New Delhi: Sri Lanka has revoked a 2024 power purchase agreement with Adani Green Energy for a proposed wind power plant in the country’s Northern Province following allegations of corruption, an AFP report said.
However, the Adani Group has denied the news, saying that the project has not been cancelled.
“The government has revoked the power purchase agreement, but the project is not cancelled. A committee has been appointed to review the entire project,” said the report, quoting an unnamed senior official from the energy ministry.
The Hindu reported that it has sought a comment from Sri Lanka’s Ministry of Power and Energy, and is yet to receive a response.
“We categorically state that the project has not been cancelled,” said a spokesperson of the Adani Group, refuting the report.
The Adani Group remains committed to investing $1 billion in Sri Lanka’s green energy sector, the spokesperson added.
Earlier, the Ministry of Power and Energy in Sri Lanka had decided to appoint a committee to review and conduct a study of the Adani Group’s projects in Sri Lanka.
In December last year, the Adani Group had withdrawn from a $553 million loan agreement with the US International Development Finance Corporation (DFC) to fund a port terminal project in Sri Lanka’s capital, Colombo. This development follows allegations of bribery against Adani and other executives of the Adani Group, which surfaced in US courts last month. The Adani group has consistently denied the allegations.
