Japanese consortium to invest 15 Mn USD in 10Mw Solar Power Plant to meet future power crises.
Investment to reach 150Mn USD as project expands to 100Mw
Colombo. Monday 06 February 2017. A multi-million dollar project for the establishment of a Solar Power Plant in Sri Lanka is underway with investment from three prestigious Japanese companies through a Japanese consortium.
The companies which are Shibatasyoji Co., Ltd., SAWADACo. Ltd., and WQ Inc are renowned for their extensive expertise in establishing solar power plants in Japan and this pioneering scheme in venturing out to Sri Lanka will provide the country with the optimum knowledge in this area of competence. Shibatasyoji Co., Ltd., and SAWADACo. Ltd are the main investors while WQ Inc. will be providing the main components to the project.
The Japanese experts conducted a series of extensive research in this field, concluding that Sri Lanka is one of the most viable countries for solar power. In addition, the Sri Lankan government’s announcement in 2015 vesting its interest to establish a series of solar power plants in the country gave it the needed boost in laying the groundwork for this project.
The project is in partnership with TAD Lanka Investments, the local facilitating partner for the Project, and Sierra Technology Holdings (a subsidiary company of Sierra Holdings), the local EPC partner for the project.
The official signing ceremony took place last Friday 03 February between the Japanese Consortium and the two local entities with the initial commitment of establishing a 10 Mw solar power plant and an added pledge to invest in 100Mw solar power plant in future. The decision for the pledge will depend on the success on this primary effort, which will be monitored closely.
The target is to establish the project within a maximum time frame of eighteen months, which depends entirely on the Sri Lankan government’s willingness to issue Standard Power Purchase Agreements (SPPA) to potential Investors. The Government’s efficiency in processing the SPPA with expedite the establishment of the solar power plants by the investors.
“This project will set the benchmark for future projects of this calibre in Sri Lanka paving the way to meet the impending power crisis and we are willing to give our unstinted support towards reaching success in this field”, remarked a representative of the Japanese Consortium.
“TAD Lanka Investments is proud to be involved in this gigantic venture which provides the country with stability and certain growth in the technology that promotes the usage of sustainable and renewable energy. It also addresses the crisis at hand, while opening variable opportunities for further investment to Sri Lanka in this area”, commented Mr. Atheeq Ansar (Director/CEO) of TAD Lanka Investments.
TAD Lanka Investments (TAD) was founded in May 2016, for the main purpose of streamlining and safeguarding all types of foreign investments and investors channeled to Sri Lanka. During its brief period of operation TAD has, in effect, successfully streamlined many significant investments and continues to gain a reputation as a top- notch company among its ever-growing clientele.
This project is a welcome effort as experts predict the power crisis which Sri Lanka is due to face in 2018 due to the inability to cope with the high demand for power. Such projects are of vital importance to improving the stability and Infrastructure of the country.
With the government focusing on securing more FDIs to the country, encouraging such projects will benefit Sri Lanka in the long term and encourage more investors to follow suite. Therefore, the importance of this project and the pledge to invest more solely depends on the success of this premier project.