The first LNG fired Combined Cycle Power Plant with 300 MW capacity will be implemented in Kerawalapitiya. This plant will function as an Independent Power Producer (IPP). Cabinet approval was received to award the Tender to the Lakdanavi Company and construction works was commenced on 5 March 2021. It is expected to commence commercial operations in 2023.

The power plant has been designed in accordance with international standards with minimal environmental damage.

The power plant, which will be constructed in two phases, will have the highest efficiency F class gas turbines installed in a local power plant.

The Kerawalapitiya Power Plant is a Combined Circle Power Plant and in the first phase will generate 220 MW through the installation of a gas turbine, which is expected to be completed within 21 months.

The second phase will add another 130 MW to the national grid via a steam turbine, which is scheduled to be completed in another 12 months.