49 49 IP 21 or ASTMD613
2. Density at 15C
(Maximum)
g/l 860 860 ASTMD1298
3. Distillation (T- 95)
Maximum)
370 No limit ASTMD86
4. Sulphur content
(max)
ppm 500 2500
ASTMD4294
ASTMD1266
5 Cetane Index 46 46 ASTMD976
There is no independent fuel quality testing reports with international measurement traceability
check the compliance of these standards.
47
3.4.3.1 Emission Related Standards for Super Diesel
Item
No
Parameter Unit Standards
with the
effect from
January 1st,
2004
Specifications
of super diesel
presently
distributing in
Sri Lanka**
Test Method
1 Cetane Number
(minimum)
49 49 IP 21 or
ASTMD613
2. Density at 15C
(Maximum)
g/l 860 820-860 ASTMD1298
3. Distillation (T- 95)
Maximum)
370 No limit ASTMD86
4. Sulphur content (max) ppm 500 500
(ASTMD4294)
ASTMD1266
5 Cetane Index 46 46 ASTMD976
**There is no any independent fuel quality testing reports with international measurement
traceability to check the compliance of these standards
Even though these standards have been set under National environmental act and commercial
specifications have been set by Ceylon Petroleum Cooperation, there is no independent
laboratory for the testing of meeting these standards set by Central Environmental Authority or
by the Ceylon Petroleum Cooperation.
3.4.3.2 Customer Complaints.
During last few years, several complaints were received from end users related to distribution of
low quality petrol and diesel in the distribution net work of Ceylon Petroleum Cooperation. The
problem last with the end of consignment but there were no procedures for recalling such low
grade fuels and there were no transparency in dealing with the problems according to the
general public.
Even though the regulations have been set by Central Environmental Authority, there was no
possible methodology to convince the responsible authorities or general public due to lack of
facilities for fuel quality testing in Sri Lanka.
3.4.3.3 Industry Cooperation
Industry cooperation is essential for any fuel quality monitoring system to function properly.
However the level of cooperation very much depends on the type of FQMS and fuel quality
strategy in the country.
In smaller countries like Hong Kong and Singapore, industry has been actively involved in the
system. In Hong Kong, international oil companies import all fuel to the area and are required to
assume that the fuel meet the legally binding specifications. The self monitoring systems is then
complemented by a small percentage of random sampling of retail outlets or barges by
responsible authority to ensure the compliance. But these test reports provided by the industry
should be validated by the responsible monitoring authority before being forwarded to policy
implementing organization. Same system is undertaken in Singapore and no compliance
48
problems have been recorded. Similar system can be built up in Sri Lanka to reduce to
operation cost of FQMS.
In addition to above, building up of an industry competition on their image also acts as a
driving force for involvement of industry in promoting appropriate fuel quality. If a fuel
distributor can display the fuel quality of each and every batch they have delivered, it will win
over the customer trust that they are buying right fuel for their use and enhance image as
company who cares about the customer and product quality.
3.4.3.4 Capacity: Staff and Equipment
A good fuel quality monitoring systems should have a good laboratory facility with adequate
equipment, trained staff, facilities for sampling and transport. Further to above, adequate
financial resources should be available for staff remunerations, equipment maintenance and to
carry out a sufficient level sampling and testing. Trained staff is a decisive factor of a good fuel
quality monitoring laboratory.
Following staff structure is proposed for the proposed Fuel quality monitoring laboratory in
CEA:
Technical Manager
Chemist (four)
Technical officers (four)
Laboratory assistants (two)
Lab Attendant (one)
In addition to above, the sufficient staff should be provided to implement enforcement activities
in the Ministry of Environment.
The monitoring and sampling equipment needed for establishing a comprehensive FQMS
depends on regulated fuel quality specifications and properties that are to be monitored. For
implementation of effective fuel quality monitoring systems in Sri Lanka, following list of
instruments are needed. These instruments are listed based on the analytical parameters listed
in the regulation under National Environmental Act.
Automatic Distillator
Vapour pressure monitor
High Performance Liquid Chromatography with refraction index detector, degasser,
thermo static column with back flush, auto sampler controlled by separate PC and
printer
Gas chromatograph with FID detector with AC mechanizer, auto sampler, auto injection
cryostat
Specific gravity U tube Meter
gum apparatus
Fourier Transform Infra red spectrophotometer
UV Vis spectrophotometer
Automatic 6 position gasoline oxidation apparatus with pressure drop recorder
Energy dispersive X ray Florescence Spectrophotometer with auto sampler
Sediment extraction apparatus
Karl fisher titrator
drying oven
49
Atomic absorption spectrophotometer with auto sampler
Octane number determination machine
Analytical balance
Reagent water generator
Fume hood and glass ware including other accessories
Laboratory furniture
These instrument capacity and staff capacity can handle 2500 fuel samples on annual basis. This
number may include samples handed over by clients and the samples collected for monitoring
purposes by regulatory authority. For the installation of above instruments and for the working
space, sample stores for reference, this laboratory needs at least 1200 ft2 of space and it is
manageable within the existing space of the laboratory of Central Environmental Authority.
3.4.3.5 Sampling and Analysis
Fuel quality monitoring and enforcement framework relies on sampling and analysis. A
properly designed sampling program is vital for the well-functioning FQMS, thus a successful
fuel quality strategy. Number of samples that are to be taken varies according to variations in
petroleum products distribution, size of distribution networks that ensuring the representative
ratio of the samples, statistics of total sales and total imports volumes and number of importers,
diversification of end users such as vehicle owners, power generators for national electricity
grid, and energy generations in various industrial activities, type of fuel inputs to the country
distribution networks and total volume released from each distribution network. It is
recommended to take samples from different locations including filing stations pump outlets,
refineries, transport pipe lines, fuel transporting bowzers, vessels, barges, storage terminals
belongs to importers and stores facilities belongs to local distributors.
Random testing of tank carriers, whether or not these are operated by independent owners or by
oil companies, refineries themselves, is extremely important to verify the compliance.
According to the studies carried out in all over the world on fuel contamination and adulteration
have all reached the same conclusion that in the most cases the contamination occurs after fuel
has left the refinery gate either during transport or at the pump.
The contamination can either be adulteration or accidental due to mixing other low quality fuels
or previously fuels or fuels previously transported or stored. Fuel analysis should be done very
carefully and quality control and quality assurance is the most essential factor in fuel quality
reporting. This is the reason for the increased testing charges in fuel quality analysis.
