Mannar Wind Power Policy Shift & Investment Climate Concerns 📈

President Anura Kumara Disanayake directed authorities this week that no new wind power projects are to proceed on Mannar Island without first securing the consent of local residents, citing environmental and social concerns. • This decision follows ongoing public protests against approved projects in the area. • Existing Contracts: Projects previously awarded, including the 50 MW facility to Hayleys Fentons Ltd. (at the lowest tendered bid of 4.65 US cents/kWh) and the 20 MW Windscape Mannar Ltd. project, are still scheduled to commence operations by December 2026 and December 2025, respectively. • Investment Climate Critique: The ad hoc nature of the policy shift is strongly criticized as politically motivated and detrimental to investor confidence. • The inconsistency aligns with previous concerns raised by the US State Department regarding Sri Lanka's investment policies, legal uncertainty, and poor bureaucratic responsiveness, which discourages both local and foreign investment.