Sri Lanka is aiming to fast-track the redevelopment of the Trincomalee oil tank farm as a long-term solution to its ongoing energy crisis, with support from India and the United Arab Emirates, according to The Hindu.
Foreign Minister Vijitha Herath stated that the project, which involves restoring World War II-era oil storage facilities in the eastern district, is intended as a “permanent solution” for managing the country’s fuel supply challenges.
He added, “Temporary solutions are not sustainable. We need a long-term strategy to deal with oil storage and distribution given the global energy situation.”
The initiative follows a Memorandum of Understanding signed in April 2025 between Sri Lanka, India, and the UAE to develop Trincomalee as a regional energy hub.
Despite decades of delays, the project has gained renewed urgency amid the current global energy crisis, which has disrupted supply chains and pushed up fuel prices.
Sri Lanka has already submitted a concept proposal to its partners, while the technical details are being reviewed by the Energy Ministry before proceeding to the tender stage.
The renewed push also reflects a significant policy shift, as the ruling National People’s Power administration had previously opposed Indian involvement in the project.
