Importing substandard coal for Sri Lanka's Norochcholai Lakvijaya Power Plant has resulted in a loss exceeding Rs. 17.9 billionto the state, opposition lawmaker S M Marikkar said.
Speaking at a press briefing, the Samagi Jana Balawegaya (SJB) MP cited an expert panel report commissioned by a parliamentary oversight committee and called on the government to clarify whether legal action will be taken against former Energy Minister Kumara Jayakody.
The report, compiled by officials from the Ministry of Power and the Public Utilities Commission of Sri Lanka (PUCSL), will be formally submitted to Parliament next week.
According to the findings, the majority of the financial damage stemmed from emergency measures required to keep the national grid operational.
State energy suppliers spent Rs. 8.57bn purchasing emergency power from private providers following breakdowns linked to the poor-quality coal.
A further Rs. 2.28bn was lost when missing delivery schedules forced the state to buy five replacement shipments at inflated spot-market rates.
The lower-grade coal also reduced generation efficiency, requiring the plant to burn an extra Rs 709m worth of fuel to maintain its standard 300-megawatt output, while high ash content caused nearly Rs 93m in machinery repairs and waste disposal costs.
Marikkar said the financial fallout had ultimately been passed on to the public through higher electricity tariffs and increased taxes.
A separate Special Presidential Commission of Inquiry investigating the procurement process has issued formal notices to several individuals, including Jayakody, with its final report due shortly.
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