2026-02-05 / Second Reading Debate: Institute of Real Estate Professionals Bill, Container Depot Operators Licensing Bill, and Licensing of Shipping Agents Amendment Bill - Opening Statements

Hon. S.M. Marikkar

2026-02-05

## Summary Hon. Marikkar raised serious allegations of fraud in the Lanka Coal Company's tender process, arguing that qualification criteria were deliberately lowered — reducing past performance requirements from 0.5 million to 0.1 million metric tons and revenue thresholds accordingly — to favour specific parties, and that the Chairman improperly influenced the Tender Board before recusing himself prior to the award decision. He alleged that multiple coal shipments failed to meet quality standards and generate the expected 300 MW output, that quality reports have disappeared, and that a USD 2.1 million penalty was computed without final quality assessments or accounting for equipment damage and replacement power procurement costs. Marikkar also challenged the Government's interpretation of the bid document's termination clause, arguing it requires any two failed shipments rather than two consecutive ones, and accused the responsible Minister of engineering a coal shortage to force power cuts. He called on the Minister of Justice to raise the matter in Cabinet and halt what he characterised as multi-million-dollar corruption, warning that similar irregularities would soon emerge in LPG procurement.

Madam Deputy Chairperson, first, under Standing Order 91(c), I request that the allegations made against Hon. Dayasiri Jayasekara be expunged from the Hansard. It is true he was with the Pohottuwa; likewise, those in the JVP supported bringing Mahinda Rajapaksa to power in 2004, took ministries with President Chandrika Kumaratunga, then with President Rajapaksa, and later helped us in 2015 — so let us not pretend otherwise. I will not dwell further on that. I draw attention to a major fraud in coal procurement. Tenders for Lanka Coal Company must allow 42 days; they reduced it to 21 to limit participation. The past performance requirement — supplying 0.5 million metric tons over three years with calorific value above 5,900 kcal/kg, and company revenue of USD 150 million — was cut down to 0.1 million MT and lower thresholds, clearly to benefit certain parties. The claim of “lowest bidder” ignores quality. We are told the Chairman informally influenced the Tender Board and then recused himself before award — the latest drama: set it up and step away before the decision. The first vessel arrived late (around 30 December). The Ministry still cannot explain how coal unloaded went into the boilers; real-time reports showed failure to generate the expected 300 MW. They accused us of lying, but now admit the first shipment failed quality. The second report has vanished. The Minister denies poor-quality coal arrived; the Ministry says if it had, penalties would be charged. How, without final quality reports? The third and fourth shipments also failed to meet 300 MW. We hear on 27 January the fourth shipment’s coal yielded only 790 MW instead of 810 MW across units. A penalty of USD 2.1 million is mentioned. How was it computed? Was the loss from substandard coal calculated? Was damage to boiler equipment considered? What is the cost of purchasing power to make up the deficit — via which “spot” procurements and at what price? We hear Cabinet approval is being sought for a spot tender — inevitably more expensive than normal tenders. On what basis did they pre-judge penalties? The bid document’s termination clause states: “In the event any two different shipments of coal quality parameters are reported outside the absolute minimum/maximum tolerance limit after testing of coal samples at Load Port and Jetty Port of the Plant as indicated in Clause 5.2 of the Schedules...” They now claim two consecutive ships “failed”. There is no “back-to-back” requirement; it refers to any two different shipments. Their aim is to cancel the tender, create a coal shortage, and force power cuts. We warned this path would lead to outages. We also hear they mixed earlier good coal with poor coal to mask deficiencies. Hon. Minister of Justice, I respect your candour — you once said plainly, “Rohana Wijeweera is not my leader,” and you have spoken forthrightly. Please raise this in Cabinet. Is one person allowed to throw everything into chaos? This is not trivial; these are multi-million-dollar transactions. This Minister listens to no one, cannot work even with his own Secretary, and now a media campaign targets those exposing corruption. He is a National List Minister, previously accused of corruption at the Fertilizer Corporation. If he is using the President’s name to engage in fraud, it will fatally damage your Government. More will be revealed. If you repeat that “not a single rupee is stolen,” look in the mirror. Not everyone is corrupt; there are good people. Earlier I raised a wind power project in Trincomalee — no answer. This fraud harms the nation and risks power cuts. We seek office, yes — but not by manufacturing crises in oil, electricity, or gas. Note this: next, this problem will surface in LPG. I yield my remaining time to Hon. Harshana Rajakaruna. Hon. Minister of Justice, please raise this at Cabinet and stop this fraud.