The Board of Investment of Sri Lanka has confirmed the registration of its agreement with Sahasdhanavi Limited, advancing plans for a 350 MW combined-cycle power plant at the Kerawalapitiya Industrial Zone.
The project represents an envisaged investment of US$291.19 million, according to the BOI statement reported on 9 September.
The BOI agreement itself was registered on 13 August 2026 under Section 17(2) of the BOI Law.
The new development is the BOI's public confirmation and disclosure of the project's investment, generation and employment details.
Planned 350 MW capacity
The project is designed as an RLNG/diesel-operable combined-cycle power plant.
The planned generating structure is:
- Phase I gas turbine: 243 MW using LNG, or 213 MW using diesel;
- Phase II steam turbine: 107 MW using LNG, or 105 MW using diesel.
The project is expected initially to be capable of operating on diesel.
Its transition to Regasified Liquefied Natural Gas (RLNG) depends on the availability of the necessary national LNG infrastructure and supply arrangements.
Investment structure
The total envisaged investment is:
US$291.19 million
including:
- US$90 million in share capital;
- US$196.19 million in loan capital; and
- US$5 million from other sources.
These are project financing/investment figures, not proof that the full amount has already been spent.
Employment projection
The project is expected to create 1,147 jobs when fully operational.
This is a projected employment figure.
The projection does not mean these jobs have already been filled.
Completion target
The project is scheduled for completion within 42 months of the agreement date.
It is being developed on a Build-Own-Operate-Transfer (BOOT) basis and is intended to supply electricity to the national grid.