Table 9 shows the approximate testing charges for certain fuel quality parameters estimated
based on cost related to taking samples, laboratory analysis, monitoring cost, personal
expenditure, office automation and telecommunications charges, stationary, quality control and
quality assurance practices, travelling cost and other miscellaneous costs (5% of total cost).
50
Table 9: Approximate sampling and analysis cost for each parameters
Analytical parameter Cost in SL Rs
1. Aromatic olefin 1000.00
2. Aromatic hydrocarbon 1600.00
3.Cetain ratio (Diesel) 6200.00
4. Distillation (Diesel) 4100.00
5.Fuel Density(Diesel) 2000.00
6.lead 6000.00
7. Oxygen content I gasoline 6000.00
8.Sulfur content (diesel) 4200.00
9.Viscosity 3000.00
10. Octane Number (RON) 12000.00
11. Gum (solvent washed) 6000.00
12.Benzen content 6000.00
13Vapour pressure 4000.00
14.Cetane Index 2000.00
Reporting fuel quality and use of fuel quality reports are important elements in a fuel quality
strategy. As indicate throughout this proposal, fuel quality monitoring is the core
implementation toll for any fuel quality strategy in the country. Without monitoring, it is
impossible to know whether the fuel quality specifications are being met. Therefore reporting of
all monitoring results and enforcement date on real time basis to general public and policy
implementing authorities is essential. Also it is essential to carrying out a detailed analysis of
the annual findings to assess non compliance trends and whether certain fuel quality parameters
should be strengthened or whether the fuel quality monitoring system itself and or enforcement
mechanism need re-vamping.
Table 10: Total estimated cost of establishment of fuel quality testing Laboratory without
capital investment for building space
Item Estimated Cost
SLRs millions
Remarks
Furniture 05 Estimated approximate capital
investment is around SLRs.220
million. Instrumentation 200
Staff training 10
Glassware, fume hoods and safety
equipment
05
Office facility PCs, printers and
stationary (Annual)
04
Annual operation and maintenance
cost
04 Certain percentage of this cost
may be earned by commercial
testing
51
CHAPTER 4
IMPACT OF FUEL QUALITY ENHANCEMENT ON ENVIRONMENTAL, HEALTH
AND SOCIO-ECONOMIC SECTORS
4.1 Quality of Fossil Fuels and Impact on the Environment
Sri Lanka at present meets approximately 40 % of its total energy needs from fossil fuels,
namely petroleum products and coal. Automobiles, Petroleum refineries, Thermal power plants,
Coal power plants and the Industrial sector are the uses of these fossil fuels. Future predictions
show that by 2026 oil-based thermal power plants are completely replaced by coal power
generation. This section describes the impact of use of fossil fuels on the environment and
recommendations for preserving a clean atmosphere.
The principal air pollutants resulting from fossil fuel use are carbon monoxide, the oxides of
sulphur SO2 and SO3 (represented by SOx), The oxides of nitrogen, NO and NO2 (NOx),
particulates consisting primarily of very fine soot and ash particles and unburned hydrocarbons.
Pollutants that are formed in the atmosphere from the reactions of above primary pollutants
after emission are the secondary pollutants. Acid rain, smog, the green house effect and the
ground level ozone are the main secondary pollutants. Carbon dioxide is a preferred product of
fossil fuel combustion, release of excess gas however is undesirable.
Carbon monoxide (CO) results from incomplete combustion of any fuel. It is both a highly
poisonous gas and the responsible constituent of photochemical smog. Sulfur oxides are
released during combustion from oxidation of sulfur in sulfur containing fuels such as coal and
petroleum products. Health effects due to presence of sulfur are discussed in detail in other
sections of this report. Sulfur dioxide can react with oxygen in the air to form sulfur trioxide
which forms sulfuric acid when mixed with water and creates acid rain. Acid rain makes water
streams and wetlands acidic, and affects forests and aquatic environments.
Nitrogen oxides have two sources. Fuel NOx is produced when nitrogen atoms that are
chemically combined with the molecules of the fuel are oxidized during the combustion process
to form nitric oxide. In addition, thermal NOx is produced in some combustion processes that
operate at such high temperatures that nitrogen molecule in the air are oxidized to nitric oxide.
When the nitric oxide is emitted to the environment, it readily reacts with oxygen in the air to
form nitrogen dioxide. Nitrogen dioxide is a noxious gas that can cause inflammation of the
lungs and, at high concentrations, even death. In addition, nitrogen oxides will react further with
water and oxygen to form nitric acid. Like sulfuric acid, nitric acid is a very strong acid that
easily corrodes or attacks many materials. Nitric acid is also a component of acid rain.
PM emissions (soot and fly ash) are a main concern because they can contribute to long-term
respiratory problems. Soot is formed during combustion when the supply of oxygen is
insufficient for a complete conversion of carbon to carbon oxides. Fly ash is the inorganic, non-
combustible residue of coal combustion. Areas with high concentrations of air-borne particulate
matter are more likely to experience fogs, because these particles are preferred nucleation sites
for water droplets. Smoke and soot are also very undesirable aesthetically.
Unburned hydrocarbons or volatile organic compounds (VOC) represent another source of air
Pollution associated with the use of fossil fuels (especially gasoline). This can be as a result of
evaporation from fuel tanks, incomplete combustion and leaks or spills.
52
Nitrogen oxides and hydrocarbon vapours emitted from automobiles and other sources undergo
reactions in the presence of sunlight that produce ground level ozone, hydrogen peroxide and
many other chemicals. This causes a light brownish coloration of the atmosphere with reduced
visibility, plant damage, irritation of the eyes, and respiratory distress. This is known as
photochemical smog, which is another secondary pollutant due to fossil fuels. This ground-level
ozone should not be confused with ozone layer in the upper atmosphere, which protects earth's
surface from harmful ultraviolet radiation. The depletion of the upper ozone layer is caused
primarily by chemicals such as chlorofluorocarbons (CFCs), which are used as refrigerants in
air conditioners, refrigerators, etc., which is out of scope of this report.
Carbon dioxide which is a normal constituent of air at an average composition of 315 ppm is
not considered as a primary pollutant. During efficient combustion, all the carbon in the fossil
fuel is converted to carbon dioxide. However, release of high amounts of CO2 to the atmosphere
causes green house effect and is responsible for global warming. Figure 27 shows the CO2
emissions from Sri Lanka over the past 30 years (Extracted from International Energy Agency,
Statistics by country- Sri Lanka, WWW//iea.gov).
