Cabinet Spokesman and Minister Nalinda Jayatissa said that the government had no intention of cancelling the wind energy project in Mannar with Adani Green Energy and said the company withdrew from the project after failing to reach an agreement on providing electricity at the lowest possible rate.
Last week, Adani Green Energy, a subsidiary of Indian billionaire Gautam Adani’s Adani Group, decided to withdraw from its wind energy project in Mannar, Sri Lanka.
When journalists questioned the Minister about Adani Group’s decision to pull out, Jayatissa clarified that the government was exploring alternatives to ensure citizens receive energy at a reasonable price, whether through local companies or foreign investors.
“The government has been working to lower electricity rates since we took office. At a recent Cabinet meeting, we only discussed reducing the unit rate from USD 0.0826 and not cancelling the project. We even tried to negotiate for a lower rate similar to the rates that Adani offers in India. Unfortunately, we couldn’t come to an agreement, which is one of the main reasons why Adani decided to leave,” the Minister said.
He said another company has agreed to provide electricity at a rate lower than Adani’s.
“Some critics claim that foreign investors are leaving the country after we came into power, but this is not the case. Despite one investor leaving, there are still opportunities for more investors to come to Sri Lanka and invest at a reasonable price”, Minister Jayatissa said.
When asked whether the government is willing to re-engage with the Adani Group for further discussions, the Minister said that he cannot not comment on the matter at this time.
He said that the government will need to assess how much Adani is willing to lower the price before considering further negotiations.