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PROJECT PROPOSAL TO ESTABLISH AN OXYGEN GENERATING PLANT IN SRI LANKA

Community Driven Project by Adelaide Sri Lanka Buddhist Vihara and

Sri Lankan Community Organisations in South Australia

2021

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Community Driven Project by Adelaide Sri Lanka Buddhist Vihara and

Sri Lankan Community Organisations in South Australia

Purpose of the Project

The purpose of this project is to establish an oxygen generating plant at the National Hospital, Kandy, Sri

Lanka, considering the massive demand for oxygen supply due to the current fourth wave of COVID-19 in

the island nation. In Sri Lanka, there have been 490,957 confirmed cases of COVID-19 with 11,567 deaths

from 3 January 2020 to 15 September 2021, reported to WHO. Medical oxygen is considered the single

most important medicine for treating patients with COVID-19 and many other health conditions. A

continuous supply of medical oxygen to the healthcare system is crucially important; therefore, this project

intends to donate a fully equipped oxygen generating plant that uses the Pressure Swing Adsorption (PSA)

process to generate enriched oxygen gas from ambient air. PSA is at the forefront of gas separation

technology.

This project adopts a community-driven development (CDD) approach enabling full participation of Sri

Lankan community organisations in South Australia. This project will be implemented through the support

and partnership with the Na Sevana Community Development Centre (Na Sevana) in Sri Lanka.

Partnership with Community Organisations

An experienced project team leads this project under the auspices of Adelaide Sri Lanka Buddhist Vihara

(ASBV) and Sri Lankan community organisations in South Australia.

• Adelaide Sri Lanka Buddhist Vihara Inc

• Adelaide Lions Cricket Club

• Australia Sri Lanka Association

• Adelaide Sri Lanka Students Association

• Sri Lanka Association of South Australia

• Sri Lankan Honorary Consulate in Adelaide.

• Sri Lanka Catholic Association of South Australia

• Sri Lanka Muslim Association of South Australia

• South Australian Sri Lankan Doctors Association

• Sri Lankan Engineers in South Australia

• Sri Lanka Cricket South Australia

• WellBeingSA Inc.

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Partnership with Sri Lanka

NaSevana Community Development Centre is a not-for-profit social organisation and an approved charity

(ST 9/79/46) in Sri Lanka, which has vast experience in successful execution of community projects with

the support and active involvement of the local communities. Rev Dr Kirinde Assaji Thero, Director of Na

Sevana will lead the project implementation in Sri Lanka (Appendix 1- Supportive Letter). Technical advice

and quality assurance of the project will be managed by Technology Innovation and Engineering

Consultants (Pvt) Ltd, Sri Lanka (Appendix 2- Supportive letter). The project activities will be implemented

in close association with National Hospital Kandy (Appendix 3- Supportive Letter), Ministry of Health Sri

Lanka and National Medicines Regulatory Authority (NMRA), Sri Lanka. Additionally, the active involvement

of key stakeholders of the National Hospital Kandy, establishing the oxygen generating plant will be a

crucially important part of this project in terms of sustainable management of the plant and associated

maintenance services.

Previous community projects and partnerships

Over the past five years, the Adelaide Sri Lanka Buddhist Vihara (ASBV) has been actively involved in

community activities in Sri Lanka, particularly in natural disaster relief programs and community

development programs, in partnership with not-for-profit volunteer organisations.

Project 1: Australian Aid: Friendship Grants (AAFG088- DAFT Agreement no: 74898): Restoration

of irrigation water systems to enhance rural livelihoods and health in Sri Lanka: Partnership with

NaSevana Community Development Centre 2018-2020 [AusAid Grant funding $49643]

In 2017, The ASBV project team, in consultation with Na Sevana in Sri Lanka had identified that the

