CEB infrastructure development to be bolstered with USD 150 million ADB loan

By Ifham Nizam

The Asian Development Bank (ADB) yesterday signed an agreement to provide a USD150 million loan to the Ceylon Electricity Board (CEB), marking a significant step forward in Sri Lanka’s energy infrastructure development.The agreement follows extensive evaluations by the ADB on the technical, economic and social merits of CEB’s proposed investment projects.

CEB media spokesperson, Eng. A.D.K. Parakramasinghe, told The Island Financial Review that this loan will enable CEB to implement key projects in the long-term transmission plan from 2025 to 2027, enhancing the reliability and stability of national grid. “Importantly, it supports the integration of large-scale renewable energy projects into the national grid, he said.

He said that the financing will cover the construction of six new grid substations, 87 kilometers of 132 kV transmission lines, 45 kilometers of 220 kV transmission lines and the augmentation of two existing grid substations.

“These developments are expected to significantly bolster the capacity and efficiency of the CEB’s transmission network, which currently spans 3,400 kilometers of high-voltage lines and 90 grid substations, he added.

Parakramasinghe emphasized the broader impact of this initiative: “The improvements funded by this loan align with our commitment to sustainable energy development and ensuring reliable electricity for over 7.5 million customers across Sri Lanka.

“The loan approval in November 2024 highlights ADB’s confidence in CEB’s strategic direction, particularly in integrating renewable energy sources into the country’s power system—a move seen as pivotal for sustainable development in Sri Lanka, he stressed.