Figure 27: The CO2 emissions from Sri Lanka
53
4.1.1 Air pollution control measures
Technological solutions are now available for reducing emissions from most sources. Despite
the fact that ‘zero emission’ is the ideal solution, the high cost of emission reduction to near
zero level limits the implementation of the concept. The following measures are recommended
to implement, or to maintain and upgrade if already implemented, in order to reduce the
emission of pollutants and thereby having a pollution free clean environment in the country.
Industries, diesel and coal power stations are stationary sources of air pollution. Number
of gas cleaning techniques suitable for stationary pollution sources is available.
Cyclones, scrubbers, bag filters, electrostatic precipitators, momentum separators are
commonly used methods for removal of harmful gases, dust and mist from gas streams
before releasing to the atmosphere. However, application of the right technique and
proper unit design are required for successful operation. Establishment of stringent
environmental regulations and proper monitoring through an authorized body is a
necessity.
Automobile emissions are comparatively difficult to control and hence use of clean fuel
(e.g. low sulfur petroleum products and coal) is the best option which can be achieved
through application of pre-combustion cleaning processes or purchase of clean fuel.
Comparison of emissions from petrol and diesel vehicles using EURO 1 to EURO 4
standard fuel is shown in the Table 11.,
Table 11: Comparison of emissions from petrol and diesel vehicles using EURO 1 to
EURO 4 standard fuel
[Extracted from FUEL QUALITY AND VEHICLE EMISSIONS STANDARDS, COST
BENEFIT ANALYSIS MVEC Review of Vehicle Emissions, and Fuel Standards Post
2006 COFFEY GEOSCIENCES PTY LTD, October 2003.]
Use of fuel oxygenators (Octane enhancers) such as CH3OH or C2H5OH reduces
emission of both CO and unburned hydrocarbons.
54
Proper engine tuning to provide high O2/fuel ratio is another option to obtain complete
combustion. However, this increases the engine temperature and makes thermal NOx
emission go up.
Flue gas desulfurization (FGD -passing the flue gas through a slurry of lime) and flue
gas denitrogenation (injection of ammonia to react with NO2) also suitable options for
SOx and NOx removal.
Use of proper catalytic converter in the automobiles to convert any CO in the
combustion products to CO2, to burn any unburned hydrocarbons and to reduce the
emissions of nitrogen oxides by transforming them into the harmless nitrogen (N2) is
another suitable option for automobiles.
The only way to reduce the CO2 emissions from gasoline combustion is to decrease the
fuel use rate by either increasing fuel economy or decreasing the number of km driven
by upgrading the public transportation system and encouraging people to use the system.
CO2 capture and storage, though still in research stage, is another possible means of
alleviating the release of large quantities of CO2 into the atmosphere.
This section will also explain the scenarios of cost saving, reduction of fuel consumption levels,
foreign exchange saving on vehicle maintenance and health benefits if transport sector used
EURO IV fuel instead of existing EURO I fuels. According to the data available, if the country
used cleaner fuels (EURO IV fuel instead of existing EURO I fuels) in 2012 the estimated
foreign exchange savings are 325 million US$. This will further explain through the results of
an economic analysis for enhancing the fuel quality under two scenarios such as, 1) importing
refined fuel directly from the world market without local refinery process and 2) upgrade the
existing refine process to improve the quality of local refinery petroleum products.
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4.2 Potential Health Related Urban Air Quality Issues Caused By Low
Quality Fossil Fuels
Government of Sri Lanka spends more on health sector development compared to other south
Asian countries. It was around 5 percent of total government expenditure during the recent past
years. Due to the significant resource allocation by the Ministry of Health to conduct public
health programs, develop health research, improve health education and installation of modern
medical equipments, the health sector of the country has shown tremendous improvement. Over
the years most of the indicators show that, many communicable diseases have been controlled,
where the trends in mobility and mortality indicate a decrease in hospital admissions and deaths
resulting from infectious and parasitic diseases. As a result of mobility and mortality being
substantially decreased the life expectancy of the general public has increased. But in contrarily,
hospital admissions and deaths due to Non-communicable diseases are on the increase.
Amongst those non-communicable diseases, Ischemic Heart Diseases (Heart Attacks),
Neoplasms (Cancers) and diseases of the respiratory system such as Bronchitis and Asthma
which are on the rise has a positive correlation to air pollution in the country.
Research has revealed that ambient particulate matter (PM10, PM2.5, PM0.1) and Sulfur Dioxide
(SO2) leads to the most significant adverse health effects that are associated with air pollution in
Sri Lanka. The other primary vehicular exhaust pollutants in the country includes; Carbon
Monoxide (CO), Nitrogen Oxides (NOx), and Hydrocarbons (HC).
Diesel exhaust is composed of gases and fine particles. It can irritate airways when inhaled at
relatively high concentrations. At lower concentrations, it causes the release of specific
cytokines, chemokines, immunoglobulins, and oxidants in the upper and lower airway. These
are proteins secreted from various cell types that mediate allergic and inflammatory responses.
They can initiate a cascade of cellular processes culminating in airway inflammation, mucus
secretion, serum leakage into airways, and contraction of bronchial smooth muscle (Pandya, RJ
et al., 2002). Researchers have shown DE can increase the inflammatory response to allergens;
(Diaz-Sanchez, D et al., 1994).
Inhalation of high sulfur diesel emissions and its health impact on humans
Diesel exhaust is associated with a number of health impacts.
a) Shorter term exposure
Inhalation may cause respiratory tract irritation, eye, throat, and lung irritation and
Central Nervous System depression. High levels may cause giddiness, headache,
dizziness, nausea, vomiting, and loss of coordination, narcosis, stupor, coma, and
unconsciousness. It also leads to, exacerbation of an existing lung condition like asthma,
coughs and increased phlegm.
b) Longer term exposure
Prolonged exposure may cause dizziness, weakness, weight loss, anemia, nervousness,
and pain in the limbs, peripheral numbness, paresthesia and possible renal failure.
Degenerative changes of liver and kidneys may occur after prolonged exposure to high
concentrations. Increase risk of lung cancer.
56
Direct contact of high sulfur diesel with the skin may cause drying, cracking, and defatting
dermatitis and might cause extreme irritation with severe erythema and edema with blistering
and open sores. Absorption of large amounts may result in narcosis. Repeated or prolonged
exposure may cause irritation, dermatitis, and a rash of pimples and spots.
