Sri Lanka, India sign agreement for infrastructure development of LNG-based power plant

The Sri Lankan government and an Indian firm have joined hands to develop a groundbreaking infrastructure project that will revolutionize power generation in the island nation. The agreement, signed between Sri Lanka’s LTL Holdings Limited and India’s Petronet LNG Limited, aims to develop storage, regasification, and LNG supply infrastructure for the Sobadhanavi Combined Cycle Power Plant in Kerawalapitiya, north Colombo.

The signing ceremony, attended by Sri Lankan Minister of Power and Energy Kanchana Wijesekera and Deputy High Commissioner of India Satyanjal Pandey, marks a significant step towards reducing the cost of energy production and transitioning to cleaner forms of power generation. Wijesekera highlighted the potential for a fifty percent reduction in power generation costs compared to traditional fuel usage.

The Sobadhanavi Combined Cycle Power Plant, a 350 MW LNG-based project, is set to become the largest independent power producer in Sri Lanka once commissioned. This milestone project will not only pave the way for greener energy solutions but also contribute to stabilizing the grid for renewable energy integration and creating a domestic market for LNG.

The initiative, set to be implemented over an 18-month period, will facilitate the supply of LNG through ISO containers from India’s Kochi Terminal to the Port of Colombo and Kerawalapitiya for the operation of 1000 MWs of LNG power plants. This strategic partnership between Sri Lanka and India underscores the commitment to sustainable energy practices and the promotion of clean energy transformation.

The development of the Sobadhanavi Combined Cycle Power Plant represents a significant leap forward in Sri Lanka’s energy landscape, setting the stage for a more sustainable and environmentally friendly future.