India’s Adani Group has decided to pull out of its $440mn wind power projects in Sri Lanka after the new government in Colombo launched a review of the tariffs agreed for the deal.

Adani Green Energy has decided to withdraw its $1 billion wind farms project in Sri Lanka, citing controversy over tariffs and environmental concerns. This follows a prior setback with a canceled deal in Kenya.

Adani Green Energy Ltd told Sri Lanka’s Board of Investment on Wednesday that it would “respectfully withdraw” from the wind project following discussions with officials who indicated that fresh committees would be formed to “renegotiate the project proposal”.

For the Adani Group, there is one major good news from abroad, after the string of bad news beginning with the 2023 Hindenburg Report on Adani’s round tripping of capital, and the indictment in a US court in 2024: Adani’s first major investment in Sri Lanka, the Colombo Port West Container Terminal is well on course for a soft launch in February.

The conglomerate led by billionaire Indian tycoon Gautam Adani has walked away from a renewable energy project

Adani Green Energy has withdrawn from two wind power projects worth $1 billion in Sri Lanka after the government sought to reduce the tariff. The projects, set to be completed by 2026, were scrutinized following a political change.

"Adani Green Energy has conveyed its Board's decision to respectfully withdraw from further engagement in the renewable energy (RE) wind energy project and two transmission projects in Sri Lanka," the