Hon. S.M. Marikkar

Mr. Deputy Speaker, at the adjournment of the House today, I move the following: “Whereas, based on the recommendations of the Auditor General regarding the procurement process for purchase of coal for the Lakvijaya Coal Power Plant at Norochcholai, the Committee on Public Enterprises (COPE) of Parliament has issued further policy directions; and Whereas, for the ‘2025–2026 coal year,’ the procurement process to supply 12.32 million metric tons of coal required by the Lakvijaya Coal Power Plant should have been conducted, in compliance with Government Procurement Guidelines, ensuring and maximizing competition while safeguarding the basic prerequisites of suppliers, including: 1. Financial capacity; 2. Experience; 3. Quality of supply; and 4. Adequate performance bonds; Yet, contrary to: 1. The procurement process recommended by the Auditor General for coal procurement, through corrupt actions; 2. The instructions issued by COPE on the procurement process to be followed for purchase of coal; 3. The selection of a reliable supplier who can guarantee the quality of supply; and 4. The supplier’s ability to supply coal to the plant within the stipulated timeframes; The present Government has thereby jeopardized Sri Lanka’s ‘energy security.’ And whereas, by this process, the Ceylon Electricity Board (CEB) has already incurred massive financial losses; and the Lakvijaya Coal Power Plant’s turbine last-stage blades, air pre-heaters (APH), boiler tubes, and the FGD system are now in need of repairs due to the use of substandard coal, incurring enormous expenditure; And whereas, due to the Minister of Energy having misled the National Procurement Commission and the Cabinet of Ministers to obtain approval for a corrupt procurement, the aforesaid circumstances have arisen; This Hon. House therefore resolves that: 1. Immediate measures be taken to safeguard Sri Lanka’s ‘energy security’; 2. The losses caused to the Democratic Socialist Republic of Sri Lanka by the aforesaid corrupt procurement be recovered from those responsible, and necessary steps be taken to prevent further losses; and 3. The accountability of all persons responsible at every level for the aforesaid corrupt and unlawful process be ascertained and the necessary steps be taken.” At the outset, let me say this: across Sri Lanka there are about 3,000 JVP cadres. I earnestly ask them to understand that while you have sacrificed for your revolutionary objectives, some in your Government are living in comfort on the proceeds of theft. I recall how, when Mr. Sirisena brought in a Rolls-Royce and the “Nipuna” rice miller brought a helicopter, if our Government had been in office then, people here would have been jumping up and down, saying, “The farmer cannot even buy a push bicycle but Dudley Sirisena has brought a Rolls-Royce,” and so on. Today, however, there is silence. The President once banged the table about such things. Today, when he repeatedly says, “Not a single rupee is being stolen,” how do these thefts go unnoticed? Today, the Pelawatte “troll army” is primed. We are not afraid. Our duty is to expose these thefts. The then Chairman of the coal company did not act according to the data the Auditor General gave to COPE on 30.09.2022 and which COPE approved on 04.10.2022. In 2022, at a time of shortages and power cuts, they used emergency purchase methods for this too. The three-year supply of 1 million metric tons per year was reduced; the experience requirement of having supplied coal with GCV over 5,900 kcal/kg was reduced; and the bid period was cut from 42 days to 21 days. That deliberately opened the door for corrupt companies and shut out reputable firms. Then, Cabinet approval was sought without informing the Cabinet about the Auditor General’s recommendations, and it was claimed the contract was given to the lowest bidder while ignoring quality. The first ship was due on December 14 but arrived on December 30. The load port was in South Africa, but the report came from Indonesia. Even at Committee we could not accept that the samples tested in Indonesia were those loaded at the port of loading. Corruption began with the tender, continued through the reports, and into sampling. The Minister came here and loudly said there were no issues. When the coal failed, they penalized the company and then halted real-time tests. Normally, when a ship arrives, coal is fed into the boiler and real-time generation is checked at Lakvijaya. The first ship failed. A third party in India was then asked to test; the results tallied. When we said the second ship had failed, they jumped up to deny it and claimed penalties would be levied, but we see no records. They imagined a press conference by the coal company officials and a fake public relations blitz would make it go away. If you can, hold Provincial Council elections—let that be the litmus test. Past Governments had corruption. But not in broad daylight like this. This is two or three times the bond scam. [Expunged on the order of the Chair.] The second ship also failed. I suspect after that they resorted to forged documentation. Today, read and examine the record. Even before this coal was brought, we warned the Secretary at Committee about this risk. They even announced a penalty of USD 2.1 million for the first vessel at a media briefing. But where is any of that evidenced? I will table all the documents relevant to what I state today. [Expunged on the order of the Chair.] When the Lakvijaya plant’s own reports showed failures, an Indian company’s report said pass. That is forged documentation. The Lakvijaya reports show required GCV above 5,900 kcal/kg. For the first eight ships, reported values were repeatedly below that threshold. I will table those reports. This is the most historic grand theft of the Power Ministry—Malima Government’s biggest robbery. If this coal were good, ash content should be about 11 percent. But every ship has ash over 16 percent. With such ash, boiler damage is likely. Repairs can take six months, and if the plant is down, the country will be forced to buy diesel generation—another “diesel mafia” game. If ash exceeds 16 percent, the tender should be cancelled; if two ships are rejected, the whole tender must be cancelled. Instead, they are making the rounds. Check whether, during the relevant period, deposits were made into an account in the People’s Bank Homagama Branch in the name of a certain “madam.” Check that account. Now they are even mixing old coal with this suspect coal to mask the problem. By February, the previous stocks run out, and from March onward only this substandard coal will be used—then you cannot generate the required power. Either you cut power or you buy expensive diesel power. We do not seek power by plunging the country into darkness, with long queues for gas and people suffering. We do not have that cursed ambition. We have not stolen. We have not looted. [Expunged on the order of the Chair.] This is a broad-daylight heist that cannot be sanitized. [Expunged on the order of the Chair.] I will table all those permits at the next sitting. [Expunged on the order of the Chair.] When we speak of these thefts, you cannot bear to listen. Hon. Deputy Speaker, my time is over? The Hon. Gayantha Karunathilleka will give me more time.