India Strengthens Ties with Sri Lanka Through Hybrid Power Projects

In a significant demonstration of India’s ongoing commitment to regional development and energy cooperation, the High Commissioner of India to Sri Lanka, Santosh Jha, handed over the first payment for the implementation of hybrid power projects on the islands of Delft, Nainativu, and Analaitivu.

India’s high commissioner to Sri Lanka, Santosh Jha initiated the first payment for the Hybrid Power Projects aimed at reducing the energy needs of Three islands, Delft,Nainativu and Analaitivu.

Bridging the Energy Gap in Northern Sri Lanka

Jha handed over $1 million to Sulakshana Jayawardena, the Secretary of Ministry of Power and Energy and Chairperson of Sri Lanka Sustainable Energy Authority (SLSEA). The Hybrid project will provide energy to the three islands off northern Jaffna, which are not connected with the national grid. These projects are assisted by the Indian Grant Assistance which plans to provide $11 million for this project. 

The hybrid power projects will utilize a combination of solar and wind energy to optimize power generation and provide a stable supply to these remote communities. 

According to the Indian High Commission, initial work has already begun at the three sites, with the project expected to be completed by early March 2025 and handed over by late April 2025. The contract for the implementation of the hybrid renewable energy projects was awarded to U Solar Clean Energy Solutions Pvt. Ltd in March 2024, following the signing of a Memorandum of Understanding (MoU) between India and Sri Lanka in March 2022.

Expanding Energy Ties with Sri Lanka

India and Sri Lanka are also cooperating on other energy initiatives. Earlier this month, an MoU was signed between Sri Lanka’s LTL Holdings Ltd and India’s Petronet LNG for the development of storage facilities and a regasification unit in Kerawalapitiya, along with the supply of Liquefied Natural Gas (LNG) for several power plants in Sri Lanka, including Yugadhanavi and Sobadhanavi.

This 18-month program aims to reduce energy costs from thermal power generation, stabilize the grid for renewable energy integration, and create a domestic market for LNG in Sri Lanka. According to Sri Lanka’s Power & Energy Minister Kanchana Wijeseke, the 18 month programme aims to supply ISO containers from Petronet LNG Kochi Terminal to Port of Colombo and Kerawalapitiya.

Minister Wijesekera noted that this initiative will reduce energy costs from thermal power generation by 2026, aid Sri Lanka’s transition to cleaner energy, and enhance grid stability for integrating renewable energy. Additionally, it will help establish a domestic LNG market and facilitate future LNG bunkering and other local LNG needs, as per his statement on X. 

All these projects stands a testament of India’s commitment to stand as an all weather partner for Sri Lanka and to build strategic bilateral relations with the Island nations in the face of China’s growing influence.