📋 Tender Overview
SUMMARY
STATUS
Approved
MEMBER
Sri Lanka
SECTOR
Energy
E&S CATEGORY
Category B
PROJECT NUMBER
000455
FINANCING
APPROVED FUNDING
USD52 million
FINANCING TYPE
Sovereign
TIMELINE
CONCEPT REVIEW
December 1, 2020
APPRAISAL REVIEW/FINAL REVIEW
July 23, 2024
FINANCING APPROVAL
August 28, 2025
OBJECTIVE
To increase capacity and enhance reliability of the power transmission line between Kerawalapitiya and Colombo.
DESCRIPTION
The project involves constructing of approximately 16 kilometers (km) of 220kV single circuit underground transmission cable system from Kerawalapitiya Switching Station to Colombo Port L Grid Substation. Sri Lanka, through Ceylon Electricity Board (CEB), is undertaking the project to increase the transmission capacity of the electricity network to meet the growing electricity demand in the Greater Colombo urban development area including the upcoming Colombo Port City. Project activities include designing, supplying, constructing, testing, and commissioning a single circuit 220kV insulated underground cable system from Kerawalapitiya Switching Station to Colombo Port L Grid Substation. This cable system will be the second underground cable connecting the two stations.
The existing first underground cable along the same route was commissioned in 2019, and it will not be sufficient to ensure reliability in the electricity transmission considering the projected additional demand in Colombo. Also, considering the renewable energy potential of the country's northern part, enhancing transmission capacity from Kerawalapitiya Switching Substation to Colombo Port L Grid Substation is essential to ensure overall grid stability and uninterrupted power transmission from renewable energy resources.
ENVIRONMENTAL AND SOCIAL INFORMATION
Environment and Social Policy (ESP) and Categorization. The project has been prepared consistent with AIIB’s ESP, including the Environment and Social Standards (ESSs), and Environmental and Social Exclusion List (ESEL). ESS 1 (Environmental and Social Assessment and Management) and ESS 2 (Land Acquisition and Involuntary Resettlement) apply to the project; the latter in relation to the potential for livelihood impacts only. ESS 3 (Indigenous Peoples) is not applicable as there are no Indigenous Peoples identified in the project area. The project is assigned Category B in accordance with the ESP on the basis that the project environmental and social (E&S) risks and impacts will be localized and temporary and can be mitigated through effective E&S management.
Environmental and Social Instruments. An Environmental and Social Impact Assessment (ESIA) has been prepared based on requirements provided by the Bank and which includes an Environmental and Social Management Plan (ESMP). These E&S instruments set out the measures committed to ensure that the project’s E&S risks and impacts are managed in a manner consistent with AIIB’s ESP and ESSs. Compliance with the ESMP will be made
