June 20, 2011 (LBO) – Sri Lanka has signed a deal with the Asian Development Bank (ADB) to get financial aid worth 120 million US dollars part of which will go to private power firms and hydro schemes on plantations. “The project will contribute to a reliable, adequate and affordable power supply for balanced and sustainable economic growth in Sri Lanka,” am ADB statement said.
“It will also help private developers and plantation estates to rehabilitate and connect their micro hydro plants to the main grid on net metering basis.”
Financing of rehabilitation of the micro hydro power plants will be done through a credit line.
“The credit line would be open to estate plantation companies and private sector developers who wish to connect their micro hydro power plants to main grid on the basis of a net metering agreement,” the ADB said.
The state power utility, Ceylon Electricity Board, and the Sustainable Energy Authority under the Ministry of Power and Energy will be the project implementing agencies.
The project is scheduled to be completed by April 2014.
The total investment cost of the project is 162.03 million dollars (17,553 million rupees) of which 42.03 million dollars (4,553