The Asian Development Bank’s (ADB) Board of Directors has approved a loan of $200 million with sovereign guarantee for Ceylon Electricity Board to develop Sri Lanka’s first 100-megawatt wind park, the Asian lender said today.
The Ceylon Electricity Board will provide $56.7 million toward the total project cost of $256.7 million. The estimated completion date for the project is the end of 2021.
“The new Wind Power Generation Project will not only provide access to a clean and reliable power supply in Sri Lanka, but also create an environment for further wind power development through future public-private partnerships,” said Mukhtor Khamudkhanov, an ADB Principal Energy Specialist. “Diversifying the country’s power generation through clean, renewable energy sources will improve the country’s energy security and environment.”
Sri Lanka boosted its national electrification from 29% in 1990 to more than 99% in 2016. Yet the power sector continues to struggle to meet the growing demand for an affordable and reliable electricity supply.
With the share of thermal (coal and oil-fired) power still accounting for two-thirds of power generation in 2016, there is an urgent need to develop clean energy sources such as wind and solar energy, reduce losses in the system, and boost energy efficiency.