Meegahajandura Tank in Hambantota district in Sri Lanka, which was built about 900 years ago, has been

dysfunctional for the last decade due to sedimentation. The purpose of this project was to restore cascading

irrigation tank systems and develop a sustainable management mechanism, with the full participation of

local communities and regulatory bodies for improving rural livelihoods through farming, drinking, sanitation

and environmental water requirements in Hambantota district in Sri Lanka. This project was successfully

completed on 20 January 2020 and a stone engraved grant acknowledgement plaque was ceremonially

unveiled by the Hon Chamal Rajapaksa, Minister of Mahaweli, Agriculture, Irrigation and Rural

Development in Sri Lanka and thanked the Australian Government Friendship Grant and the project team

for their dedication. This project was jointly managed by the ASBV project team and Na Sevana Community

Development Centre in Sri Lanka which is led by Ven Dr Kirinde Assaji Thero. (Project details (1)

https://www.dfat.gov.au/sites/default/files/sa_-_adelaide_sri_lanka_buddhist_vihara_inc.png (2) Australian

High Commission, Sri Lanka and Maldives;

https://www.facebook.com/AustraliainSriLankaandMaldives/photos/pleased-to-meet-friendship-grant-

partners-adelaide-sri-lanka-buddhist-vihara-and/1374788306036926/ (3) Adelaide Sri Lanka Buddhist

Vihara project report https://asbvihara.org.au/community/aus-aid-friendship-grant/

Project 2: Construction of four new houses for the victims affected by floods and landslides in Sri

Lanka- Partnership with Wenasa Sathkaraka Parshadaya

In 2016 and 2018, the ASBV collaboratively worked Wenasa Sathkaraka Parshadaya, a not-for-profit

volunteer social service organisation and constructed four new houses for the benefit of the victims affected

by floods and landslides in Kegalle, Sri Lanka from the generous support of ASBV members, donating a

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total of $10081 (approximately LKR 1.1 million) towards the project (Project Report -

https://asbvihara.org.au/community/disaster-relief-support/)

Setting and Target Beneficiaries

The Central Province, one of Sri Lanka’s nine provinces, encompasses three districts: Kandy, Matale, and

Nuwara-Eliya, and the population of the central province was 2.781 million in 2020. Kandy is the capital of

the central province and the most populous district, with 1.483 million people in 2020. In the Central

Province, the majority of the population comprises Sinhalese (65.35%), followed by Indian Tamil (19.92%),

Sri Lankan Moors (9.20%), Sri Lankan Tamil (5.05%), and Burgers (0.15%).

National Hospital Kandy, which is located in the Central Province, is Sri Lanka’s second-largest tertiary

care medical institution, managed by the Ministry of Health Care and Nutrition. The National Hospital Kandy

is accountable for providing comprehensive secondary and tertiary specialist care and medical

rehabilitation. Major surgeries, including renal transplants, brain surgeries, and cardiac surgeries, are

performed regularly at the hospital. For inpatient services, the hospital has 78 wards and 13 special units.

Aside from that, it has ten intensive care units (ICUs) and 29 operating rooms. The hospital also has

outpatient services, specialised clinics, and an emergency treatment unit. Also, this hospital has advanced

medical imaging capabilities, including CT scanning, MRI scanning, interventional radiography, coronary

angiography, cerebral angiography, and facilities for chemical microbiological and histopathological

investigations. Like many hospitals in Sri Lanka, National Hospital Kandy faces a massive challenge in

managing COVID- 19 patients, mainly due to inadequate oxygen supply. (please see the letter provided by

the Director of National Hospital Kandy- Appendix 3).

Besides being the second largest city of Sri Lanka, Kandy is increasingly becoming a pivotal transportation

hub in the island owing to its favourable geographic location. Consequently, Kandy is accessible by major

motorways from every knick and conor of the country within a few hours. In addition, the new Colombo-

Kandy highway, which is nearing completion, will further enhance the accessibility to the capital of the

Central Province.

Considering all these factors, it is envisaged that establishing an oxygen generating plant in National

Hospital Kandy is timely and strategically important not only during the current pandemic but well into the

foreseeable post-pandemic era.

