Sri Lanka scraps energy deal with China, signs fresh contract with Bengaluru company

Sri Lanka on Friday (Mar 1) cancelled the contract with a Chinese firm and awarded the construction of three solar and wind hybrid power generation facilities to an Indian company.

The project was initially funded by an Asian Development Bank (ADB) loan; however, it is now backed by an $11 million Indian government grant. The contract with the Chinese company was temporarily scrapped two years ago the after Indian government raised concerns.

India has over the past few years grown skeptical of growing Chinese involvement in its neighbour…