By During the election campaign, President Anura Kumara Dissanayake pledged to terminate the contentious project if elected to office.
The Sri Lankan government, under the leadership of President Anura Kumara Dissanayake, formally notified the Supreme Court on Monday of its intention to reevaluate the approval previously granted by the former administration for the Adani Group’s wind power project, according to reports from the PTI news agency.
Sri Lanka’s Attorney General informed a five-judge Supreme Court bench that the decision to review the project approval was made during a Cabinet meeting held on October 7. He further stated that the final determination by the new government would be communicated once the newly appointed Cabinet is sworn in following the parliamentary elections on November 14.
In 2022, the Adani Group proposed an investment of $440 million for the development of 484 megawatts (MW) of wind power in the northeastern regions of Mannar and Pooneryn. Petitioners who approached the Sri Lankan Supreme Court have alleged a lack of transparency in the bidding process that led to the approval of the project for Adani Green Energy, a subsidiary of the Adani Group. They contend that the agreed tariff of USD 0.0826 per kWh would result in significant financial losses for Sri Lanka and advocate for a reduction of the rate to USD 0.005 per kWh.
In the lead-up to the presidential election on September 21, Dissanayake of the National People’s Power (NPP) alliance committed to canceling the Adani Group’s wind power project if elected to office.
Other Adani Projects in Sri Lanka
In 2021, the Adani Group secured a contract to develop and operate the West Container Terminal (WCT) at the Colombo Port, one of the region’s busiest trans-shipment hubs. This initiative is a joint venture with Sri Lanka’s John Keells Holdings and the Sri Lanka Ports Authority (SLPA), with the Adani Group holding a 51% stake in the terminal.
The project is anticipated to involve an investment of approximately $700 million, significantly enhancing the port’s capacity. This initiative is perceived as a strategic effort to counterbalance China’s influence in the region, particularly in light of Beijing’s development of the nearby Colombo International Container Terminal (CICT) and the Hambantota Port.
