India to Replace China in Setting up Power Projects in Sri Lanka
NEW DELHI, March 29: India will set up hybrid power projects in three Sri Lankan Islands off Jaffna, effectively replacing the Chinese venture cleared by Colombo last year.
The MoU for the projects was among those signed during a meeting between visiting External Affairs Minister (EAM) S. Jaishankar and his Sri Lankan counterpart G.L. Peiris late on Monday. It is the third Indian energy project coming up in Sri Lanka’s north and east, after the recent agreements for National Thermal Power Corporation’s solar venture in the eastern Sampur town, and the Adani Group’s renewable energy projects in Mannar and Pooneryn in the north.
Sri Lanka had in January, last year, had awarded three renewable energy projects in Nainativu , Delft or Neduntheevu and Analaitivu islands to Chinese company Sinosoar-Etechwin, following an Asia Development Bank-backed competitive bid. India was quick to express concern to the Sri Lankan side over the Chinese project coming up in the Palk Bay, barely 50 km off Tamil Nadu. India had offered to execute the same projects with a grant rather than a loan. Unable to pick a side for over a year, Colombo kept the project in suspension, apparently putting off China. In a recent press briefing, the Chinese Ambassador in Colombo voiced rare criticism over the projects being interrupted for “unknown reasons” and said it sent out the wrong message to potential foreign investors.
Meanwhile, India and Sri Lanka have also agreed to set up a Maritime Rescue Coordination Center (MRCC), signalling greater defence sector collaboration between the neighbours. The initiative, involving Bharath Electronics and a $ 6 million Indian grant, obtained Cabinet approval last week. India will also help develop fisheries harbours in Point Pedro, Pesalai, and Gurunagar in the Northern Province, and Balapitiya, south of capital Colombo, in addition to supporting schools in the southern Galle district with computer labs and smart boards, extending a grant for Sri Lanka’s Unique Digital Identity project, and collaborating in diplomatic training, a statement said.
The EAM also met Fisheries Minister Douglas Devananda, and discussed the fishermen’s conflict and power devolution, the Indian High Commission’s statement said.
(Manas Dasgupta)
