Sri Lankan Hydropower project contract awarded

8 December 2010

China National Electric Equipment Corporation (CNEEC) has won the contract to construct a Hydropower Plant on the Kelani River in Sri Lanka.

The USD 82M project requires the construction of an 850m long diversion tunnel and a 3.5km headrace tunnel.

Environmental clearance has been granted and construction is expected to begin in early 2011, lasting four years.

The funding for the project has been agreed and will take the form of a series of commercial loans provided by the Industrial and Commercial Bank of China as well as the People’s Bank of Sri Lanka.

The 35MW plant is expected to add 126GWh to the national grid annually and forms the final piece of the Laxapana cascade system, which totals 350MW.

The plant also requires the construction of a 24m high and 114m long concrete dam, a 19m high and 48m long diversion dam and a 132KV transmission line.