The Sri Lanka Electricity Board, a state enterprise, supervises the generation and transmission of electric power in Sri Lanka. Installed capacity in 2001 was 1,607,000 kW, of which almost three-fourths was hydroelectric. Power generation in 2000 totaled 6.6 billion kWh, of which 31.9% was from fossil fuels and 68.1% from hydropower. Consumption of electricity in 2000 was 201.2 billion kWh. The country's heavy dependence on hydropower creates shortfalls in times of drought, so the government plans to diversify the power sector, adding 2,500 MW of new capacity by 2012.
The Mahaweli hydroelectric project, originally begun in 1970, included the construction of four reservoirs and hydroelectric plants at Victoria, Kotmale, Randenigala, and Maduru Oya, all of which are now in place. The four hydroelectric stations have a combined capacity of 580,000 kW (with the Victoria station contributing 210,000 kW). Sri Lanka meets all of its crude oil requirements with imports. As of 2002 it had a refinery capacity of 50,000 barrels per day. Oil consumption doubled in the 1990s. Sri Lanka does not produce or consume natural gas. It has limited coal reserves and consumes a minimal amount of coal.