Third coal shipment for Norochcholai below standard, claims FLSP

The third coal shipment purchased for Norochcholai Power Plant is of inferior quality, Front Line Socialist Party (FLSP) alleged yesterday. 

FLSP Secretary Education Affairs said the following on the coal shipment  during a press briefing.

“When we previously pointed out that the coal imported from the Indian company Trident Chemphar was substandard, the government—specifically the Minister of Power and Energy—denied it. They refused to accept it even after the government laboratory affiliated with the Norochcholai Lakvijaya Power Plant reported that the coal from the first ship had low calorific value and a high ash content. A second test on those samples was conducted at a laboratory in India, which confirmed the Sri Lankan lab’s findings. Following this, the government took an arbitrary decision to suspend the release of laboratory reports in Sri Lanka.

However, even if lab reports are hidden, the quality can ultimately be determined by the amount of electricity generated by the plant relative to the amount of coal used. According to a report released by the CEB on January 21, the coal stocks from the third ship are also below standard. Usually, each of the three generators at the Lakvijaya plant generates 270 MW, totaling 810 MW. However, using the coal from the third ship, they have generated only about 715 MW—with the three generators producing 240, 239, and 236 MW respectively. The [designed] capacity of these units is 300 MW. Power expert Mr. Vidhura Ralapanawe has clearly pointed this out. Therefore, it is evident that the coal in the third ship is also of poor quality. According to the tender agreement, if the stocks from two ships fail quality standards, the order should be canceled.   

The government, which turned a deaf ear to our warnings since September 2024, has told The Sunday Times today that they acknowledge the quality issue. They have proposed two alternatives: making spot emergency purchases and inspecting coal at the loading port to reject it if it is substandard. These decisions should have been taken much earlier. It is too late now. There are less than three months left to unload the coal required for the entire coming year before the monsoon season begins in April.   

This tender process is suspicious. The calling of tenders was delayed by three months, during which time this company was granted registration. 

Tender specifications were altered to suit this company, and the tender period was reduced from six weeks to three. At that time, they claimed it was an emergency. Despite that claim, they took six weeks to award the tender. This is a company that faced allegations of fraud while importing rice for Sathosa. 

The owner of this company was arrested in India on money laundering charges. The local agent of this company has also faced allegations of fraud.   

Despite such clear allegations, why is the Minister of Power and Energy defending this company so vigorously? We repeatedly call on the President to intervene and conduct an impartial investigation. Do not burden the public with the losses of this misconduct through electricity bills. Recover the losses from those responsible. Do not protect the thieves.”