The Cabinet yesterday, granted approval for two letters of intent to be sent to the Government of Japan and India to establish two Liquid Natural Gas (LNG) Power Plants of 500MW capacity each in Sri Lanka.
The proposal submitted by both Minister of Power and Renewable Energy, Ranjith Siyambalapitiya and Minister of Development Strategies, Malik Samarawickrama, was given the green light by the Cabinet . The joint venture between India, Japan and Sri Lanka witness a US$ 250 million floating LNG terminal and a gas distribution pipeline being built along with the power plant.
The unit is to be built in Kerawalapitiya. From the Indian side, Petronet LNG Ltd., India’s largest gas importer has come forward to set up the plant, but Japan is yet to identify the company which would be their partner in the project.