Diesel engines powered by high sulfur diesel emit large amounts of particulate matter (soot),
sulfur oxides and the noxious nitrogen oxide gas and hydrocarbons. These air pollutants
contribute to serious public health problems, especially among the children and elderly
population. These pollutants are proven to cause:
Increased hospital and emergency room visits attributed to respiratory diseases
hundreds of thousands of asthma attack episodes,
millions of lost work days, reducing productivity,
thousands of early deaths among Sri Lankans,
loss of billions of rupees pertaining to health expenditure and premature deaths.
According to the American Lung Association, diesel pollution affects lung function and growth
in children and lung health of adults. Emissions from regular diesel fuel engines are estimated to
cause hundreds of premature deaths annually in Sri Lanka. Air quality is a great public health
concern. Citizens and visitors of Sri Lankan cities such as Colombo, Kandy, Gall, Jaffna,
Nuwaraeliya, Badulla, Kurunegala, Gampaha have the greatest exposure to diesel fumes as
those have the highest vehicular concentration and the human population compared to rural
areas and other smaller cities. Therefore the resident population of those cities has the highest
lifetime-risk of developing air pollution attributed non-communicable diseases (NCD).
Table 12:- Leading NCD Related Hospital Deaths by District, 2007
Source: Non-communicable Disease–2007 Hospital Discharge Data Statistics Non-
communicable Disease Unit of the Ministry of Health (2011)
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The data published by the Non-communicable Disease Unit of the Ministry of Health (2011) on
Non-communicable Disease Hospital Discharge Data Statistics (Table 12) confirms that; a) in
terms of Cancer in Colombo, Gall and Jaffna it is the No. 1cause of death and in Kandy and
Badulla it is the 2nd cause of death. b) in terms of Ischemic Heart Disease, Kandy, Nuwaraeliya,
Badulla, Kegalle it is the No. 1cause of death and in Colombo, Gall, Kurunegala it is the 2nd
cause of death. In Sri lanka as a whole Ischemic Heart Disease is the No. 1cause of death,
whereas Cancer, Cerebrovascular Disease, Cardiovascular disease and Diseases of the
Respiratory system had become 2nd, 4th, 6th respectively. Though these diseases are known to be
multifactor in its aethiology (origin) researchers have revealed that the influence of air pollution
is significant and cannot be ignored. Moreover diesel emissions confirmed to be carcinogenic
by the World Health Organization too.
It is impossible to clean the air, or in particular to reduce air pollution from the transportation
sector, without getting sulfur out of fuels and no significant air pollution reduction strategy can
work without reducing sulphur to near‐zero levels in the diesel. The primary purpose of
introducing low sulphur diesel fuel is to reduce harmful emissions and its negative health effects
that are associated with regular diesel fuel. This means reduction of exhaust emissions of
particulate matter, hydrocarbons, and nitrogen oxides by large. The US EPA estimates that
there will be significant health benefits form introduction of ultra low sulphur diesel and
together with stringent emission standards these benefits will increase over time. Though it is
impossible to place a monetary value on health the U.S. EPA estimated that the annual
monetized net benefits would be $66.2 billion in the United States, due to the thousands of
avoided hospital admissions, asthma emergencies, lost work days, chronic pulmonary ailments,
other health impacts, reduced agricultural crop and commercial forest damage.
Therefore introduction of “Ultra Low Sulphur Diesel” is the key to reducing emissions from
diesel vehicles. Most benefits will be achieved by those Sri Lankan cities, where the vehicular
fleet is greater and the population exposure to diesel missions and PM is greatest.
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4.3 Economic Analysis for Fuel Quality Improvement
The Gross Domestic Product (GDP) of Sri Lanka has recorded as US $ 57 billion in 2012 out of
which the import bill of fossil fuel accounted as US $ 5.1 billion in 2012. This is an equivalent
of 9% of the country’s GDP. It should be noted that the value of the fuel consumed by the
transport sector was only US $ 2.9 billion which consists of 664.962 million litres of petrol, and
1,686.052 million litres1 of diesel2 in 2012. There is notable increased of fossil fuel
consumption by the power sector in 2012, as it’s value of import bill of fossil fuel for power
generation was US $ 2.2 billion which is equivalent of 41% of total fuel consumption of the
country. The high expenditure on import of fuel has big impact on the government
macroeconomic policies which is starting from budget deficit, balance of payment and all
capital and recurrent expenditure. Therefore, energy efficiency of power sector and fuel
efficiency of transport sector is one of the key for an economic growth and balancing the social
equality, which also linking to political stability of the country.3
Most of developing countries have introduced national technology mandates intended to make
vehicles run cleaner by requiring manufacturers to develop effective vehicle emission systems
and oil companies to make less polluting fuels. This has contributed to arrest the increased of
emission level even with high growth of vehicle ownership.4 The fuel quality has impact on
vehicles on following;
Fuel efficiency ( Number of km’s run per one litre of fuel);
Emission of pollutants(Carbon Monoxide, Nitrogen oxides, Volatile organic
compounds, Particulate matter (fuel related), lead
It was found to be that the present fuel quality regulations has not been imposed by the authority
as supply of fuel to the market dominated by the Ceylon Petroleum Cooperation and Lanka Oil
India Company who are also part of government. The fuel efficiency factors on the EURO
slandered are given below;
Euro II
1. Diesel Fuel (Km’s per Litre) 4.2 km. (Ashok Leyland Bus)
2. Gasoline (Km’s per litre) 7.5 km (Toyota Corolla Motor Car)
Euro III
1. Diesel Fuel (Km’s per Litre) 5.0 km. (Ashok Leyland Bus)
2. Gasoline (Km’s per litre) 9.0 km (Toyota Corolla Motor Car)
Euro IV
1. Diesel Fuel (Km’s per Litre) 6.20 km. (Ashok Leyland Bus)
2. Gasoline (Km’s per litre) 10.0 km (Toyota Corolla Motor Car)
Further the air pollution could be reduced considerably by using EURO III fuels compared to
EURO II fuels, and also from EURO IV fuel compared to EURO III fuel. This has high
implication on cost of fuel importation and cost of health which includes cost of medicine, and
1 Source: Ceylon Petroleum Corporation and Lanka Indian Oil Company 2 This includes Petrol with 95 Octane and Super Diesel. 3 Ibanez Gomez, “Transport Economic – Legacy of John Mayor”Kennedy School of Harvard University, 2009 4 Howitt, Arnold M., and Altshuler, Alan, “ The Politics of Controlling Auto Air Pollution”, The booking
institution, 1775, Massachusetts Avenue, N.W. Washington D.C, 20036, 2001
59
low productivity of labour force. Further improvement in fuel quality would contribute to
saving of fuel consumption through improved technical performance and efficiency of the
vehicles.
