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Renewable energy project cancellation : Adani tells Govt to reimburse initial cost

Monday, 07 July 2025 - 7:47 pm

The gove ment, which scrapped the Adani renewable energy projects, is now under duress to reimburse a few million U.S. dollars incurred by the company here initially, Daily Mirror reliably lea s.

India's Adani Green Energy informed the Sri Lanka gove ment earlier that it would withdraw from two proposed wind power projects. The company took that decision after Sri Lanka, under the new gove ment led by the National People’s Power ( NPP) , sought to lower the cost of the power generated. The NPP gove ment disagreed with the cost agreed upon by the last gove ment which struck the project with Adani.The company was to build a wind power plant project in the Mannar and Pooneryn towns in the northe province, investing $442 million.

The project was expected to add at least 350 MW to the national grid by 2025.The company authorities sent a letter to the gove ment authorities in May , this year asking for reimbursement of expenses it made initially for research and investigation along with the Sustainable Energy Authority (SEA) in Sri Lanka.

However, the company has not yet specified the exact amount which is to be assessed covering all expenses including US $ 3 million paid to the SEA.The Power and Energy Ministry is yet to make a decision on the reimbursement. Asked about the current status , a top official said that legal advice would be sought in this regard .

'If there is any payment, it will be done only through Cabinet approval,' he said.