Sri Lanka wind power development reached a new milestone as the Ceylon Electricity Board received record-low bids below 4 US cents per kilowatt hour in its latest competitive tender for Mannar projects.
CEB receives groundbreaking offers for Sri Lanka wind power in latest Mannar tender
Sri Lanka’s ongoing efforts to expand its renewable energy portfolio have gained strong momentum after the Ceylon Electricity Board (CEB) received record-low bids for new wind power plants in the Mannar region. The latest figures reflect growing investor confidence in the country’s energy sector, as prices dropped well below 4 US cents per kilowatt hour for the first time.
According to industry sources, the lowest bid was submitted by Vidullanka PLC at 3.77 US cents per kilowatt hour, closely followed by Windforce PLC with an offer of 3.96 cents. Other notable proposals came from Hayleys at 4.17 cents, Lakdhanavi at 4.20, Metrocorp at 4.21, ACL Cables at 4.33, and Aitken Spence at 4.80. The bids were received for a total capacity of 100 megawatts, divided into two 50-megawatt wind power projects.
Mullikulam, situated in Sri Lanka’s northwestern Mannar area, is recognized for its strong and consistent wind resources, which enable high energy yields and attractive plant factors. The site has become a focal point for renewable investment in recent years, supporting the government’s broader plan to diversify the national grid and reduce reliance on costly fossil fuels.
The new tender marks a sharp decline from the previous awarded rate of 4.65 US cents per kilowatt hour for similar projects. Energy analysts say this drop signifies heightened competition among local renewable firms, improved supply chain efficiency, and greater technical maturity in the wind energy sector. With these latest offers, Sri Lanka appears poised to secure some of the most cost-efficient wind energy in South Asia.
The CEB’s decision to proceed with international-standard competitive bidding has also been praised by energy policy experts as a step toward achieving transparency and fiscal discipline in the power sector. By inviting multiple local developers, the board aims to establish fair pricing benchmarks while encouraging investment in long-term clean energy infrastructure.
At current exchange rates, the lowest bid translates to approximately 11.50 Sri Lankan rupees per kilowatt hour—a rate that could significantly ease the financial burden on the national utility once projects come online. For a country still recovering from economic headwinds and fuel price shocks, cost-efficient renewable generation offers both fiscal and environmental advantages.
The strong participation in the Mannar wind tender demonstrates that Sri Lanka’s renewable energy transition continues to attract private sector enthusiasm, despite challenges in currency stability and regulatory delays. While larger international developers have expressed caution about entering rupee-denominated contracts, the latest results prove that domestic companies are willing to take calculated risks under stable policy conditions.
Mullikulam’s coastal topography makes it one of the most promising locations for wind energy in the region, capable of achieving plant load factors exceeding 40 percent. The natural advantage of steady wind speeds combined with improved technology—such as larger turbines and advanced grid integration—helps developers offer competitive prices while maintaining profitability.
Sri Lanka’s renewable energy roadmap sets a target of generating 70 percent of the country’s electricity from renewable sources by 2030. To reach that goal, the government is ramping up investments in solar, wind, and battery storage systems. The sharp decline in wind tariffs further supports the national agenda of reducing generation costs through competitive market mechanisms.
Officials at the Ministry of Power and Energy said that the bids would undergo technical and financial evaluation before final contracts are awarded. The High-Level Standing Procurement Committee will make recommendations based on project feasibility, performance guarantees, and developer capacity.
Industry observers say the record-low prices will likely influence future renewable tenders, potentially reshaping the cost structure of Sri Lanka’s energy mix. “This is a breakthrough moment for the sector,” an energy analyst said, noting that consistent policy direction and timely approvals will be crucial to maintain momentum.
For now, the CEB’s Mannar projects represent a major stride toward cleaner and cheaper electricity generation. The successful completion of these wind power plants will not only reduce import dependency on fossil fuels but also help the country meet its climate commitments under the Paris Agreement. As global trends shift toward sustainable investment, Sri Lanka’s ability to deliver competitive renewable projects will enhance its standing as a viable destination for green infrastructure capital.