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CHAPTER 5
ELEMANTS AND STRATEGIES IN THE FUEL QUALITY IMPROVEMENT
ROAD MAP
Over the past 30 years, pollution control experts worldwide have come to agree that cleaner
fuels must be a critical component of an effective clean air strategy. Cleaner fuels are fuels that
result in lower emissions of air pollutants when used in motor vehicles. In recent years, this
agreement on the critical role of fuels has deepened and spread to most regions of the world.
Improving fuel quality is now seen not just as a necessary means to directly reduce or eliminate
certain pollutants such as lead, but as a precondition for introducing many important pollution
control technologies. For example, lowering sulfur content enables the use of diesel particulate
filters. A critical advantage of cleaner fuels is the rapid impact these fuels have on both new and
existing vehicles. Tighter new car standards can take 10 or more years to be fully effective,
whereas the removal of lead in gasoline in Asia has immediately reduced lead emissions from
all vehicles. A clear understanding of the necessary emission reductions from vehicles and other
sources to achieve healthy air quality is essential in developing strategies to clean up vehicles.
Depending upon the air quality problem and the contribution from vehicles, the degree of
control required will differ from location to location.
A broad approach to the formulation and implementation of policies and actions aimed at
reducing vehicular emissions is necessary where vehicles are major sources of pollution.
Reducing vehicular pollution will usually require a comprehensive strategy that includes these
key components: (i) emission standards for new vehicles, (ii) specifications for clean fuels, (iii)
programs to assure proper maintenance of in-use vehicles, and (iv) transportation planning and
demand management (Figure 28). One critical lesson is that vehicles and fuels should be treated
as a system. The emission reduction goals should be achieved in the most cost effective manner
possible. Although this report acknowledges the importance of a systems approach, it
emphasizes the contribution of cleaner fuels to reducing urban air pollution.
Figure: 28 Elements of a Comprehensive Vehicle Pollution Control Strategy
Vehicle emission and fuel quality standards play a critical role in limiting the emissions from
each vehicle and, together with other measures, in reducing the impact of continued vehicle
growth on Asia’s air quality.
In Asia’s cities, the average concentration of PM10 (in the air is 90μg/m3, exceeding the World
Health Organization air quality guideline of 20μg/m3 by almost 400%. As PM10 in the ambient
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air increases by 10μg/m3, the risk of early deaths in Asia goes up by 0.5% according to research
done by the Health Effects Institute. Motor vehicles are responsible for as much as 75% of
ambient PM levels in these cities. According to the air quality monitoring data of the CEA since
1996, the transport sector itself is contributing about 60% to the air pollution especially in
Colombo City. Near roadside traffic emissions are also a major concern, and health studies
suggest that people living within a range of up to 300 to 500 meters to a highway or major road
are most highly affected by traffic emissions. Protecting public health and reducing the
economic burden of treatment are compelling reasons to mandate vehicle emissions and fuel
quality standards in Asia.
While the trend in Asia is to progressively tighten vehicle emission standards, the region has a
long way to go towards harmonization. India moved nationwide to Euro 3 this year and China
to Euro 4 equivalent standards in 2008. Major metropolitan areas in India have even adopted
stricter standards (e.g., Euro 4 equivalent vehicle emission standards in 13 cities). But other
South Asian countries including Sri Lanka have yet to develop road maps beyond their current
Euro 1 and Euro 2 standards.
However in Sri Lanka, Hon. Minister of Environment and Natural Resources under Section 32
of the National Environmental Act, No 47 of 1980, read with Section 23J and 23K of the Act
gazette the regulations for the emission related fuel quality standards on 30th June 2003. This
regulations may be cited as the National Environmental (Air, Fuel and Vehicle Importation
Standards) Regulations No 01 2003 and was planned to implemented with effect from July 01,
2003.
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In Southeast Asia, some other countries also plan to move to Euro 4, but seem to waver in their
resolve to take this step soon; plans to move to Euro 4 in 2012 have been delayed to 2015 or
later. Improving only LDV’s is not the silver bullet. It’s only a part of solution. Majority of the
Asian fleet is dominated by Non-LDV vehicles and the trend would remain the same even with
high LDV growth rates. Vehicles like two wheelers and trucks need similar attention.
Approximately only 30% of the fleet is composed of LDV’s.
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Figure 29: Emission Standards for New Light-Duty Vehicles
Sulfur in fuels deserves special attention. At high levels (e.g., above 50 ppm), sulfur can reduce
the effectiveness of advanced three-way catalysts for gasoline vehicles and clog particulate
filters in diesel vehicles. The link between low sulfur and better air quality can be shown in the
case of Thailand, which achieved lower roadside and ambient levels of PM10, carbon monoxide
and nitrogen dioxide from its fuel sulfur reduction measures. However, progress in reducing
sulfur levels in diesel down to 50 ppm in other Asian developing countries has been slow.
China and India are phasing down to 350 ppm nationwide starting 2010, even though 50 ppm
has already been mandated for Beijing (2008), Shanghai (2009) and Guangdong Province
(2010). Sulfur levels in diesel in most Southeast and South Asian countries (except Thailand)
remain at 500 ppm and higher.
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Figure 30: Current and Proposed Sulfur levels in Diesel in Asia, EU and USA
Translating quicker progression lies in removing fuel subsidies. Countries like Malaysia and
Indonesia provide 2.6-2.7% of GDP to provide artificial low cost fuels. This acts as a
disincentive for refineries to pledge more support for cleaner fuels. It is to be noted that
subsidized fuels cannot be considered as the service policy of the country but a product which is
optimally priced.
To move Sri Lanka forward, national government need to take the lead by mandating a clear
and firm road map for cleaner fuels and vehicles. In consultations by experts in the field with
governments and other stakeholders, the question on the financial and economic impacts of
tighter vehicle emission standards always crops up. Experience from developed countries
suggests that moving to cleaner fuels and vehicles does not adversely affect the economy and in
fact benefits the economy through better public health. Country-specific analysis on the
financial and economic impact could help national governments show that the cost of inaction
(public health impact of air pollution) truly outweighs the cost of taking action (mandating
stricter standards).
