Blue Arc, BOI partner to launch Lanka’s first containerised substation assembly plant

Blue Arc Manufacturing has signed an agreement with the Board of Investment (BOI) to establish Sri Lanka’s first containerised substation assembly facility, marking a significant milestone in the country’s industrial and engineering sector.

The project will see the design and manufacture of specialised electrical systems for demanding environments, with a primary focus on tunnelling and mining applications in the Australian market. It is also the first time Sri Lankan labour will be directly involved in producing such high-end, export-oriented electrical infrastructure.

By leveraging a skilled local workforce and adhering to international engineering standards, Blue Arc aims to deliver advanced electrical solutions to the mining, tunnelling, and construction sectors in Australia.

The company’s current product portfolio includes skid substations, containerised substations, and containerised switch rooms, which are assembled for use across metals, energy, industrial, and infrastructure projects.

A company official noted that these units are specifically engineered to meet strict Australian mining and construction standards, while the company is also exploring expansion into sectors such as solar and hydropower.

Industry demand for containerised electrical systems is growing steadily, driven by the need for faster project execution, improved energy efficiency, and the integration of smart technologies.

Blue Arc’s supply chain spans multiple countries, including China, India, and Australia, alongside local sourcing. Components are assembled, tested, and delivered as fully integrated substations in Sri Lanka, utilising local expertise in mechanical, electrical, and fabrication work.

The initiative is also expected to strengthen local supply chain partnerships, with key components such as switchboards, metal skids, and prefabricated modules increasingly sourced from domestic vendors. The company will provide training and technical guidance to ensure quality and compliance with international standards.

Looking ahead, Blue Arc has a pipeline of major projects and plans to introduce new tunnelling and mining solutions tailored for global markets. The company is also targeting expansion into the United Kingdom, India, and New Zealand, supported by an enhanced international marketing strategy.