News & market updates

Hayleys PLC (via Hayleys Fentons / HayWind One Limited) has begun construction of a 50 MW wind farm in Mannar to supply electricity to the national grid under a PPA with the Ceylon Electricity Board. The project is expected to save about Rs.4.7 billion in annual fuel costs and offset ~186,300 tonnes of CO2.

Several business chambers, including the Ceylon Chamber, AmCham and Exporters Association, submitted joint feedback on Sri Lanka's Draft National Electricity Policy, warning that removing cross-subsidies and capping subsidies to households under 30 kWh/month could weaken affordability and raise fiscal risks. They also cautioned that uncompensated curtailment and removing feed-in tariffs may make renewable projects un-bankable and raise the cost of capital.

Hayleys PLC launched construction of the 50 MW Hayleys Fentons wind project in Mannar, expected to generate 207 million kWh/year at a tariff of $0.0465 per unit and due for completion in March 2027.

Major industry bodies, led by the Ceylon Chamber of Commerce, submitted joint observations urging comprehensive revision of the Draft National Electricity Policy, flagging gaps on affordability, de-carbonisation, renewables incentives and tariff proposals. They warned that removing cross-subsidies, restricting subsidies to households <30 kWh/month, allowing uncompensated curtailment, removing feed-in tariffs and imposing mandatory time-of-use on rooftop solar could undermine investment, raise ca

Sarvodaya Development Finance PLC (SDF.N0000) listed two 5-year sustainability bonds totaling Rs.2 billion on the Luxembourg Stock Exchange's LGX platform to finance renewable energy and social projects.

Hayleys PLC's unit Hayleys Fentons launched construction of a 50 MW wind power plant in Mannar, expected to generate 207,000,000 kWh/year and supply electricity at USD 0.0465 (LKR 14.37) per unit, scheduled for completion in March 2027.

Industry chambers jointly warned the Draft National Electricity Policy could make renewable projects un-bankable and undermine affordability. They flagged gaps on affordability, decarbonisation, and incentives and warned that removing cross-subsidies, limiting subsidies to households <30 kWh/month, removing feed‑in tariffs, uncompensated curtailment and mandatory time‑of‑use for rooftop solar raise fiscal and investment risks.

Synogen commissioned a 6.4 MWp rooftop solar PV at Best Pacific Textiles Lanka's Pannala plant, now supplying a large share of daytime power and expected to generate millions of kWh annually. Synogen (a Sino Lanka–Atman JV) said it will expand C&I solar, storage and its proprietary energy monitoring platform.

John Keells' authorised distributor John Keells CG Auto is expanding BYD's presence in Sri Lanka after BYD sold 4,602,436 NEVs globally in 2025 (over 1.04m overseas). JKCG Auto has introduced nine BYD models locally, with seven showrooms and more than 21 charging points nationwide.

The Ceylon Electricity Board has requested an 11% tariff increase from the regulator, citing a depreciated rupee (using 308.65/USD vs 303.33 previously) and higher local diesel and fuel costs despite falling global crude and coal prices.

People’s Bank will support MSMEs through government-backed and bank-funded loan schemes, offering interest rates of 7.0%–12.0% and products including working capital, term loans, trade finance, and solar/green power financing.

The US will withdraw from the Colombo Plan and cease participation or funding under a White House memorandum directing agencies to exit specified international organisations. Outgoing US Ambassador Julie Chung is the Colombo Plan Council's 79th President.

Sri Lanka Expo 2026 will feature 750 exporters and an investor forum targeting 1,500 foreign buyers, investors and media to help boost exports to $36bn by 2030. The event (June 18-21) will showcase 24 product/service categories with thematic pavilions including sustainable/green solutions and ICT, and offer discounted travel and accommodation for qualified buyers.

India plans an execution-led economic push with Sri Lanka in 2026 emphasizing investments, connectivity, digital collaboration and concessional financing, backed by a $450m post-Cyclone Ditwah package ($350m concessional lines, $100m grants). Engineering for the India–Sri Lanka grid interconnection is complete and Colombo Dockyard’s revival with Indian support was cited as ongoing commercial engagement.

Synogen commissioned a 6.4 MWp rooftop solar PV system at Best Pacific Textiles Lanka’s Pannala plant, now operational and supplying a substantial portion of the plant’s daytime electricity and expected to generate millions of kWh annually. The system includes Synogen’s energy monitoring platform for real-time optimisation and long-term performance.

Sri Lanka plans to cut power generation costs to 25 rupees a unit (from about 37 rupees) by mid-2025 through competitive bidding, targeting roughly a 32% reduction. However, severe rupee depreciation is prompting renewable investors to demand US dollar tariffs, which could undermine the plan.

Panasian Power (PAP.N0000) connected its 5MW ground-mounted Baddegama solar plant to the national grid on Dec 30, with its subsidiary starting revenue generation and adding 5MWac/6.76MWp to the grid.

Panasian Power PLC connected a 5 MW (6.76 MWp DC) ground-mounted solar plant at Baddegama to the national grid on 30 December 2025 and has commenced revenue generation via a subsidiary. The plant is the final 5 MW unit under a batch of seven PPAs and the share price closed up Rs.0.40 at Rs.23.40.

Sri Lanka’s 2025 combined IMF-backed stabilization and reform gains with a late-November setback from Cyclone Ditwah. Key items include a Central Bank rate cut (lending window to 8.25%), DFCC’s sale of a 50% Acuity stake to HNB for LKR 6.5bn, and John Keells launching the $1.2bn City of Dreams resort alongside major energy project deals and rooftop-solar grid issues.

Dilmah Ceylon Tea Company PLC has been invited to be Patron of the UN Global Compact Network Sri Lanka Supply Chain Working Group, recognising its sustainable supply-chain role; 71% of its 2024/25 supplier spend (Rs.14,494m of Rs.20,440m) was with local suppliers.

Sri Lanka sought Chinese support to establish a nationwide EV charging network and to urgently restore railway lines and bridges damaged by Cyclone Ditwah; the Chinese ambassador said Beijing will assess the damage and convey the request to authorities.

Sri Lanka has asked China to support installation of electric vehicle (EV) charging stations nationwide, and the Chinese ambassador said he will relay the request to Beijing. The government also sought Chinese help to reconstruct flood‑damaged railway lines and bridges and assist with cyclone relief.

MAC Holdings Ltd celebrated its 29th anniversary, highlighting nearly three decades of growth, diversified operations across freight & logistics, aviation, shipping, hospitality, renewable energy and agriculture, and a regional presence in Bangladesh, Maldives, UAE and Singapore.

The Management Club will host the Northern Investment Summit 2026 on 21–22 January 2026 in Jaffna to showcase KPMG-vetted, district-specific bankable proposals aimed at unlocking investment in the Northern Province; Hatton National Bank (HNB) is the official banking partner.

Assetline Finance opened its 61st branch in Gampaha, bringing its network to 61 branches and over 2,500 touchpoints. The new branch offers its full suite of products including automotive leasing, auto loans, Asset Draft, Liya Diriya and solar financing.

Bank of Ceylon issued a Basel III–compliant Tier II listed Sustainability Bond — the largest sustainability bond in Sri Lanka — which was oversubscribed and closed on opening day (22 December). Proceeds will fund eligible green and social projects including renewables, water/waste, agriculture, MSMEs, healthcare and education.

Vidullanka PLC was named the lowest-cost bidder on 19 Dec for a contract to expand and upgrade a 100 kW mini-hydropower facility at Buca Village, Fiji, though the final award remains pending. The company said this identification is a material step and further announcements will follow upon formal contract award or other significant developments.