A biomass fired hot water system of 12 kWth was commissioned at the District Hospital, Monaragala with the participation of the Secretary of the Ministry of Power and Renewable Energy, Dr. Suren Batagoda on 2nd December, 2016. Apart from catering the hot water requirement of the hospital, the system can also soften the hardness and sterilize UV rays in the drinking water. Fully developed by the local entrepreneurship of Spectra Pvt. Ltd., the system is 58% thermally efficient is able to reduce 2.97 tCO2e of Green House Gases per annum. GEF/UNDP/FAO funded project ‘Promoting Sustainable Biomass Energy Production and Modern Bio-Energy Technologies in Sri Lanka’ contributed the whole cost of the system, being LKR 520,000.00. If a private investor fully purchased the hot water system, it would pay back within 4 month time. Aftermath, special lectures were conducted to the end users on ‘Benefits of Modern Biomass Technologies’ and ‘Energy Management & Conservation’ by senior officials of the Sri Lanka Sustainable Energy Authority.