Sri Lanka will develop 28 small solar power projects in its north-central and eastern regions.
The proposal was recently approved by the Cabinet of Ministers who gave consent to the development of 28 solar power projects from 28 investors in the island nation.
The tariff for power generated from these projects has been set at LKR 12.84 (~$0.072) to LKR 15.93(~$0.089)/kWh. The state power utility, Ceylon Electricity Board, will purchase the power from these solar projects.
Earlier, Mercom reported that KLS Energy Lanka, a subsidiary of Malaysian renewable energy producer, Energy Sdn Bhd filed an arbitration against the Sri Lankan government.
The arbitration under BIT Malaysia – Sri Lanka 1982 was filed over the cancellation of a $150 million wind-solar hybrid power project by the Sri Lankan government. The Ceylon Electricity Board had approved the project to build the hybrid power project in Jaffna in 2008 and signed a 20-year power purchase agreement with KLS Energy Lanka.
Sri Lanka has seen a flurry of investment in the renewables sector.
In October 2018, Mercom reported that Ceylon Electricity Board (CEB), Sri Lanka will receive ₹2,529 million (~$34.41 million) from the French Agency for Development (AFD). This will be utilized by CEB to implement Tranche II of the green power development and energy efficiency improvement investment program.
Ceylon Electricity Board has an ambitious capital investment plan for the next ten years to maintain 100 percent electrification while improving supply quality and reliability.
Earlier, the Ministry of Finance and Mass Media in Sri Lanka announced that it has agreed with the Asian Development Bank wherein the bank will loan the country $50 million to help develop rooftop solar projects.
In June 2018, Japanese Sri Lanka Friendship (JSF) Corporation, a board of investment company, announced to start manufacturing solar panels at Katunayake in Sri Lanka.
Sri Lanka wants to install 200 MW of solar projects by 2020 and 1,000 MW by 2025.