Chinese investments main reason for low-cost renewable energy in SL

Prices of a watt of PV solar dropped from $ 5 to 7 cents within ten years   

By Huzefa Aliasger  

Chinese investment in the renewable energy sector is the reason why people enjoy low-cost energy and helped Sri Lanka transition from fossil fuel to renewable energy, which currently produces over 50 per cent of energy, an official said.  

Director General of Sri Lanka Sustainable Energy Authority (SLSEA) Harsha Wickramasinghe told the Daily Mirror that the lack of investment in renewable energy and land remains a key issue in the renewable energy sector in Sri Lanka. 

“Previously, renewable energy was more expensive than fossil fuel in Sri Lanka, but the Chinese investments brought down the cost to unimaginably low levels. Within ten years, prices of a watt of PV solar dropped from $ 5 to 7 cents,” he added.  

Mr. Wickramasinghe also said that solar power reached grid parity, which refers to the point at which solar electricity fed to the grid is at least as cheap as electricity from fossil fuels, six years before the forecasted year, due to Chinese investments.  

He added that by 2030, Sri Lanka looks towards having 70 per cent of energy generation done by renewable energy.  

The Sri Lankan government aims to expand renewable energy sources for electricity generation, targeting 6,790 MW by 2030, up from 3,815 MW currently, with a projected 14.5 billion units from renewable sources meeting the total electricity demand of 17.5 billion units in 2025. The “Green Energy Acceleration Plan 2025-2030” emphasises leveraging both local and international partnerships to achieve these goals.