The Hon. Kumara Jayakody - Minister of Energy

¶ 01 Hon. Deputy Chairperson, he mentioned my name many times—thank you. However, he said many falsehoods. Although it was claimed that 2022 specifications were unchanged, they were changed in 2023—not by us. You, as a former responsible Minister, should not make false statements. We have not changed any conditions in the current tender; future changes may come, but not in this one.

¶ 02 On reduced specifications: the agreements clearly provide GCV adjustment formulas for coal between 5,900 and 6,150 and for below 5,900. There are about six specification parameters—such as fly ash, etc.—and liquidated damages formulas for each, set under international commercial terms and dispute resolution, not political whim. We are bound to act accordingly. Suppliers are chosen by tender boards, not by Ministers or Cabinet. From 2023 to end-2025, without any tender process, a procurement was corruptly awarded to a company with no qualifications—one that had never sold a single lump of coal anywhere, had not supplied outside Sri Lanka even after two years, and was associated with close relatives of the previous regime. Where were you then? Eventually they built up qualifications—but only after about three years. Even then they did not win this tender; hence some Members now shout. If specifications deviate, penalties apply.

¶ 03 Six coal shipments have arrived; more are en route. On the first and third ships, GCV was below 5,900; we have notified the supplier. If such deviations continue, we can consider default as per contract. We act strictly according to conditions regardless of who the supplier is.

¶ 04 On emergencies, Cabinet authorized emergency coal purchases if required; we have sought Procurement Commission approval. A call for 300,000 tons is not waste—if procured, it will be used, not dumped. 300,000 tons is not even enough for one month at full operation in one plant. Do not mislead the public.

¶ 05 On LNG: the previous LNG tender was burdensome to Sri Lanka and has expired by bid validity; we did not “cancel” it—the validity lapsed. Also, you cannot get an FSRU below about 1,500 MW equivalent; our average load is under 1,000 MW. Taking 1,500 MW imposes a 50 percent excess capacity charge—who pays that? We will take proper action.