Sri Lanka's state run Ceylon Electricity Board will light up 268 villages in the former war zones in the island's East with Chinese funding.

Information ministry Keheliya Rambukwelle said the Exim Bank of China will give USD 33.3 million for the project on a long term loan. The project involves 106 new low voltage substations and rehabilitation of 200 substations and building 802 kilometres of low voltage distribution lines.

The material supply has been awarded to Shanghai Electric Power Transmission & Distribution Engineering Co Ltd.

The expansion will cover villages in Batticaloa and Trincomalee which emerged from a 30 year war.

The project will have a domestic finance component of 15% amounting to LKR 544.1 million. The loan will be repayable in 15 years with 3 years grace.

(Sourced from LBO)