UNDER A RAIN OF LAWSUITS ADANI GREEN ENERGY HAS GIVEN UP THE WIND POWER PROJECT IN SRI LANKA
redazione Giannina Puddu, 25 February 2025
The union of the groups opposed to the construction of the wind farm in the north of Sri Lanka could determine the turning point that led the Indian tycoon Gautam Adani, with his Green Energy Limited (AGEL), to renounce the project, despite having already invested 5 million dollars, compared to 442 million expected for the construction of the work.
The project involved the production of 250 MW with the installation of 52 wind turbines in Mannar, in the north of the island which is connected to the mainland by an elevated road, and which extends for approximately 50 km² in the district that takes its name, in the north-western tip of Sri Lanka.
The island is characterized by a rich natural heritage.
There are many species of birds that fly the skies between the island and the mainland, donkeys are very common (there is even a clinic for them) and the very rare dugongs that swim in the sea waters.
The presence of several baobab trees is characteristic, with a circumference of up to twenty meters and seven hundred years of age.
Mannar is a growing tourist hub, known for its pristine beaches and archaeological sites.
Opposition has been strong since the early stages of the wind project, motivated by serious environmental implications and accusations of financial irregularities.
Five lawsuits have been filed.
Various local movements fought sharing the goal of stopping Adani.
These include the Wildlife and Nature Protection Society, the Center for Environmental Justice, and the Environmental Foundation Ltd.
The previous government had approved the plant with the agreement providing for an energy cost of $0.82 per unit for 20 years, a very high and out-of-market cost that would have guaranteed a good return on the expected investment.
The new government, under popular pressure, expressed its intention in January 2025 to renegotiate the terms of the agreement by reducing the tariff.
Two weeks later, Adani's AGEL, having done its calculations, announced its complete withdrawal from the project, confirming that these plants are very expensive and that in the absence of strong public financial support they can only sustain themselves by significantly raising the cost of the electricity produced and distributed.
