Sri Lanka approves contracts for solar photovoltaic power plants
Daily FT: The Cabinet of Ministers has cleared awarding contracts for the construction and operation of solar photovoltaic power plants, totalling a capacity of 9 MW.
The decision follows the previous Cabinet approval on 22 May 2023, to invite proposals for the establishment of 7 MW solar photovoltaic power plants. Subsequently, the Cabinet appointed Negotiation Committee, tasked with evaluating the proposals, identified four successful project proponents.
Additionally, based on the recommendations of the Procurement Appellate Board, the Committee evaluated another investor’s proposal and deemed them suitable for implementing a project to construct a 5 MW solar photovoltaic power plant.
The proposal to this effect submitted by Power and Energy Minister Kanchana Wijesekera was approved by the Cabinet of Ministers recently.
OSL take:
Sri Lanka’s ongoing economic activities and the increasing demand have resulted in the expansion of business/investment opportunities in the country’s power industry, especially in the renewable energy generation sector. The Sri Lankan government’s decision to increase the country’s renewable energy component to 70% of the total power mix has resulted in the expansion of business/investment opportunities in the renewable energy generation sector. The growth and business potential in the sector is evident by the growth and profits recorded by local businesses engaged in the sector as well as the interest shown by large-scale foreign businesses to invest in local renewable energy projects. Foreign businesses/investors could therefore confidently explore the expanding business/investment opportunities in Sri Lanka’s renewable energy sector while also looking at forming collaborations with local businesses with the aim of further expansion.
| Article Code : | VBS/AT/20240419/Z_4 |