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Solar industry warns of crisis amid power curtailment
President of the Grid Connected Solar Power Association of Sri Lanka (GCSPASL), Prabath Wickramasinghe, said the national grid is losing nearly four million units of electricity per day due to the continued curtailment of grid-connected solar power plants.
Addressing a press conference in Colombo last week, Wickramasinghe warned that Sri Lanka’s renewable energy sector is facing a deepening crisis as prolonged power curtailment threatens the viability of local solar developers. Industry representatives cautioned that continued uncertainty could lead to widespread financial losses and the eventual collapse of the sector.
He noted that local solar developers currently supply approximately 1,800 MW of clean energy to the national grid. However, the Association said that for more than nine months since February 2025, power generation from large renewable energy plants has been curtailed on weekends and public holidays. While the Ceylon Electricity Board (CEB) has described the measure as an “emergency,” industry stakeholders argue that a recurring practice over several months cannot reasonably be classified as such.
According to Wickramasinghe, the curtailment has reduced monthly revenues of ground-mounted solar power plant owners by around 15 percent, severely disrupting cash flows. He stressed that these plants operate under “Must Run” status as specified in their Power Purchase Agreements (PPAs), and that curtailment therefore constitutes a breach of contractual obligations.
The Association also highlighted delays in the implementation of Battery Energy Storage Systems (BESS), despite developers expressing readiness to invest in storage facilities to absorb excess daytime solar generation and supply power during night-time peak demand. Although the Cabinet approved a tariff of Rs. 45.80 per unit in June 2025 and granted tax concessions in September, the CEB has yet to issue implementation guidelines or amend PPAs, despite directives from the Ministry of Power. As a result, the country continues to rely on expensive diesel-based power generation, placing further pressure on foreign exchange reserves.
Concerns were also raised over the proposed National Electricity Policy (2025). The Association warned that the planned removal of the Feed-in Tariff (FIT) mechanism—under which 92 percent of projects below 10 MW currently operate—would marginalise small and medium-scale local developers. The proposed shift to fully competitive bidding, curtailment without compensation, and rupee-denominated contracts were cited as increasing financial and exchange rate risks for investors.
The Association cautioned that these policy changes could lead to a rise in non-performing loans in the banking sector, as many renewable energy projects are financed through local banks and are now struggling to meet repayment obligations.
Calling for urgent government intervention, the Association urged authorities to immediately issue BESS-related guidelines, compensate developers for past losses, and retain the FIT system. Industry leaders stressed that private sector participation is essential to achieving Sri Lanka’s renewable energy targets by 2030, warning that continued delays could have long-term consequences for the economy and national energy security.
The Ambassador of Switzerland to Sri Lanka Dr. Siri Walt paid a courtesy call on Prime Minister Dr. Harini Amarasuriya on the 17th of February at the Temple Trees.
Welcoming the Ambassador of Switzerland to Sri Lanka the Prime Minister briefed the Ambassador on her recent visit to Davos to participate in the World Economic Forum Annual Meeting noting that the series of high-level bilateral meetings held on the sidelines of the Forum, along with two important industry visits provided valuable insights for Sri Lanka’s economic engagement.
The discussion focused on Switzerland’s vocational education and training (VET) system, with particular interest in exploring possible cooperation and knowledge-sharing opportunities.
The Prime Minister also conveyed her appreciation for the assistance extended by the Government of Switzerland following Cyclone Ditwah. She emphasized Sri Lanka’s need for enhanced technical assistance during the ongoing rebuilding phase, especially in relation to the reconstruction of bridges and railway infrastructure.
Both sides reaffirmed their shared commitment to further strengthening bilateral relations between Sri Lanka and Switzerland, and to expanding cooperation in areas of mutual interest.
First Secretary (Political) of the Embassy of Switzerland in Colombo Ms. Justine Boillat, First Secretary (Migration) of the Embassy of Switzerland in Colombo Ms. Andrea Kienast and the Secretary to the Prime Minister, Pradeep Saputhanthri, Additional Secretary to the Prime Minister, Ms. Sagarika Bogahawatt and officials from the Ministry of Foreign Affairs , Foreign Employment, Tourism.attended the meeting.
[Prime Minister’s Media Division]
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Advisory for low pressure area in the Southwest Bay of Bengal to the south-east of Sri Lanka
Advisory for low pressure area in the Southwest Bay of Bengal to the south-east of Sri Lanka.
Issued by the Natural Hazards Early Warning Centre of the Department of Meteorology at 03.00 pm on 18 February 2026
Multiday boats fishermen and naval community are warned that the low-pressure area still persists over the Southwest Bay of Bengal to the south-east of Sri Lanka. Under the influence of this system, heavy showers or thundershowers, Strong winds about (50-60) kmph, and rough or very rough seas can be expected in these sea areas.
The Meteorological Department is constantly monitoring the behavior of the system.
The naval and fishing communities are requested to be attentive to the future forecasts and bulletins issued by the Department of Meteorology in this regard.
Canada, said to be the home to the largest Tamil Diaspora community, has expressed concern over the delay in holding Provincial Council (PC) elections. Canadian High Commissioner Isabelle Martin, on Monday (16), took up the issue with Public Administration, Provincial Councils and Local Government Minister Professor Chandana Abayaratne.
Sources quoted Prof. Abayaratne as having told the Canadian HC that the delay was not deliberate on the part of the government. The Minister blamed, what the sources called, certain legal, technical and delimitation issues for the delay.
India compelled Sri Lanka to enact the 13th Amendment to the country’s Constitution to enable the setting up of the Provincial Council system, in line with the Indo-Lanka Peace Accord, which Sri Lanka signed under duress in July 1987.
Prof. Abayaratne has assured the Canadian HC that President Anura Kumara Dissanayake, too, recognised the importance of strengthening the Provincial Council system as a solution to ethnic issues and that urgent steps would be taken in that regard.
During the discussion, matters relating to strengthening political, economic and social relations between the two countries were discussed.
In May 2020, Canada declared that Sri Lanka had perpetrated genocide during the war against the LTTE. Canada also sanctioned former Presidents Mahinda Rajapaksa and Gotabaya Rajapaksa in January 2023 over alleged war crimes.
The Canadian HC also explained her country’s ‘Indo-Pacific’ strategy and how Sri Lanka could benefit from it.
In particular, Canada’s “Pathways to Peace” project will support reconciliation between nations, and to improve communication by encouraging the learning of mutual languages as a second language, and it was also agreed to provide more opportunities for Sri Lankan students to pursue higher studies in Canada.
The Canadian delegation also expressed its willingness to provide the necessary technical assistance to solve the drinking water problems in Puttalam, Mannar and the North-Eastern provinces under technical cooperation, and to implement the relevant projects after a preliminary study.
by Shamindra Ferdinando
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