System Functionality

Air contains 21% Oxygen, 78% Nitrogen, 0.9% Argon and 0.1% other trace gases. The Pressure Swing

Adsorption (PSA) process is used to generate enriched oxygen gas from ambient air utilises the ability of a

synthetic Zeolite Molecular Sieve to absorb mainly nitrogen.

The main advantages of this process when compared to conventional cryogenic air separation

processes are :

• Operation at ambient temperature and low pressures, therefore low stresses on materials.

• Flexibility in product quality (purity).

• Automatic operation.

• Simple equipment to operate.

• Low equipment investment costs.

• Low medium-specific energy requirements.

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• Short start-up times.

• Low maintenance requirements.

• Reliable

(Reference: OxAiR)

Oxygen Output Parameters should have the

following Properties

• Oxygen Purity Level minimum 95%

• Particle Filtration 0.01 µm

• Output Capacity- Oxygen generator - 35

Nm3/hour (Min), Minimum 100 jumbo

cylinders (47L) per day @ 150 bars pressure

• Should comply to European pharmacopeia

Standard

PSA oxygen generating system consists of the

following main items:

• Compressor Plant System

• Air Treatment Unit

• Air Receiver Tank

• Oxygen Generator

• Oxygen Receiver Tank

• Booster Compressor

• Cylinder Filling Station

• Electrical distribution panel with required

safety standards

PSA Oxygen generating plant- System Information (Appendix 4)

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Project Process

Following is a complete list of all project deliverables:

Stages Description

Stage 1

• Applying for deductible gift recipient (DGR) status under the Overseas Aid Gift Deduction Scheme (OAGDS)

• Apply to be endorsed as a deductible gift recipient (DGR)- ATO

• Start Fundraising activities

Stage 2

• Selection of suitable Pressure Swing Adsorption (PSA) Oxygen generating plant- - Initial quotation started (initial selection OxiAir Australia)

• Matching specifications with Sri Lanka: The National Medicines Regulatory Authority (NMRA)

• Final selection of PSA Oxygen generating plant- Comprehensive quotation analysis by experts

• Approval from NMRA

Stage 3

• Ordering selected PSA Oxygen generating plant

• Transportation – Clearance- Sri Lanka Customs – NaSevana/ Coordination: Kumudini Silva

• Establishment- NH Kandy/ NaSevana

• Plant commissioning- Local agent/NH Kandy

Stage 4

• PSA Oxygen generating plant establishment process: Quality Assurance & Technical consultation - Technology Innovation and Engineering Consultants (Pvt) Ltd: Coordination Dr Shantha Sooriyabandara

• Final Project Report- Project Team

Project Meetings

Description Date Outcomes

Initial Meeting 29 Aug 2021 Initial discussion / PSA system/ project team

2nd Meeting 01 Sep 2021 Meeting with ASBV Management committee /

3rd Meeting 6 Sep 2021 Zoom- Tax Deductible Application/ DAFT

4th Meeting 12 Sep 2021 Project Proposal development

5th Meeting 19 Sep 2021 Meeting with Sri Lankan community organisations in SA

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6th Meeting 30 Sep 2021 DAFT application/project proposal

7th Meeting 7 Oct 2021 Project Team Meeting/ application

8th Meeting 14 Oct 2021 Meeting with ASBV Mgt Committee/

Timeline for Execution

Description Start Date End Date Duration

Project Start 29 Aug 2021

Project Proposal 12 Sep 2021 12 Oct 2021

DAFT Application 6 Sep 2021 25 Oct 2021

Phase 1 Complete

Milestone 3

Milestone 4

Phase 2 Complete

Milestone 5

Milestone 6

Project End

O2 Requirement Comparison

Description

Hospital Monthly Usage in litres (compressed)

Apr 27554

May 37956

Jun 39143

Jul 25000

Aug 26647

Avg monthly req (ltr) 31260

Avg monthly req (No of cyliders - 44ltr) 711

Per day (No of cylinders - 44ltr) 24

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Oxair QA-250-SK system

flow (ltr/min) 118

flow (ltr/hr) 7080

litres per day (Assuming const operation) 169920

litres per day - Compressed (@150 bar) 1133

litres per month - Compressed (@150 bar) 33990

No of jumbo cylinders per day 25

No of jumbo cylinders per month 750 (108.73%)= Complete supply of O2 Gas Req.

