A recent article published online titled "Sri Lanka Lights Up: Renewable Energy for Rural Economic Development (RERED)" the World Bank has praised the RERED Project for 'strengthening of critical capacities among stakeholders', 'near 100 percent indigenization of equipment, services and financing', 'promoting private sector and community led implementation' and for 'creating an export potential for Sri Lankan entrepreneurs'.

The RERED Project is a market based Project of the Government of Sri Lanka (GoSL) funded by GoSL, International Development Association (IDA) of the World Bank and Global Environmental Facility (GEF), and implemented by DFCC Bank. The RERED Project aims to expand the commercial provision and utilisation of renewable energy resources, with a focus on improving the quality of life in rural areas by using electricity as a means to further income generation and social service delivery.

RERED Project is the follow-up to the successfully completed Energy Services Delivery (ESD) Project, also implemented by DFCC Bank, funded by GEF and IDA.

As at 31 August 2011, ESD (1997-2002) and RERED (2002-ongoing) Projects have contributed to the electrification of 139,194 rural off-grid households using Solar Home Systems (SHS) and village based independent mini-grids. The two Projects have also assisted in the addition of 173 MW of capacity to the national grid by means of grid connected renewable energy projects.

Social benefits of the two Projects include the creation of employment opportunities to hundreds of skilled and unskilled workers, hundreds of cottage industries benefitting from the receipt of electricity, reduction of safety and health hazards created by bottle lamp usage in rural households, providing women and children with improved living conditions within their households and the rise of several new classes of entrepreneurs - mini and micro hydro project developers, equipment suppliers and contractors.

More information on the RERED Project can be found at the Project website www.energyservices.lk. The article published by the World Bank can be found here. The impact of RERED Project on its direct beneficiaries and the country in general can be found here.