Finally, reducing emissions from motor vehicles in Sri Lanka requires an integrated approach
which includes improving vehicle inspection and maintenance systems, transport planning and
demand management, and promoting public transport and non-motorized transport. These
parallel measures are needed; otherwise, the gains in reducing emissions from each vehicle
through stricter standards could be offset by an increase in vehicle numbers and in vehicle-
kilometers traveled. Also, growing interest in fuel economy standards provide a window of
opportunity to link the vehicle emission standards with fuel economy standards. Linking these
two measures requires a new approach and it has the potential to provide huge benefits to the
society.
Currently countries are charting out different strategies rather than thinking of a modality to
benefit from both by uniform application. Most often the institutions working out both the
policies are nearly the same and thus two issues can be combined to maximize benefits by early
implementation. For example, concept of Eco Cars in Thailand -– An Eco car meets minimum
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pollution standards of EURO4 or higher, emitting no more than 120 g CO2/km. To promote the
sales of fuel efficient cars, the Ministry of Finance put in place a tax incentive scheme which
reduces the excise tax rate on standard passenger cars that meet fuel-efficiency criteria, and
qualify as so-called “eco cars.” . Similar integrated system exists in Japan. The other reason for
linking these two standards is the impact of vehicle emission standards in reducing “Black
Carbon”. Experts believe that reducing black carbon (BC) offers biggest impact on immediate
climate mitigation. Black carbon is formed through the incomplete combustion of fossil fuels,
biofuel, and biomass and switching to stringent emission standards can reduce the BC
emissions.
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CHAPTER 6
RECOMMENDATIONS FOR THE ROAD MAP OF INTRODUCING CLEANER
FUELS IN SRI LANKA
Sri Lankans are currently enjoying high life expectancy in the region and is expected to prolong
further. Thereby Sri Lanka will have the prospect of hoisting its life expectancy to a level that is
observed in the developed world. Declining mortality and morbidity will be able to produce a
healthier labour force that is of paramount importance in developing our country rapidly.
Unfortunately morbidity and mortality (deaths) due to non-communicable diseases that are
attributed to air pollution have top the list in Sri Lanka. When air pollution from mobile sources
was taken in to consideration, diesel vehicles powered by high sulfur diesel become the top
priority in terms of air quality management in the country. It is eminent that if immediate
measures are not taken to introduce low sulphur fuel, its health consequences on morbidity and
mortality from air pollution related non-communicable diseases would be a difficult task to
achieve and our life expectancy would be static or even reversed in the future. Considering and
summarizing all the findings of this report this technical expert committee suggest following
recommendations for enhancing the quality of fossil fuels for managing better air quality in Sri
Lanka.
Recommendation 1:
Introduction of low sulphur diesel has to be implemented entirely through importation of high
quality refined fuels, unless the expansion / modification project of local refinery is
implemented. Nevertheless, the cost of implementation of the said project of the refinery and
other implications (cost benefit analysis) has to be documented.
Considering the social, environmental and health benefits the Ministry of Petroleum Industries
will be submitting a Cabinet Paper to introduce 10 ppm sulphur diesel as super diesel by the 1st
of August 2014 and the Ministry is planning to introduce Regular Auto Diesel with sulphur
content with 800 -1200ppmsince the second half of 2014 with the existing limitations in the
CPC Refinery at Sapugaskanda.
Therefore, the Officials’ Committee recommends to incorporating the following targets to the
action plan on introducing low sulphur diesel:
From 1st January 2015-2020 : Introduction of 1000ppm sulphur Auto Diesel and –
2020-2025: Introduction of 350 ppm sulphur Auto Diesel (this limits are subjected to
the implementation of refinery upgrading)
From 1st of August 2014 onwards: Introduction of 10 ppm Super Diesel
Recommendation 2:
To develop a fuel quality road map including use of renewable energy sources and alternative
fuels for Transport, Industrial and Power Sectors with implementation plans for Sri Lanka and;
to develop fuel quality standards for the fuels used in Industrial and Power Sectors with
immediate effect.
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(a) Alternative Fuels and Vehicles:
Fuel diversity in the transport sector is an essential element for reducing heavy dependence on
petroleum and improving energy supply security in the transport sector. Accordingly promotion
of electricity as an energy carrier in the transport sector is highly beneficial. It is highly
recommended to explore the possibilities of the use of renewable energy (such as solar, wind,
etc. based electricity generation) in transport sector as an Off Grid system considering the
existing constraints in the electricity grid to connect renewable energy. Electric vehicles could
deliver 3 to 4 times more energy efficiency than conventional vehicles, while hybrid vehicles
could save up to 70% of fuels. There are number of areas of interventions:
Promotion of electric and hybrid vehicles: It is recommended to introduce fiscal
concessions for electric and hybrid vehicles, including electric three-wheelers and
scooters, with additional incentives for local manufacture/value addition. The
recommended target is to reach 10% by 2016 and 20% by 2020 of the total number of
vehicles imported.
Railway Electrification: Railway is one of the most efficient modes of transport and
introduction of electrification could improve the services further. When considering the
grid electricity demand pattern, where there is low demand for electricity during peak
hours of traffic (morning and evening), use of electricity will improve the electricity
demand curve. As such, it is recommended to give priority to study and implement the
electrification of the Colombo suburban Railway Network which includes the routes
Colombo/Polgahawela on the Main line, Colombo/Aluthgama on the Coast line and
Ragama/Negombo on the Puttlamline. Initially the stretch on the Main line between
Colombo and Polgahawela where the passenger demand is comparatively high, could be
undertaken with the balance routes on the Coast line and Puttlam line to be electrified by
2020.
Electricity Tariff: The use of electricity for transport should look into its impact of grid
electricity demand curve. The benefits of electrification could be maximized (and the
adverse effects could be minimized) by allowing the use of electricity to charge the
batteries only during off-peak hours. Therefore, it is recommended to device a
mechanism to promote the off-peak hour electricity usage for electric vehicles,
especially through appropriate time of the day consumer tariff scheme.
Further, introduction of biofuels, such as ethanol and biodiesel, blended with conventional
petroleum oil (petrol and diesel respectively) is implemented in several countries as a long term
solution. Rapid advancements in technologies for production, processing and end-use energy
conversion are taking place worldwide. Main concern of this sector is the potential conflict with
food security. In order to address this issue, third generation biofuels (e.g. algae based biodiesel)
are being researched and developed extensively. Under these circumstances, applicability and
adaptability of these developments to the local context are important for the long term benefits.
