Hemas Power Limited, a private power developer in Sri Lanka, has announced that its profits for the June 2011 quarter rose by 9 per cent to $0.8m, with increased thermal revenues compensating for a decline in hydro generation due to low rainfall.

Revenues rose by 37 per cent to $9.1m, but generation costs rose by 51 per cent to $8m. Interest costs fell by 57 per cent to $0.1m, according to interim accounts filed with the stock exchange.

Hemas Power’s thermal plant, Heladhanavi, saw a 59 per cent increase in profits, but hydropower performance fell by 55 per cent.

Kishantha Nanayakkara, managing director of Hemas Power, said: “Poor rainfall experienced in the country for the latter part of the quarter negatively impacted the hydropower sector results.”

The state-run grid operator Ceylon Electricity Board has been operating thermal plants at maximum output to avoid load shedding.

Hemas Power said that construction of Magalaganga hydropower plant was on schedule and would be commissioned shortly.

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