Unlocking Sri Lanka’s offshore wind potential

Project facts
- Client
- World Bank Group, ESMAP and UK Government
- Location
- Mannar and Puttalam, Sri Lanka
- Date
- November 2023 – February 2026
- Challenge
- De-risking offshore wind development in an emerging market with limited precedent and significant ecological, technical and commercial uncertainties.
- Solution
- Integrated pre‑feasibility assessment covering constraints, project concepts, port readiness, grid integration, market conditions and stakeholder engagement.
The challenge
Sri Lanka has excellent natural conditions for offshore wind, offering strong resource potential. Yet no offshore wind farms are currently operational. Offshore wind remains a complex, capital‑intensive undertaking that requires years of preparation and comes with technical, ecological and commercial uncertainties.
For an emerging market like Sri Lanka, these challenges are amplified, creating barriers for investors and slowing early‑stage development. To help overcome these obstacles and prepare the market for future projects, a comprehensive pre‑feasibility study was conducted. This work provides an evidence‑based foundation to reduce risk and create the conditions needed for successful investment.
The solution
Building on the Phase I Offshore Wind Roadmap, the study focused on the two most promising areas: Mannar and Puttalam. The study delivered an integrated analysis across six core components:
- Constraint Analysis: A detailed review of technical, environmental and social risks to evaluate development feasibility in Mannar and Puttalam.
- Project Concepts: Creation of reference wind farm layouts that reflect wind climate, site-specific constraints and available technology options.
- Port Appraisal: Assessment of Sri Lankan and Indian ports to determine their readiness to support offshore wind activities, including fabrication, marshalling and operations & maintenance, including required upgrades.
- Electrical System and Grid Integration: Analysis of the Sri Lankan power system to design grid connection solutions, including voltage levels, capacity, and contingency scenarios.
- Favorable Market Conditions: Assessment of macroeconomic factors, procurement models and commercial risks to support a bankable market environment.
- Stakeholder Engagement: Extensive engagement with national, regional and local stakeholders through field visits, workshops, and consultations to build awareness, gather insights and ensure widespread support.
Together, these components form the first comprehensive evidence base for offshore wind development in Sri Lanka.
The result
The study confirms strong development potential in both Mannar and Puttalam. Mannar stands out as the most promising site due to its favourable wind conditions and proximity to suitable grid infrastructure. Key findings include:
- Ports and grid systems require targeted upgrades to support large-scale offshore wind projects.
- Building local capabilities and leveraging regional collaboration, particularly with India, will be essential for cost efficiency.
- Creating a stable investment climate through clear procurement frameworks, financial support mechanisms and bankable Power Purchase Agreements (PPAs) is essential to attract developers.
- Ecological sensitivities and stakeholder concerns require early engagement and robust impact assessments.
- Further technical surveys and data collection are needed to reduce uncertainties around wind resources, seabed conditions, and biodiversity.
With these steps in place, Sri Lanka could launch its first offshore wind tenders within two to three years and commission its first projects by the mid‑2030s. The report also highlights that progress will be closely tied to offshore wind deployment in Tamil Nadu, India, reinforcing the importance of regional cooperation.
Next steps
The findings will underpin the next phase of work, which will focus on detailed site surveys to reduce remaining uncertainties and further strengthen market readiness. This follow‑up phase will be critical in turning Sri Lanka’s offshore wind potential into reality and accelerating the country’s transition towards a cleaner and more resilient energy future.
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