Sri Lanka to receive US$ 800 million investment from Chinese company
Sri Lanka’s Embassy in China has announced that China National Energy Engineering and Construction Company Ltd. (CNEE) has offered to invest US$ 800 million in Sri Lanka for 400 MW renewable energy generation projects in the country.
Sri Lanka’s Ambassador to China Dr. Palitha Kohona has recently visited the KE Electric plant in Shijuazhuang that produces a range of equipment for the generation and distribution of electricity. The equipment and knowhow for the proposed renewable energy project in Sri Lanka will be supplied by KE Electric.
The proposed CNEE project is expected to be on a Build-Own-Operate (BOO) or Build-Own-Operate and Transfer (BOOT) basis.
The Ambassador was hosted by KE Electric Chairman Chengsuo Zhang together with the senior management team and was given a comprehensive tour of the establishment.
Dr. Kohona has explained the Sri Lankan government’s policy to produce 70% of Sri Lanka’s electricity needs from renewable sources by 2030 and that the government was looking for investors and would not take loans to finance any projects.
The CNEE, which had already done some preliminary work on potential locations together with KE Electric, was in the process of preparing its proposals.
The Sri Lankan delegation was also taken on a tour of a solar installation, Hongji PV Plant Project and Solar Demonstrative Project, in Beizhuang in Pingshan County of Shijiazhuang.
Sri Lanka’s renewable energy generation sector is one of the fastest growing economic sectors in the country with increasing business/investment opportunities. The government of Sri Lanka has adopted a policy of increasing the country’s renewable energy generation component to 70% of the overall power generation by 2030. With the growing demand for power given the expanding economic activities in the country, Sri Lanka’s renewable energy generation sector has presented a host of business/investment opportunities. Given the foreign investments flowing to the sector along with increasing international interest, foreign businesses/investors could explore the opportunities in Sri Lanka’s renewable energy generation sector while local companies can look at forming partnerships or joint ventures with foreign renewable energy companies.
|Article Code :||VBS/AT/20211026/Z_2|