Upali Daranagama

Additional Secretary (Planning and Development)

Ministry of Power and Energy

The views expressed in this presentation are those of the presenter and do not necessarily represent those of the Asian Development Bank.
 Power Sector Overview

Installed Capacity 2768 MW

○ Hydro 1205 MW
○ Thermal 1379 MW
○ NCRE 183 MW

Generation
○ Hydro 40%
○ Thermal 60%

Electrification Level 87%

○ Grid Connected 85%
○ Off –Grid 2%
Map of Sri
Lanka
Transmission
System in Year
2009
Wind

Good Potential
 Reliable monsoons
 Long coastal belt

West coast and central hills
 6-7 m/s mean annual
wind speeds
General Wind Climate

Is largely influenced by the Asian
Monsoon system.

Local pressure gradients become active
during inter-monsoon periods.

Steady moderate winds are found
across flat land and in coastal regions.

Highly site specific and strong winds on
mountains – but of shorter duration.
 Past / Ongoing Activities

Pilot Wind Power Project in 1999

○ 3 MW, 5 Turbines in Southern region

First 10 MW commercial wind plant

commissioned in June 2010

20 MW plant is under construction
 Facts supporting wind power

Strong to moderate wind regimes are
available in many parts of Sri Lanka.

Infrastructure, such as roads,
communication, grid network are of
reasonable standard.

Human resource base is of high quality.

Industrial & construction facilities are of
reasonable standard.
 Major Issues/Barriers

Grid interconnection issues have not been
adequately addressed – e.g. system stability,
spinning reserve needs, grid penetration levels, power
quality, etc.

Already considerable amount of embedded generation (6%)
through minihydro plants which are not centraly dispatched.
This strongly limits the further addition of varying source of
power such as wind.

Poor Load Factor

Opportunity cost of capital is high. Large number of
competing projects. Only better returns on investments can
attract the funds for wind power development.

Lack of long term accurate wind data base. There is strong
need for continuing on going wind measurement activities for
at least five years.
 Business Environment

Enthusiasm on wind development is
high among the local private sector.

World Bank is operating a special credit
line for renewables, including wind
power.

Carbon trading policies are being
developed.
 National Policy on Renewable
Energy Development
The Government will endeavour to reach a
level of 10% of grid electricity using NRE by
2015 (it is 4.6% end 2009).

Availability of Standardized Power Purchase

Agreement(SPPA) for less than 10 MW plants
○ Simple approach
○ What ever produced will be purchased
○ Acceptable to banks
○ Low transaction costs

Resource allocation
○ First come first served basis
○ Devoid of cumbersome competitive processes
Institutional Framework

Sustainable Energy Authority

(a) to identify, assess and develop renewable

energy resources with a view to enhancing
energy security and thereby derive
economic and social benefits to the
country;
Powers, Duties and Functions

Formulating national energy policy

Identify, conserve, inventorise and manage all
renewable energy resources and technologies
○ Assess resource potential and prepare resource maps
○ Declare energy development areas
○ Render professional services in project formulation

Develop a long term renewable energy plan
○ Interim targets for each resource
○ Prepare development guidelines

Mobilise financing
○ Grants for pilots, Credit enhancement and concessionary funds
○ Technical services to DNA on CDM projects
Our vision

Sri Lanka has become a forerunner in the
renewable energy industry
○ Country to tap the maximum possible potential of
renewables.
○ A complete resource inventory
○ Networks of agencies for R&D and rural energy
services
○ Catalyse the growth of renewable related industry
 Consulting (professional services )
 Local manufacture of conversion equipment