ECONOMYNEXT – The World Financial institution stated it had authorised a 150 million greenback program for Sri Lanka that may assist finance 1000 MegaWatts of photo voltaic and wind power and in addition strengthen the grid to keep away from blackouts.
The 150 greenback program consists of 40 million {dollars} in ensures which can cut back dangers of personal buyers.
“This system additionally helps the upgrades to Sri Lanka’s electrical energy grid, enabling it to raised deal with renewable power and cut back energy outages,” the World Financial institution stated.
“This modernization will assist stabilize electrical energy costs and enhance power entry for households and companies throughout the nation.”
Sri Lanka suffered a blackout earlier in 2025, by having a too massive share of photo voltaic and too small share of mills with ‘inertia’ that may stand up to shocks and preserve voltage stability.
The Safe, Inexpensive, and Sustainable Vitality for Sri Lanka program will help the nation cut back its reliance on costly fossil gas imports and speed up its shift towards photo voltaic and wind, the World Financial institution stated.
In Sri Lanka attributable to lack of aggressive tendering, renewable energy can be prices above another nations, analysts have stated.
In Sri Lanka the most cost effective supply of energy comes from renewable massive hydro crops owned by the Ceylon Electrical energy Board with totally depreciated crops courting again from the time it ran an virtually one hundred pc renewable system.
In the intervening time hydro electrical energy is generated at prices between 1 rupee and 12.69 rupees, Energy and Vitality Minister Kumara Jayakody instructed parliament final week
Solar energy was between 27.26 rupees and 35.50 rupees, and coal was 20.80 rupees a unit, Minister Jayakody stated.
Liquid gas is dearer with diesel costing probably the most.
The World Financial institution stated the brand new package deal will help new photo voltaic and wind power tasks that may add 1 gigawatt of unpolluted electrical energy to the grid – bringing Sri Lanka nearer to its objective of producing 70 % of its electrical energy from renewable sources by 2030.
It is going to assist greater than 800 million {dollars} in non-public funding. (Colombo/June21/2025)
