Sri Lanka will certainly Use $100 Million Indian Credit Line for Rooftop Solar

• The Sri Lankan Government is mulling over releasing rooftop photovoltaic panels on government buildings and religious locations to relieve the electricity tariff.
• In July, 2021, India had actually signed a contract with Sri Lankan Government to expand a USD 100 million Line of Credit (LOC) to Sri Lanka for various solar power projects.

In the middle of the acute recession as well as enhancing losses to the state electricity circulation entity, the Sri Lankan government has actually decided to make use of the line of credit report worth $100 million given by India. In July, 2021, India had authorized an agreement with Sri Lankan Government to extend a USD 100 million Line of Credit (LOC) to Sri Lanka for various solar power projects to assist the island country's 70 percent power demands to be fulfilled by renewable resource resources by 2030.

Sri Lanka's Energy Minister Kanchana Wijesekara has actually said in a statement that $100 million credit line prolonged by India for roof solar shall be utilized to solarize schools, universities, instructional institutes, health centers, government buildings and religious institutions.

The Sri Lanka government is facing prevalent criticism and also protests because of high tariffs on electricity. Last August, the government raised the electricity rates by around 75 per cent after a gap of nine years in order to load the loss space of Ceylon Electricity Board (CEB), the state power entity.

The religious leaders of Sri Lanka had been objecting the rising electricity expense in the nation. The Public Utility Commission of Sri Lanka after that claimed that rates with concession will be supplied to the religious organizations which make about 48,000 in numbers in Sri Lanka.

Energy Minister Wijesekara, however, held that the CEB Commission needs to notify CEB on how the electricity rates will be subsidised.

Sri Lanka recently declared global financial debt default as a result of FOREX crisis. It has an overall international financial obligation of $51 billion as well as $28 billion must be paid by 2027. Recently, the Indian Government offered an aid of regarding $4 billion to aid Sri Lanka battle its worst economic crisis.

In 2015, Sri Lanka introduced spending much more rooftop solar energy installations in the country as it aims to achieve carbon-neutral electricity generation system by 2050.