About Us

Accelerating Industries’ Climate Response in Sri Lanka is a five-year initiative designed to help the country’s industrial sector transition to a low-carbon future. The project was launched in mid-2022. It is led by the Ministry of Environment, Ministry of Industry and Ministry of Power and Energy, implemented by the United Nations Industrial Development Organization and funded by the European Union under the Global Climate Change Alliance+.

By transitioning to renewable energy and improving the efficiency of industrial processes, our goal is to help cut greenhouse gas (GHG) emissions in the industrial sector by 7 per cent by 2030

Future proofing a booming industrial sector

Sri Lanka has great potential to reduce its carbon footprint while building energy security and a modern economy based on sustainable fuels. The country’s growing industrial sector plays a key role in this. On the one hand, this sector provides income for 30 per cent of the nation’s workforce and delivers the second highest share of GDP. On the other hand, industries are one of the largest consumers of the country’s fossil fuel-based energy.

In 2019 imported fossil fuels supplied more than half of Sri Lanka’s energy demand. Industry consumed about 15 per cent of all oil products and 33 per cent of electricity. Supporting the industrial sector to shift away from fossil fuels and become more sustainable will future proof this critical part of the economy.

To get there we are pursuing five key pillars of industrial decarbonization.

Making the use of materials more efficient: Optimizing the use of materials in production processes, including strategies like reducing waste during manufacturing and enhancing the recycling and reusability of products.
Energy efficiency: Reducing energy consumption in industrial processes by using energy-efficient technologies and practices.
Electrification: Transitioning from fossil fuel-based energy sources to electricity, preferably sourced from renewable energy, for industrial heating.
Low-carbon fuels, feedstocks and energy sources: Shifting to energy sources and feedstocks that produce lower or zero carbon emissions during their production or use, such as renewable electricity, green hydrogen and biofuels.
Carbon capture, utilization and storage: Using technologies and processes designed to capture GHG emissions from industrial processes, which then either use the captured GHG or store it underground to prevent its release into the atmosphere.

Taking action on multiple fronts

To make progress in each pillar , in partnership with the Ministries of Environment, Industries, Power and Energy, we work across multiple areas. These range from measuring and reporting GHG emissions to creating a policy environment that encourages industries to decarbonize. We are also training industry managers and service providers to develop the expertise they need across each pillar, while unlocking funding opportunities, giving industry leaders incentives to increase low-carbon technology investments.

Prioritizing high emitters and energy consumers

Our efforts are focused on those industries that consume the largest share of electricity as well as those that use a lot of energy and resources in their production processes. We also prioritize sub-sectors that have a higher potential for GHG emission reductions.