Powering through Droughts and Crises: Redesigning Sri Lanka’s Energy Resilience
Sri Lanka has lived with energy insecurities for decades. Today, the crisis is a structural problem that is no longer limited to mere episodes. The country’s electricity system sits at the intersection of three converging vulnerabilities. Firstly, the system relies on a bimodal rainfall pattern that makes hydropower inherently boom-and-bust. Secondly, Sri Lanka has a near-total dependence on imported fossil fuels and limited use of other renewables, mainly rooftop solar, to fill the gaps. Thirdly, the country deals with an ageing grid infrastructure that is ill-equipped for the distributed energy future that could solve the problem.
Sri Lanka’s Graphite and Turning Tides in International Electric Vehicle Value Chains
The global demand for Electric Vehicles (EVs) is projected to reach a staggering 80 million units by 2050, with the United States (US) alone expected to demand one million of these annually. This rising global demand will lead to a hike in the need for natural and synthetic graphite. Considering the US imposing restrictions on Chinese imports, non-Chinese graphite suppliers, including Sri Lanka stand to gain. A recent IPS publication launch and discussion event titled ‘Trade Wars in Electric Vehicle Supply Chains: A Win for Sri Lanka’s Graphite Industry?’ featured an engaging discussion with key figures in Sri Lanka’s mineral and EV component manufacturing industry. This article is based on the discussion highlighting implications and opportunities for the country’s graphite industry.
Sri Lanka’s Graphite: A Potential Player in the Global Electric Vehicle Revolution
Sri Lanka has a rich history of mining and exporting graphite, which thrived during the World Wars, hitting 35,000 metric tons in annual exports. The vein graphite produced by Sri Lanka stands out for its remarkable purity, flawless crystal structure, and strong electrical conductivity, making it suitable for various commercial uses. However, in 2023, only 2,792 metric tons were exported, yielding approximately USD 6 million in revenue. The emerging trend towards electromobility on a global scale presents fresh opportunities to revive Sri Lanka’s graphite industry. The newly established Chamber for Mineral Exporters has also emphasised the importance of well-defined policies to harness the untapped potential of the mineral sector.
Sri Lanka’s Palm Oil Industry: Balancing Economic Benefits and Environmental Sustainability
The palm oil industry in Sri Lanka has been a vital policy initiative aimed at reducing palm oil imports and boosting the economy. Oil palm cultivation was allowed initially to reduce reliance on imported palm oil, but concerns over environmental and health impacts led to a decision to phase out cultivation within ten years. In this Q&A Explainer with Author, Dr Erandathie Pathiraja, Research Fellow at the Institute of Policy Studies of Sri Lanka (IPS), provides valuable insights into the recently published IPS study, ‘Palm Oil Industry in Sri Lanka: An Economic Analysis’. Dr Pathiraja shares her perspectives on the reasons behind the ban on oil palm cultivation, the potential impact on the economy and environment, the industry’s economic contributions, environmental concerns and their mitigation, health issues related to edible oil consumption, and alternative solutions to meet the local edible oil demand. The study authored by Dr. Erandathie Pathiraja, Ruwan Samaraweera, Hiruni Fernando, and Jaan Bogodage, offers a comprehensive analysis of the economic and environmental impacts of the palm oil industry in Sri Lanka.
Latest Edition of Talking Economics Digest Now Online! – Creating a Knowledge-based Economy
As Sri Lanka is looking to reform its education sector, the 16th Edition of the Talking Economics Digest centers on the theme of ‘Creating a Knowledge-based Economy.’
Demystifying Hawala/Undiyal – The Not So Dismal Science:[…] believed that informal fund transfer operations in Sri Lanka have expanded considerably due to the wide gap between the…