Supplied by NH Kandy via TIEC (Pvt) Ltd

Budget and Cost analysis

The following table details the pricing for delivery of the services outlined in this proposal. This pricing is

valid for 6 months (Initial Quote – Appendix 5). Full cost analysis will be conducted.

Services Cost Category #1 Price

Item Description

OxyAir unit $81,145

Total Services Category #1 Costs $81,145

Services Cost Category #2

Local charges including duty $18,855

Total Services Category #2 Costs $18,855

Services Cost Category #3

10% Contingency $10,000

Total Services Category #3 Costs $10,000

Total $110,000

Disclaimer: The prices listed in the preceding table are an estimate for the services discussed. This summary is not a

warranty of final price. Estimates are subject to change if project specifications are changed or costs for outsourced

services change before a contract is executed.

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Cost analysis was conducted based on the above data and Oxair QA-250-SK system information

Expernditure

Avg monthly req (ltr) 31260 Ltr SLRs 857,324 = (27.43 per Ltr)

Assuming constant (24 hr) operation/ Energy usage kWh

384 kWh

Electricity cost per day at Rs 15 per kWh SLRs 4608 SLRs 138,240 Per month

Cost Saving - Monthly SLRs 719,084 (83.88%)

Assuming 12 hr operation/ Energy usage kWh 192 KWh

Electricity cost per day at Rs 15 per kWh SLRs 2304 SLRs 69,120 Per month

No of jumbo cylinders per month 390 (54.41% of the monthy req.

Cost Saving - Monthly SLRs 397,389 (46.35%)

Annual savings (Assuming 12 hr operation) SLRs 4,768,669

Annual savings (AU$) AU$27,356 (Exchange rate 144)

Quote analysis

Initial Quote – Appendix 6). Full cost analysis will be conducted.

Disclaimer: The prices listed in the preceding table are an estimate for the services discussed. This summary is not a

warranty of final price. Estimates are subject to change if project specifications are changed or costs for outsourced

services change before a contract is executed.

Project Team

Position Name

Project Director Dr Sarath Senadeera, MBBS, MD, FRANZCR

Project Manager Dr Rasika Jayasekara, RN, BA, BScN(Hons), PGDipEdu, PGDip Dig L, MNSc, MClinSc, PhD

Project Secretary Mr Chandra Herath, CGMA, ACMA, CPA, MBA

Project Treasurer Mr Indika Udugampola, CPA

Project Advisors Dr Madhu Chandratilleke, MBBS, MD, FRACP

Dr Shantha Sooriyabandara MBBS, MD, FRCR, FRANZCR

Dr Ravi Cooray, MBBS, FANZCA

Dr Charitha Perera, MBBS, MSpMed, GradDipMscMed, FAFRM (RACP)

Dr Najith Amarasena, BDS, MSc, MD, FJSPS, PhD PhD

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Mrs Kaushini Mendis- M.Eng(Bio-Med)

Project Team Members

Mr Priyantha Kaluthotage

Mrs Kumudini Silva

Mr Duminda Kottahachchi

Mr Saliya Hatangala

Mr Hiran Senaratne

Mr Mahendra Karunaratne

Mr Sujeeva Fenando

Mr Chamila Waduge

TBA..

Community organisation’s representatives

TBA

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Appendix 1 Rev Dr Kirinde Assaji Thero, Director of Na Sevana

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Appendix 2- Technology Innovation and Engineering Consultants (Pvt)

Ltd,

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Appendix 3- Supportive Letter- NH Kandy

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Appendix 4 PSA Oxygen generating plant- System Information

System information

pack medical with booster.pdf

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Appendix 5 – Initial Quote- OXAIR

Quote 1

P2561-21-JN - OA- 250-SK.pdf