Financing agreements signed in Colombo on 1 October 2026 set the groundwork for a project combining rooftop solar generation with improvements to electricity distribution.
The package included a US$35 million concessional loan from the Asian Development Bank, €15.4 million from the European Union and US$5.5 million through Japan’s Joint Crediting Mechanism fund.
The Ministry of Energy, Electricity Distribution Lanka and LECO were named as implementation partners for the programme running through 2030.
A planned virtual net metering scheme included 25 megawatts of aggregated rooftop solar capacity, intended to help reduce electricity costs for smaller businesses.
Other components covered smart meters, network management systems, distribution controls and battery storage. LECO’s work also placed particular attention on network capacity around Negombo.
The October announcement confirmed financing and the intended project scope. Wider solar access and improved reliability were project objectives, with delivery dependent on implementation.
