Adani Group to invest $750 million in renewable energy in Sri Lanka

1. Adani Group to invest $750 million in renewable energy in Sri Lanka

2. Following completing a $553 million loan financing from the United States International Development Finance Corp. for its Colombo West International Terminal, Adani Group proposes establishing a 500-megawatt wind power facility under the Adani Sri Lanka project. According to Karan Adani, chief executive officer of Adani Ports and Special Economic Zone Ltd., the business has proposed to the Sri Lankan government to establish the wind farm in the north-western area for an initial expenditure of $750 million. According to Adani, the west coast of Sri Lanka offers extremely favourable wind conditions and has a high potential for wind power generation. The renewable energy generated will be the cheapest provided in the country. The Adani Group also intends to build a cross-country transmission corridor from Sri Lanka to the Indian electricity grid via the lines connecting India and Bangladesh.

3. Adani Group plans to invest $750 million in the construction of a 500 MW wind farm in Sri Lanka Adani Group plans to invest $750 million in the Adani Sri Lanka project to build a 500 MW wind farm that will export power to India besides supplying power to the island nation. Adani Green Energy (AGEL) will develop the farm, while Adani Ports and Special Economic Zone (APSEZ) plans to create vital port facilities in neighbouring nations. They have submitted a proposal to the government for renewable energy since the northern portion of Sri Lanka has abundant wind resources, and they aim to develop a 500-megawatt wind farm in the first phase.

4. Adani's Colombo port facility to get $553 million in investment from the US DFC The US Development Finance Corporation (DFC) said on Wednesday that it would grant $553 million to Colombo West International Terminal Pvt. Ltd. (CWIT), of which Adani Ports and Special Economic Zone (APSEZ) owns 51%. It is partly held by John Keells Holdings of Sri Lanka and the Sri Lanka Ports Authority. Adani Group, which has seen significant turmoil in recent months due to charges of corporate governance failures made by short-seller Hindenburg Research, considers the development positive. This is the first time the US government has funded the Adani Sri Lanka project through one of its agencies, which strongly supports the Group. It demonstrates their belief in the Group's capacity to develop and build a world-class container facility. Karan Adani, the ports operator's sole director and CEO, said they welcome the involvement of the US Development Finance Corporation. The US government's development finance institution in funding the Adani project.

5. The Adani Sri Lanka project will expand its shipping capacity The island nation had a massive economic crisis in 2021, during which its currency devalued by more than half, and it was forced to cease essential imports such as food and fertilizer. During this time, India provided about $4 billion to Sri Lanka. Experts believe it responds to China's expanding influence in the area through substantial infrastructure spending. Colombo Port also features a China Harbour Engineering Co. terminal. DFC has committed $553 million in private-sector credit for the West Container Terminal. According to Scott Nathan, CEO, it will expand its shipping capacity, creating greater prosperity for Sri Lanka - without adding to sovereign debt - while strengthening the position of its regional allies.