Bhathiya Barukanda
- Sobadhanavi Power Plant to Be Inaugurated on 28th August.
- Aim is to Ensure Continuous, Quality Electricity Supply at Minimum Cost.
- Opportunity to Strengthen President’s Program for Transition to Renewable Energy – Minister of Power and Energy Kanchana Wijesekera.
A significant milestone in Sri Lanka’s energy sector unfolded today (20) with the signing of a Memorandum of Understanding (MOU) between LTL Holdings Limited Sri Lanka and Petronet LNG Limited India. The MOU focuses on the development of infrastructure for the storage, regasification and supply of Liquefied Natural Gas (LNG) for the “Sobadhanavi” Combined Cycle Power Plant in Kerawalapitiya.
The signing ceremony took place this evening at the Galadari Hotel, Colombo. Chief Executive Officer of LTL Holdings Limited Mr. Nuhuman Marikkar and Chief Executive Officer and Managing Director of Petronet LNG Company Mr. Akshay Kumar Singh signed the agreement on behalf of their respective organizations.
Speaking at the event, Minister of Power and Energy Kanchana Wijesekera highlighted that this initiative is a key part of President Ranil Wickremesinghe’s broader energy strategy. The initiative aims to ensure a continuous and high-quality electricity supply at a minimal cost, ultimately benefiting consumers across Sri Lanka.
The partnership between LTL Holdings and Petronet LNG Limited represents a significant step in Sri Lanka’s efforts to modernize its energy infrastructure, reduce dependence on traditional fuel sources, and transition toward a more sustainable and cost-effective energy future.
Minister Wijesekera noted that, despite the government’s difficult policy decisions regarding electricity tariffs over the past two years, the Ceylon Electricity Board (CEB) has become a debt-free, robust institution. This financial stability has attracted new agreements and encouraged both local and foreign investment in the energy sector.
As an interim solution for LNG supply to the Sobadhanavi Power Plant, the partnership has devised a technical arrangement to import LNG from Petronet’s terminal in Kochi, India, using cryogenic ISO containers. Once the LNG arrives at Colombo Port, it will be transported in ISO containers to the Kerawalapitiya storage and regasification terminal, which will be constructed adjacent to the Sobadhanavi plant.
The first phase of the Sobadhanavi plant is set to be commissioned in August 2024, with the second phase scheduled for the first quarter of 2025. Developed and operated by Lakdhanavi Limited, the power development arm of LTL Holdings, the plant will significantly enhance Sri Lanka’s energy generation capabilities. This project aligns with the government’s vision of a sustainable and economically viable energy future, marking considerable progress in the nation’s clean energy transition.
The use of LNG, a cleaner energy source, will play a crucial role in reducing greenhouse gas emissions, helping Sri Lanka meet its environmental targets. Additionally, the cost efficiency of LNG is expected to lower power generation costs, provide economic relief to consumers, and support the country’s broader economic growth.
