In a significant move toward modernizing Sri Lanka’s national electricity grid, the Cabinet of Ministers has approved a project to install 300,000 smart electricity meters equipped with a Time-of-Use (TOU) billing system.
The project is financed through a concessionary loan facility of USD 15 million granted by the Asian Development Bank (ADB) to support renewable energy initiatives. Initial cabinet approval to secure this credit facility was granted on October 21, 2024.
Subsequently, during the Cabinet meeting held on September 3, 2025, approval was granted to allocate USD 2.5 million from the total loan amount toward preparing detailed designs and procurement documentation for the Maha Oya Pumped Storage Hydropower Development Project.
The remaining USD 12.5 million of the credit facility will fund the smart meter rollout. Following the proposal submitted by the Minister of Power and Energy, the project will be executed by Electricity Distribution Lanka (Pvt) Ltd over a two-year timeline.
