Business

ADB-backed grid upgrade tender signals next phase of Sri Lanka’s energy transition

Published

5 months ago

2026/04/28

Solar panels – central to renewable energy generation

In a move that highlights Sri Lanka’s accelerating push toward a more resilient and renewable-powered electricity system, the National System Operator Private Limited (NSO) has called for international bids to modernise the country’s core grid management infrastructure.

The tender—issued under the Power System Strengthening and Renewable Energy Integration Project (PSSREIP)—is backed by the Asian Development Bank (ADB), reflecting continued multilateral confidence in Sri Lanka’s energy reform trajectory despite recent economic headwinds.

At the heart of the project is the integration of a Renewable Energy Management System (REMS) with a fully upgraded SCADA/EMS platform at the National System Control Centre. While technical in appearance, energy experts say the implications are far-reaching: this is the digital backbone required for managing a grid increasingly dominated by intermittent renewable sources.

“This is not just another infrastructure upgrade—it’s a systems transformation,” a senior power sector analyst said. “Without this layer of intelligence, scaling up solar and wind becomes operationally risky.”

Sri Lanka has in recent years expanded its renewable energy footprint, particularly in solar and wind. But the lack of advanced real-time forecasting and dispatch capabilities has often limited how much of that energy can be safely absorbed into the grid. The proposed REMS integration directly addresses that bottleneck.

From a financial perspective, the project also highlights the continued role of concessional development financing in de-risking large-scale energy investments. The ADB’s involvement ensures not only funding support but also procurement discipline through its Open Competitive Bidding (OCB) framework—seen by analysts as a safeguard for transparency and technical quality.

The tender sets a relatively high bar for bidders, requiring prior experience in similar large-scale contracts exceeding USD 6 million and a minimum average annual turnover of USD 16 million. This suggests the project is likely to attract major international engineering and energy technology firms, potentially opening the door for advanced grid solutions and knowledge transfer.

Beyond its technical scope, the initiative comes at a critical time for Sri Lanka’s energy economy. Rising generation costs, fuel import pressures, and the need for tariff stability have intensified the urgency for efficiency gains within the system. A smarter grid—capable of optimising dispatch and reducing losses—could ease some of these structural pressures.

Moreover, the project aligns with Sri Lanka’s broader climate commitments and long-term goal of increasing renewable energy penetration. Analysts note that without investments in grid intelligence and flexibility, renewable targets risk remaining aspirational rather than achievable.

The deadline for bid submissions is May 14, 2026, with implementation expected to span approximately 18 months from contract award.

If executed effectively, the NSO-led initiative could mark a decisive shift—from a conventional grid struggling with variability to a digitally enabled system capable of managing the complexities of a modern energy mix.

For policymakers, investors, and consumers alike, the message is clear: the transition to clean energy is no longer just about adding megawatts—it is about building the intelligence to manage them.

By Ifham Nizam

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Business

HNB Finance strengthens Board with four independent directors

Published

11 hours ago

2026/09/13

Thilina Walpola

Newly appointed HNB FINANCE PLC Independent Non- Executive Directors (from left): Renuke Wijayawardhane, Shanti Gnanapragasam, Nabiha Mohamed and Dr. Thisuri Wanniarachchi

HNB FINANCE PLC has strengthened its Board with the appointment of four Independent Non-Executive Directors, effective September 8, 2026.

The new directors are Renuke Wijayawardhane, Shanti Gnanapragasam, Nabiha Mohamed and Dr. Thisuri Wanniarachchi, who collectively bring extensive experience in financial regulation, banking, risk management, corporate finance, investment strategy, development finance and public policy.

Wijayawardhane, an Attorney-at-Law and capital market professional, retired in July 2025 as Chief Regulatory Officer of the Colombo Stock Exchange after more than 31 years with the Exchange. His experience covers securities regulation, corporate governance, market infrastructure and compliance.

Gnanapragasam has over four decades of banking experience spanning treasury, risk management, credit and trade finance. She currently serves as an Independent Non-Executive Director of Cargills Bank, Wealth Trust and Vision Fund Lanka.

Mohamed is a corporate finance and investment professional who previously served as Lead Transaction Advisor at the State-Owned Enterprise Restructuring Unit of the Ministry of Finance, where she led five divestiture transactions worth over US$600 million.

Dr. Wanniarachchi brings over a decade of experience in development finance, institutional reform and social protection, including work with the World Bank and the Government of Sri Lanka.

Business

Prime Residencies hands over The Palace Gampaha

Published

11 hours ago

2026/09/13

Thilina Walpola

Prime Group Chairman Premalal Brahmanage speaking at the event

Prime Lands Residencies PLC has completed and officially handed over The Palace Gampaha, described as the largest planned gated residential community in Gampaha, to its homeowners.

The development, which commenced construction in 2021, is located two kilometres from Gampaha town and 100 metres from the Colombo-Kandy main road.

Spread across 13.5 acres, The Palace Gampaha comprises 480 two- and three-bedroom apartments in a ground-plus-three-floor development, with prices starting from Rs. 27.5 million.

The project allocates about 80% of its land to landscaped areas and common facilities, while the remaining 20% is used for apartment development. Facilities include a swimming pool, gymnasium, clubhouse, library, community kitchen, laundry, mini-mart and a daycare centre managed by the Lyceum Group.

The fully gated community also incorporates solar power for common areas, underground electricity cabling and a sewage treatment plant with water recycling facilities.

Prime Residencies said all statutory approvals required for the handover had been secured, including certifications from the Condominium Management Authority and registration of the Condominium Plan and Deed of Declaration.

Prime Group Chairman Premalal Brahmanage said the project reflected the company’s vision of creating large-scale residential communities designed to enhance the quality of life of Sri Lankan families.

The project is the latest addition to Prime Group’s portfolio of more than 70 gated community and apartment developments.

Business

SLANA warns NVOCC business losing ground amid THC concerns

Published

11 hours ago

2026/09/13

Thilina Walpola

SLANA Chairperson Swabha Wickramasinghe presenting a memento to Minister of Ports and Civil Aviation Anura Karunathilaka at the eventually

Sri Lanka’s Non-Vessel Operating Common Carrier (NVOCC) sector is losing ground despite the expansion of the industry in several regional markets, Sri Lanka Association of NVOCC Agents (SLANA) Chairperson Swabha Wickramasinghe said.

Wickramasinghe, re-elected for a third consecutive term at SLANA’s ninth Annual General Meeting last week said the continued difficulty in collecting Colombo Terminal Handling Charges (THC) as a separate land-based cost was among the key challenges facing the industry.

She said the practice placed Sri Lanka at a competitive disadvantage as principals consider the overall economics of operating through Colombo.

“When Sri Lanka becomes less commercially attractive compared with other regional destinations, the consequences eventually reach our members,” she said.

Wickramasinghe said a committee had been proposed at a recent meeting with the Minister and Deputy Minister to evaluate the THC issue, urging the authorities to expedite its appointment and review.

She also called for an early solution to the problem of uncleared salt containers at the Port of Colombo, which has resulted in delays in releasing empty containers.

With more than 75 NVOCC lines operating in Sri Lanka, she stressed the sector’s importance to regional trade, particularly links with India and China.

Ports Minister Anura Karunathilaka said Sri Lanka should expand regional business while exploring areas such as bunkering, freight forwarding and e-commerce logistics.