Sri Lanka secures $52m loan for power transmission project

This will support the development and commissioning of a 220kV single-circuit underground cable system.

Sri Lanka has secured a $52m loan from the Asian Infrastructure Investment Bank (AIIB), fuelling the development of the Kerawalapitiya–Port L Second Transmission Line Project.

According to AIIB, the sovereign-backed financing will fund the project, which involves the design, supply, construction, testing, and commissioning of a 220 kilovolt single-circuit underground cable system.

The facility will connect the Kerawalapitiya Switching Station and the Colombo Port L Grid Substation. This is the second underground cable along this route and will complement the first line, commissioned in 2019.

This marks AIIB’s first energy sector project in Sri Lanka.

To date, AIIB has supported five projects in the country, with a total financing of $534m across the energy and urban sectors, driving sustainable growth and development.