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ADB approves US$115m loan for electrification programme in Sri Lanka

The Asian Development Bank (ADB) has approved a loan of US$115m and US$3.8m in grants to help Sri Lanka meet its goal of achieving 100% electrification and improve the reliability of its electricity supply, including in former strife-torn areas and on small isolated islands. The grants comprise US$2m from the Japan Fund for Poverty Reduction and US$1.8m from the Clean Energy Fund under the Clean Energy Financing Partnership Facility, a multi-donor facility administered by ADB.



To upgrade the existing medium voltage network, new lines and associated equipment will be installed, while the rural electrification network will be extended with thousands of kilometers of low voltage lines put in place to connect households to the national grid, and thousands of distribution meters with a remote reading facility installed. Hybrid renewable energy systems using a combination of wind, solar and efficient diesel generation, along with the installation of energy-storing long life lithium-ion batteries will provide a reliable electricity supply for communities on three isolated islands in the Jaffna area of the Northern Province (Analativu, Delft, and Nainativu). A renewable energy micro-grid will also be installed in Western Province.



Improvements to the medium voltage network, meanwhile, will enhance the quality and reliability of electricity supplied to more than 493,000 customers, while the rural upgrades will help deliver reliable electricity to over 35,700 rural households.