The National Transmission Network Service Provider (Private) Limited (NTNSP) has awarded the contract for Package 1A of the Power System Strengthening and Renewable Energy Integration Project (PSSREIP), marking an important step in Sri Lanka’s efforts to modernize its electricity transmission network and support the integration of renewable energy.
The contract agreement was signed on July 9, 2026, in Colombo between NTNSP and the CCCE-ETERN Consortium. Under the agreement, the consortium will be responsible for the design, manufacture, installation, testing, commissioning, and completion of two major electricity substations. These include the Mirigama 220/33 kV Grid Substation and the Peliyagoda 132/33 kV Grid Substation, which are expected to strengthen the country’s transmission infrastructure and improve power supply reliability.
The project forms part of the Power System Strengthening and Renewable Energy Integration Project, which is being implemented with financial support from the Asian Development Bank (ADB) under Loan No. 4548-SRI. The initiative is focused on improving the reliability, stability, and efficiency of Sri Lanka’s national electricity transmission system while creating the necessary infrastructure to accommodate a larger share of renewable energy generation in the national grid.
The total estimated investment for the Package 1A project is approximately USD 33 million. The new substations will be developed in the Western Province, one of the country’s fastest-growing regions in terms of urbanization and industrial development. Once completed, the facilities are expected to enhance the quality and reliability of electricity supply for residential, commercial, and industrial consumers.
According to NTNSP, the project will help meet the growing demand for electricity, reduce transmission bottlenecks, and improve the overall performance of the transmission network. It will also support Sri Lanka’s long-term plans to increase the use of clean and sustainable energy by enabling the integration of additional renewable power projects into the grid.
The agreement was signed on behalf of NTNSP by Chairman Eng. P.N.S. Kumaratunga and Director and Chief Executive Officer Eng. N.S. Wettasinghe. Representing the CCCE-ETERN Consortium, the agreement was signed by Mr. Zheng Yanchao, the consortium representative.
The Power System Strengthening and Renewable Energy Integration Project is regarded as one of Sri Lanka’s major strategic investments in the power sector. By upgrading transmission infrastructure and improving grid resilience, the project is expected to strengthen the country’s energy security, support future renewable energy expansion, and contribute to long-term economic development. The new substations are expected to play a key role in ensuring a more reliable and efficient electricity network while supporting the country’s transition toward a cleaner and more sustainable energy future.
Discover more from SolarQuarter
Subscribe to get the latest posts sent to your email.
