ADB to give USD 350Mn for power and road projects

Nov 23, 2017 (LBO) – Sri Lanka’s Govenment and has entered into two loan agreements with Asian Development Bank (ADB) to borrow 150 million US dollars to develop rural roads and 200 million US dollars for the implementation of Power Project.

The Ministry of Finance and Mass Media, Wednesday entered into two Loan Agreements with Asian Development Bank (ADB) to borrow USD 150 million for the development of 3400 km of rural roadways and 200 million US dollars for the implementation of 100 MW Wind Power Generation Project in Mannar Island.

Under the first phase of this program 3,108 km of rural access roads and 248 km of national roads in Southern, Central, Sabaragamuwa, North Western, North Central Provinces and Kalutara District in Western Province are being improved and maintained.

The total investment cost of the first tranche of this project is 172.1 million US dollars.

ADB provides USD 150 million and the Government Contribution will be USD 22.1 million.

The 100 MW wind farm will be constructed in Mannar Island of the Northern Province under the proposed project.

In addition, wind park infrastructure will be developed including Wind Park’s internal medium voltage infrastructure, internal cabling and access roads; establishment of a renewable energy dispatch control center for the forecasting, controlling and managing intermittent 100 MW wind power generation.

The total investment cost of this project is 256.7 million US dollars of which 200 million will be provided by ADB as a direct loan to CEB under a Treasury Guarantee. The balance 56.7 million US dollars will be financed by CEB.