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Rethinking EVs: A solution, not burden, for Sri Lanka's grid

Daily FT

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June 25, 2025

The blackouts earlier this year underscores Sri Lanka's power grid's present challenges in accommodating a high penetration of solar PV ■Better energy storage and flexible grid management are needed to handle fluctuations in solar and wind power ■Electric vehicles (EVs) can contribute to a more resilient and stable power grid through their ability to both consume and supply electricity as needed ■Smart EV charging can reduce strain on the grid, using incentives and off-peak charging

- By Professor Janaka Ekanayake

A nationwide blackout in February this year sent shockwaves across Sri Lanka. While the initial outage itself was infamously attributed to wildlife coming into contact with critical systems, the Ceylon Electricity Board (CEB) also attributed the subsequent difficulties in restoring power to the island in part, to the rapid growth of rooftop solar photovoltaic (PV) systems.

In response, the Power and Energy Ministry formed a committee to explore solutions, including curtailing solar generation and reducing the feed-in tariff paid for solar energy - a policy which could potentially risk Sri Lanka's broader renewable energy transition.

These developments take place against the backdrop of Sri Lanka's ambitious Nationally Determined Contributions (NDCs) under the Paris Agreement to reduce greenhouse gas (GHG) emissions by 14.5% across the power, transport, industry, waste, forestry, and agriculture sectors by 2030. This included targets for 70% renewable energy generation by 2030, a commitment to no new coal power plant capacity, and a 4.0% GHG emission reduction in the transport sector compared to a business-as-usual (BAU) scenario, including a commitment to promote electric mobility and hybrid vehicles.

Achieving these ambitious renewable energy targets, particularly in light of recent challenges, will require a nuanced approach to policy that enhances grid flexibility through a combination of both supply-side and demand-side measures.

Effective implementation of these measures can ensure the smooth integration of renewable energy and EV technology into Sri Lanka's national grid, safeguarding energy pricing, supply, and distribution from disruptions. Supply-side solutions, such as battery energy storage systems (BESS), medium and long-duration energy storage (LDES) technologies, and green hydrogen production, are crucial for integrating variable renewable energy sources.

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