Adani Group signs deal for two power projects in Sri Lanka

15 Mar 2022 CW Team

Adani Group has signed a deal for two large power projects in Sri Lanka’s Northern Province, six months after it secured a strategic port terminal project in Colombo.

The agreement has not been officially announced by Sri Lanka, Adani Group or Indian authorities to jointly execute renewable power projects in Mannar, on the northwest coast of Sri Lanka, and Pooneryn, located south of the Jaffna Peninsula. However, the Ceylon Electricity Board (CEB) also signed a Memorandum of Understanding (MoU) with Adani Green Energy Limited.

The two renewable energy projects involving the Adani Group focus on generating a combined capacity of 500 MW at $500 million. Both the projects are in the Northern Province, where New Delhi objected to a Chinese energy project.

The agreement was signed on the same day National Thermal Power Corporation (NTPC) and CEB agreed to set up a 100 MW solar power project in Sampur, in east Trincomalee district.

The development comes after Gautam Adani, Chairman of Adani Group, visited Sri Lanka and held talks with President Gotabaya Rajapaksa on possible investments in Sri Lanka.

The team visited the northern Mannar district to explore the potential for wind power projects. India’s involvement in Sri Lanka's renewable energy projects comes alongside the administration of Rajapaksa on cleaner energy.

Sri Lanka has a daily peak demand of over 2000 MW and is currently experiencing a severe shortage of fuel and power, causing long power cuts across the country.

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Also read: Adani Green inks pact with SECI to supply 4,667 MW green power

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