Sri Lanka has announced new duty and tax exemptions on the import and local purchase of capital goods for selected priority sectors,including renewable energy, under regulations effective from 15 October 2025. Issued by Finance Minister Anura Kumara Dissanayake, the amendment to the 2018 Customs Gazette expands the bonded warehouse facility to cover renewable energy storage, alongside existing sectors such as dairy, pharmaceuticals, medical equipment, and solid waste management. Eligible projects must involve facilities with at least 1 MW of generation or 1 MWh of storage capacity. The policy is part of the Government’s 2026 economic roadmap, aimed at promoting green industrialisation and energy security. Economists say the move could attract fresh investment and help Sri Lanka achieve its goal of 70% renewable energy by 2030, while reducing reliance on fossil fuels and boosting confidence in the island’s sustainable growth agenda.
