Sri Lanka Blocks Adani Wind Farms Over Compliance Issues

Public Utilities Commission Denies Approval for Adani Wind Farm Projects

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Adani Corporate House in Ahmedabad | AP

Colombo, June 23, 2024 — The Sri Lanka Public Utilities Commission (PUCSL) has refused to grant approval for the procurement of the 484 MW Mannar and Punarin wind farms to India’s Adani Green Energy Ltd (AGESL).

The decision, disclosed by the Sri Lanka Electricity Board (CEB), was based on insufficient assessment of both cost and technical compliance.

According to a letter sent by the PUCSL to the Acting General Manager of the CEB, reported by the ‘Sunday Times,’ essential information, including the complete Power Purchase Agreement (PPA) between the CEB and Adani, has not been provided.

The CEB had sought approval under the Sri Lanka Electricity Act to award the projects to Adani.However, critical timelines related to the draft PPA, the Memorandum of Understanding (MoU) with the Government of India, and the Attorney General’s Department’s permission to sign the MoU post-Cabinet approval in March last year, were not presented.

Additionally, there was a lack of details on the construction of a 400-kilowatt transmission line from Kilinochchi to Habarana and the associated cost recovery mechanism. Information regarding bid values for the 50 MW wind farm in Mannar was also missing.Moreover, the PUCSL’s letter highlighted the absence of the Environmental Impact Assessment (EIA) results issued by the Central Environment Authority (CEA) and details of the environmental permit.

Sri Lanka Guardian

The Sri Lanka Guardian is an online web portal founded in August 2007 by a group of concerned Sri Lankan citizens including journalists, activists, academics and retired civil servants. We are independent and non-profit. Email: editor@slguardian.org

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