Energy Link

December 14, 2006 (LBO) – India and Sri Lanka are due to ink a million dollar agreement as early as next year to set up a mega transmission power line between both nations, an official said Thursday.

Linked between India’s city of Madurai and Sri Lanka’s Anuradhapura, the project aims to supply up to 1000 megawatts of power to Sri Lanka, possibly via an undersea cable spanning 150 kilometres.

“The tentative costs of the project is between 430 million dollars to supply 1000 megawatts of power along a high voltage transmission link and 340 million dollars to supply 500 megawatts of power,” Sri Lanka’s Media Minister, Anurapriyadharshana Yapa told reporters here.

Mooted in the 1970s, the concept to sell power to Sri Lanka was revived following a recent study by Power Grid Corporation of India.

Once approved by both governments, construction is expected to take between 36 to 40 months, according to Power Grid Corp.’s estimates.

“The rationale behind this bilateral power agreement, is that it gives Sri Lanka a source of alternative stable power supply,” Yapa, who is also the government’s chief spokesman said during the post-cabinet press briefing.


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