In September 2024, the Government of Sri Lanka approved and published positive list of project areas that are considered for trading under Article 6 of the Paris Agreement. The positive list also includes capping the share of emission reductions that can be credited restricted to renewables energy projects. Some types of renewable projects see their emission reductions are capped at 50% and others at 25%. Eligible activities are as follows:
1. Electricity Sector
- Establishment of wind power plants with the assistance of bilateral and multilateral donor agencies and sovereign governments (to the level of 737 MW) - (Maximum 25%)
- Establishment of ground-mounted solar PV with the assistance of bilateral and multilateral donor agencies and sovereign governments (to the level of 1982 MW) - (Maximum 25%)
- Establishment of Offshore Wind Farms (Maximum 50%)
- Establishment of Tidal Energy Farms (Maximum 50%)
- Establishment of Energy Storage Power Facilities such as Hydro Pumped Power Storage (Maximum 50%)
- Establishment of Energy Storage Power Facilities such as Battery Storage in Solar Power Plants (Maximum 50%)
- Electricity Wheeling (50%)
- Demand Side Management programs other than Lighting efficiency improvements (50%)
2. Transport Sector
- Implementation of fuel switch measures focusing on electric mobility and hybrid vehicles (H2)
- Implementation of low-carbon public passenger transport activities, such as Bus Rapid Transit (BRT) and improved rail transportation
- Implementation of rapid transport systems for passenger transport
- Development of new low-carbon transportation infrastructure resulting in fuel savings
3. Industry Sector
- Fuel switch from fossil fuels to renewable energy-based fuels in industrial processes
- Development of Resource-Efficiency Cleaner Production (RECP) practices, including low-carbon technologies and processes
- Introduction of tri-generation* facilities
- Energy efficiency interventions in industries with longer payback periods
4. Forestry Sector
- Restoration and reforestation of terrestrial forests covering various plantations
- Enhancement and expansion of trees outside forests
- Agroforestry on private lands, covering various large and bundled small activities
- Reforestation by the private sector for timber production
- Mangrove restoration subject to the following conditions
a. Restoration of mangroves based on the areas identified by the Department of Forest Conservation and the Department of Wildlife Conservation, which is approximately 2000 ha in extent, will be restored, however, the aforementioned extent would not be considered and allocated for carbon finance and crediting purposes.
b. Apart from the above-mentioned identified areas, any further areas that might be identified based on National Guidelines on Mangrove Restoration in Sri Lanka (2021), and other protocols for blue carbon ecosystem restoration, and approved by the Blue Carbon Task Force, could be considered.
5. Waste Sector
- Deployment of methane abatement technologies in municipal solid waste treatment projects
- Implementation of Waste-to-Energy projects (Incineration, Gasification, Pyrolysis and Plasma)
- Waste dumpsites rehabilitation projects (Avoidance of greenhouse gas emissions in waste dumps/landfills)
- Deployment of Efficient Waste Collection and Transportation Systems and Processes
- Emission Reductions through the Promotion of Recycling Technologies and Process Optimization
6. Agriculture Sector
- Methane emission management from livestock coupled with energy conversion for thermal or electrical generation
- Adoption of innovative technologies in agricultural practices (such as rice cultivation) for GHG emission reductions