Therefore, promotion of biofuels with phase-in introduction as blends with conventional fuels is
recommended, targeting at-least 2% by 2020. The potential of the use of biogas for transport
should also be explored.
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(b) Fuel Quality Improvements in Other Sectors:
In order to get the maximum benefits of fuel quality improvement for managing air quality in
Sri Lanka, it is apparent that, in par with transport fuels, cleaner fuels have to be introduced in
other sectors (i.e. domestic, industry and power). Particularly, sulphur levels in furnace oil and
coal are of much interest and therefore the following targets are set:
Coal: 1.2% sulphur level from 2015 onwards
Furnace Oil: From 3% sulphur from 2015 and 1.5% from 2020.
Recommendation 3:
To explore the possibilities of introducing LNG as a source of energy in all the sectors.(i.e.
power generation, transport and industry). In particular, fuel switching of the existing thermal
power plants from petroleum fuel oils to LNG is recommended, considering the less
environment impact per unit of energy released.
The promotion of LNG as a low carbon and cleaner energy source is well recognized. The least
cost methodology adopted in long term generation plan of CEB shows that coal is the cheaper
option and CEB commitment of coal plants are based on the Long Term Generation Expansion
Plan (LTGEP) 2013 -2032.
The Government should make a decision on the introduction of LNG as a source of energy for
all the energy sectors by considering the incremental policy cost associated with the
environment benefits and effects on energy security, together with the potential of NG reserves
in Sri Lankan territory.
Therefore, it is recommended to explore the findings of the on-going feasibility study of
Ministry of Power & Energy with due consideration of the potentials and impacts on all the end-
use sectors and set the targets accordingly.
Recommendation 4:
To harmonize the fuel quality standards with emission (both mobile and stationary sources) and
ambient air quality standards with the use of sound air quality modeling methodology, while
taking into consideration of technology status and trends.
Harmonization of the relevant standards is a fundamental requirement of a sound air quality
management programme and therefore needed to be accomplished promptly. Such efforts
require comprehensive air quality measurement mechanisms and facilities, together with air
quality modeling tools.
It is recommended to facilitate the above through finances and capacity development programs
for strengthening of the Air Resource Management Center (AirMAC) in the Ministry of
Environment and Renewable Energy by linking and mobilizing the resources relevant
universities and government agencies.
Recommendation 5:
To implement the proposed Sapugaskanda Oil Refinery Expansion and Modernization of the
existing refinery in order to provide high quality cleaner fuel as required by the proposed road
map.
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Although the Government has plans to import cleaner refined fuels, the average quality of the
fuels marketed in the country is heavily dependent on the quality of fuel refined in Sri Lanka.
Therefore, with the global and regional fuel quality trends, it is apparent that similar quality
enhancements have to be adopted in Sri Lanka in the near future. Under such circumstances, in
order to provide high quality cleaner fuel, the proposed Oil Refinery Expansion and
Modernization of the existing refinery in Sapugaskanda is becoming a necessity. Therefore, it is
recommended for immediate implementation of the proposed Oil Refinery Expansion and
Modernization project.
Recommendation 6:
To establish independent fuel quality testing laboratory in the Central Environmental Authority
and in the University of Moratuwa to monitor the quality of fuels distributed in sales outlets and
all the other types of fuels used in the country.
As in case of harmonization of standards highlighted under recommendation 4 above,
establishment of independent fuel quality testing laboratory is a fundamental requirement for
effective implementation / enforcement of relevant standards. It is recommended to review the
present fuel quality testing facilities and identify the existing gaps in the local institutions such
as CEA, ITI, University of Moratuwa and University of Peradeniya and provide assistance to
establish a national level fuel quality laboratory facility by enhancing the resources, training and
capacity building of these institutions.
Recommendation 7:
To take actions to import the Euro IV standard fuels to the country to meet the above
recommendations considering the socio-economic and environment benefits and refinery to
produce fuels according to existing standards until implementation of the refinery expansion
and modernization project in consultation with the Ministry of Petroleum Industries and CPC.
The importation of cleaner fuels has been already accepted and, presently, 10 ppm sulphur super
diesel (Lanka Super Diesel 4 Star) is being imported and distributed. However, as the demand
for super diesel in the local market is still low, the average quality of diesel is primarily
determined by the quality of auto-diesel, which is produced through blending the imported ones
with locally refined fuels. Therefore, till the implementation of the refinery expansion and
modification project is accomplished, it is recommended to import cleaner refined fuel for
achieving the set targets. Since some of the fuel parameters in the Euro standards are not very
relevant to the country, it is also recommend to study and develop national fuel quality standard
system by taken in to account the local context.
Recommendation 8:
To establish a Fuel Quality Management Committee in the Ministry of Environment &
Renewable Energy, under the join administration of Secretaries of Ministry of Environment&
Renewable Energy, Ministry of Power &Energy, Ministry of Petroleum Industries, Ministry of
Technology &Research, Ministry of Transport, Ministry of Finance &Planning. This
Committee should take decisions based on the recommendations of Technical Advisory
Committee comprised of technical experts of all relevant stakeholder organizations.
It is recommended to establish a Fuel Quality Management Committee under the join
administration of Secretaries of Ministry of Environment & Renewable Energy and Ministry of
70
Petroleum Industries for effective monitoring and successful implementation of the roadmap.
As the final aim of the fuel quality road map is the air quality management in the country, it is
also recommended to enhance the scope of activities of this committee to cover overall elements
in air quality management programme at national level, with renaming it as Air Quality
Management Committee.
CHAPTER 7
ACTION PLAN OF THE FUEL QUALITY ROAD MAP OF SRI LANKA
Activity Responsibilities/ Organizations Target KPI
1. Introduction of low sulphur
diesel
- Development of the regulation /
Ministry of Transport, CEA
- Implementation / Ministry of
Petroleum Industries/CPC
- From 1stof August July 2014 onwards:
Introduction of 10 ppm Super Diesel
- From 1st January 2015 – 2020:
Introduction of 1000 ppm sulphur
Auto Diesel and 2020 -2025 :
Introduction of 350 ppm sulphur Auto
Diesel
- Regulation developed
- % of 10ppm Super Diesel
Marketed/sold in the country by
31st December 2014
- % of 1000ppm Auto Diesel
Marketed/sold in the country by
31st December 2015& 2020
-% of 350ppm Super Diesel
Marketed/sold in the country by
31st December 2020& 2025
2. Introduction of alternative
fuels for Transport – Electric
Vehicles and provide
attractive tax concessions for
promoting smaller hybrid
vehicles with higher
efficiency in fuel consumption
- Fiscal incentives / Ministry of
Finance and Planning
- Ministry of Transport/Dept. of Motor
Traffic
EV / Hybrid 10% by 2016 and 20% by
2020 of the total number of vehicles
imported.
