Sri Lanka, India in talks on power exchange

July 06, 2010 (LBO) - Sri Lanka and India are having talks on exchanging power to help meet demand during peak times, with the island expecting an energy surplus and no more power cuts, an official said.



"It's like a flower opening. When all these infrastructure projects come into operation there will be a quantitative and a qualitative change in society and the economy.



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Several coal and hydro power plants, two new ports and an international airport are being built or planned along with new highways and railways.

The construction of a highway between the Colombo and the international airport at Katunayake, north of the capital, on which the earthworks were now complete, should reduce travel time to 20 minutes.

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"The southern highway is almost complete and a highway between Colombo and Kandy (in the central hills) is under discussion," he said.

The government was also liberalising laws on investment to make it easier to do business in the country with the end of a 30-year war in May 2009 when Tamil separatists were defeated.

Deputy finance minister Sarath Amunugama said the island's huge investments in infrastructure like power would help speed up growth and transform the economy and so