News

Renewable energy generation: Adani to take billion-dollar Mannar project

  • Proposal to develop 1,000 MW wind energy project valued at over $ 1 b
  • Sent to BOI, CEB, and Cabinet-appointed committee on investments
  • CAMCI approves proposal; MoU to be signed by BOI, CEB, SEA, Treasury
  • Adani also looking at second renewable energy project in Pooneryn 

By Uwin Lugoda

India’s Adani Group, owned by Indian business tycoon Gautam Adani, is to develop a 1,000 MW wind power project in Mannar valued at over $ 1 billion, The Sunday Morning learnt.

It is also learnt that Adani is looking at developing a second wind power project in another location in the Northern Province – Pooneryn.

The Sunday Morning, on 24 October, exclusively reported Adani’s interest in entering the renewable energy generation sector in the Northern Province. The news report was published prior to Adani’s visit to Sri Lanka in October.

It is reliably learnt that Adani Green Energy had submitted a proposal to the Board of Investment of Sri Lanka (BOI) as well as the Ceylon Electricity Board (CEB).

When questioned, CEB Chairman M.M.C. Ferdinando confirmed to The Sunday Morning the receipt of the respective proposal. He explained that the BOI had referred the proposal to the Cabinet-appointed Management Committee on Investments (CAMCI), which was set up to fast track investment proposals.

“Adani had referred a proposal to the BOI, and copied to me and the CAMCI headed by the Treasury Secretary,” he said.

According to Ferdinando, Adani’s proposal had received the approval from the CAMCI last week.

It is learnt that a memorandum of understanding (MoU) in that regard would be drawn up by the BOI and would be signed by the BOI Sustainable Energy Authority (SEA) Chairman, Treasury Secretary, and CEB Chairman.

Through the proposal, Adani proposed to develop a 1,000 MW wind energy project in Mannar. “As for the investment, for 1,000 MW, it’ll be more than $ 1,000 million,” Ferdinando said.

However, the CEB Chairman said he was unaware as to when the project would get off the ground.

“We don’t know when it will be finalised, because after the MoU is signed, several regulatory authorities on renewable energy need to be consulted. We (CEB) are only the energy purchaser; the SEA is the energy developer and allocates resources. There are then other authorities such as the environmental authority for environmental clearance, and so on,” Ferdinando explained.

Meanwhile, the Chinese Embassy stated last Thursday (2) that China had decided to suspend the hybrid energy systems project by Sino Soar Hybrid Technology in three northern islands.

The Chinese Embassy in Colombo tweeted that the suspension was due to a “security concern” from a third party, and the company had inked a contract with the Maldivian Government on 29 November to establish solar power plants in 12 islands in the Maldives.

However, it was reported last Friday (3) that China had not withdrawn from the northern power projects.