- Fiscal incentive structure
established
- % of EV/Hybrid vehicles
imported to the country by
2020
3. Introduction of alternative
fuels for Transport – Biofuels
- Development of the regulation /
Ministry of Transport, Ministry of
Environment & Renewable
Energy/CEA
- Implementation / Ministry of
- Endorse Bio energy policy in 2015
- Biogas for transport – Pilot
programme for conversion of 3-
wheelers, Including gas cleaning and
storage technologies.
- Regulations developed
- No of biofuel vehicles
- Liters of biofuel blends sold
72
petroleum Industries /CPC /Ministry
of Sugar Industry
- Biodiesel – 3rd generation biofuels:
Introduction by 2016 and 1% by 2020
4. Development of fuel quality
standards for industrial fuel –
Furnace oil / heavy diesel
- Fuel quality standards for industrial
fuel – Furnace oil / heavy diesel by
CEA/Ministry of Environment &
Renewable Energy and SLSI;
Ministry of Petroleum Industries and
CPC
- Furnace Oil / Heavy diesel: Maximum
3% sulphur from 2015 and 1.5% from
2020.
- Fuel quality standards
developed by 2015
- Sulphur contents in Furnace oil
/. heavy diesel in the market
5. Development of Fuel quality
standards for industrial fuel –
Coal
- Fuel quality standards for industrial
fuel – Coal by CEA/Ministry of
Environment & Renewable Energy;
Ministry of Power and Energy and
CEB
- Maximum sulphur content in the Coal
use for industrial sector should be
1.2% from 2015
- Fuel quality standards in place
by 2015
- Sulphur contents in coal used
by industry
6. Expansion and modernization
of the CPC Petroleum
Refinery
- Ministry of Finance and Planning
- Ministry of Petroleum Industries
- CPC
- Maximum 0.5 % sulphur diesel
produce from 2018
- Maximum 10 ppm sulphur diesel
produce by 2020
- Establish sulphur recovery plant by
2018 with a capacity to handle all the
sulphur processed at the refinery
- Expansion and modification of
the CPC Petroleum Refinery
completed
- Sulphur recovery plant
established at the Refinery by
2018
- % sulphur level in diesel refined
by CPC
7. Importation of the Euro IV
standard fuels to meet the
above recommended 10 ppm
sulphur diesel as super diesel
and 500 ppm ppm sulphur
diesel until implementation of
the refinery expansion and
modification projects
- Ministry of Petroleum Industries
- CPC
- Maximum of 10 ppm sulphur diesel as
Lanka Super Diesel 4 Star in Island
wide from 1st August 2014 onwards.
- maximum of 1000 ppm sulphur diesel
as auto diesel Island wide by 2015
- % sulphur levels in diesel
imported
73
8. Development of fuel quality
standards for power sector –
Furnace oil / heavy diesel
- Fuel quality standards for power
sector – Furnace oil / heavy diesel
by CEA/Ministry of Environment &
Renewable Energy; CPC, CEB;
Ministry of Petroleum Industries and
Ministry of Power and Energy
- Maximum 3% sulphur fuel for the
power sector which use furnace oil /
heavy diesel by 2015
- Maximum 1.5% sulphur fuel for the
power sector which use furnace oil /
heavy diesel by 2020
- Fuel quality standards in
placeby 2015
- Sulphur contents in furnace oil
/ heavy diesel used by the
industry by 2015 and 2020
9. Development of fuel quality
standards for power sector- –
Coal
- Fuel quality standards for power and
Industrial sector – Coal by
CEA/Ministry of Environment &
Renewable Energy
- Maximum sulphur content in the Coal
use for power sector is 1.2% by 2015
- Fuel quality standards in
placeby 2015
- Sulphur contents in coal used
by power plants
10. Iintroducing LNG as a source
of energy in all the sectors as
a cleaner fuel.
- Ministry of Power and Energy
- Ministry of Petroleum Industries
- Ministry of Transport
- Ministry of Industries
Implementation by CEB, Ministry of
Transport and Ministry of
Commerce and Industries
- Explore the findings of the on-going
feasibility study of Ministry of Power
& Energy with due consideration of
the potentials and impacts on all the
end-use sectorsand set the targets
accordingly
- LNG Feasibility study
completed
- % Potential of LNG in each
energy end-use sector
11. Railway electrification Plan - Ministry of Transport
- Ministry of Finance
- Dept. of Railways
- CEB
- 3 Number of electric railway
lines/trains are established by 2025
(including Veyangoda to Kalutara)
- Number of detailed feasibility
studies completed
- Number of electrified railway
lines established by 2025
12. Establishment of an
independent fuel quality
testing laboratory/s.
- Ministry of Finance and Planning
- Ministry of Environment &
Renewable energy
- A network of independent Fuel quality
testing laboratory is established by
2015 (UoM, UoP, CEA, ITI)
- Number of independent
institutions having enhanced
fuel quality testing facilities by
74
- Ministry of Petroleum Industries
- Ministry of Science and Technology
- Ministry of Higher education
- University of Moratuwa
- University of Peradeniya
- CEA
- ITI
2015
- Number of fuel quality
parameters that could be tested
by independent institutions by
2015
13. Harmonize the fuel quality
standards with emission (both
mobile and stationary sources)
and ambient air quality
standards, with national air
quality model
- Ministry of Environment &
Renewable Energy
- CEA
- ITI
- University of Moratuwa
- University of Peradeniya
- Air Resource Management Center
(AirMAC) will be formalized and
strengthen the capacity by 2015 by
linking and mobilizing the resources
relevant institutions
- Gazzeting of the new harmonized
fuel quality standards with emission
standards (both mobile and
stationary sources) and ambient air
quality standards by 2015
- 02 Number of Ambient air quality
monitoring stations established in
the country by 2015 and 06 by 2020
- Developed national air quality
modeling tool/methodology for
managing and prediction of air
pollution risks by 2016
- Air quality and Fuel Quality
standards developed
- Number of Air quality
monitoring stations
established
- AirMAC is formally
established in the Ministry of
Environment & Renewable
Energy
- National air quality model in
place
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