Adani group investments of USD 442 million approved by Sri Lanka

Colombo: Sri Lanka's investment promotion body has approved two renewable energy projects of India’s Adani group to be set up in the north and eastern regions of the island nation at a total investment of USD 442 million.

The wind power plant in Mannar will operate at a capacity of 250 MW (megawatt) while the wind power plant in Pooneryn will operate at a capacity of 100 MW.

“The Board of Investment of Sri Lanka has issued a letter of approval to India’s Adani Green Energy Limited, for the two wind power plants to be set up in Mannar and Pooneryn at a total investment of USD 442 million," a release said on Thursday.

The two wind power plants of 350 MW are scheduled to be commissioned in two years and they will be added to the national grid by 2025.

The new project will generate 1500-2000 new employment opportunities.

Early this week, the Adani Group representatives met the minister of Energy Kanchana Wijesekara to check on the progress of the two projects.

This was the first official meeting since US-based short seller Hindenburg Research made a litany of allegations, including fraudulent transactions and share-price manipulation, against the Indian conglomerate. The company has dismissed the charges as lies, saying it complies with all laws and disclosure requirements.

The Adani investments in Lanka's energy sector are in addition to their investment in the port of Colombo's Western container terminal.

Gautam Adani, the group's chief, had met the then president Gotabaya Rajapaksa in October 2021 to push ahead with the group's investments in the country after they annexed the deal to develop the Colombo port's western container terminal under the Rajapaksa presidency.