Loss to the Country Due to Substandard Coal Amounts to Rs. 8,497 Million

Public Utilities Commission Confirms with Evidence that the Coal Imported by This Government Is Substandard

– Opposition Leader Points Out –

(Sujith Mangala De  Silva)

The Opposition Leader stated that the Samagi Jana Balawegaya had repeatedly informed the government, the President, and the subject Minister that the coal imported to Sri Lanka from South Africa was substandard. He said that the report recently issued by the Public Utilities Commission of Sri Lanka further confirms these claims with evidence.

According to the data presented in the report—comparing coal imported from Russia and coal imported from South Africa—it is evident that the South African coal is of inferior quality, he said.

Opposition Leader Sajith Premadasa made these remarks while delivering a special statement today regarding the report issued by the Public Utilities Commission on the coal imported from South Africa.

Failure to Generate Full Capacity

According to the report, the South African coal has failed to enable the power plant to produce its full generation capacity. Although 300 megawatts should be generated, there were instances where this level of output could not be achieved using the South African coal shipments.

Furthermore, when examining the average coal burn rate, it was found to be higher than that of Russian coal, which, according to the Opposition Leader, further proves its inferior quality.

Substandard Quality Proven

Even when considering specific coal consumption, the report indicates higher values for the South African coal compared to Russian coal. Based on plant performance data, it appears that the required Gross Calorific Energy (GCE) value of 5900–6150 or 6200 could not be achieved.

He also noted that, as specifically mentioned in the report, the Lakvijaya report is considered more accurate than the load port and dispatch reports.

Truth Revealed Despite Minister’s Rejection

Although the Ministry, the Ceylon Electricity Board, and even the Minister did not accept the Lakvijaya Power Plant reports, the Public Utilities Commission has accepted them and formally concluded that the South African coal is substandard.

When examining fly ash emission data, Russian coal reportedly produces 0.46 kilograms of ash per kilowatt-hour, whereas the South African coal produces 0.93 kilograms per kilowatt-hour—an increase of 102%. This analysis of fly ash emissions further demonstrates the inferior quality of the South African coal, the Opposition Leader emphasized.

Financial Loss of Rs. 8,497 Million

According to the Public Utilities Commission’s report, the loss incurred from nine coal shipments amounts to Rs. 8,497 million. The report also highlights higher ash content, steam temperature limit exceedances, excessive wear and tear on equipment due to substandard coal, and the risk of equipment damage caused by boiler overheating.

Considering these facts, the Opposition Leader stated that it is clear the coal imported from South Africa by the current government is substandard. He further noted that the government has now initiated an emergency procurement process, which he said further confirms the issue.

He pointed out that the government plans to import five additional ships carrying 60,000 tons each, despite the country requiring 36 ships annually. He argued that the decision to proceed with emergency purchases indicates deficiencies in the quality of coal procured through the regular tender process.

Government Must Answer to the Public

The Opposition Leader stated that although the Samagi Jana Balawegaya consistently raised these concerns, the government rejected them. Even though ministers claimed that while the coal may have been substandard there was no corruption involved, the data analysis conducted by the Public Utilities Commission clearly indicates that the current government imported inferior coal. Therefore, the government must now provide answers to the public, Sajith Premadasa further stated.