Sri Lanka’s cabinet has given the green light to a plan to secure approximately $57 million in funding from the Asian Development Bank (ADB), the European Union (EU), and the Japanese Fund for the Joint Crediting Mechanism (JFJCM) for a project aimed at enhancing rooftop solar energy initiatives. Minister Nalinda Jayatissa announced that this initiative, known as the Rooftop Solar Aggregation and Virtual Net Metering Project, has been classified as a priority project to bolster the use and distribution of solar energy among small and medium-sized renewable energy producers.
The cabinet had previously approved a proposal in November of the previous year to pursue financing through a Memorandum of Understanding with the ADB and other partners. Following successful negotiations, the terms for the loans and grants from the ADB, EU, and JFJCM have now been finalized.
As per the agreements reached during these discussions, and contingent on the stipulations of the ADB loan, the cabinet has sanctioned the proposal to enter into Loan and Grant Agreements with the ADB. This includes a loan of $35 million from ADB’s concessional general capital resources, a grant of €15.4 million from the EU, and a grant of $5.5 million from the JFJCM, Jayatissa stated.
