The Sri Lankan Government will appoint a high powered committee soon to oversee the procurement of coal to operate the Norochcholai power plant to avoid tender bending, Power and Renewable Energy Minister Ranjith Siyambalapitiya revealed. Since 2012 the Lanka Coal Company (LCC) which was the sole importer of coal to Sri Lanka had been doing [...]

The Sunday Times Sri Lanka

High powered committee to prevent coal tender bending

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The Sri Lankan Government will appoint a high powered committee soon to oversee the procurement of coal to operate the Norochcholai power plant to avoid tender bending, Power and Renewable Energy Minister Ranjith Siyambalapitiya revealed.

Since 2012 the Lanka Coal Company (LCC) which was the sole importer of coal to Sri Lanka had been doing so without adhering to proper tender procedures, he said.

A stock of 7800 metric tons of coal is needed daily to operate all three phases of the Norochcholai power plant, the Minister disclosed adding that the awarding of the tender for prospective bidders had been carried out in a suspicious manner in the past
The new committee which will be appointed by the President with the consent of the Prime Minister will streamline the coal procurement procedure, he said.

The coal tender was awarded to Noble Resources International Pvt. Ltd in the past disqualifying other bidders on the directive of some officials, allegedly to share a massive commission of US$13.5 million a year at the rate of $6 per metric ton.

These tender manipulations will not be entertained in the future following the setting upAA of the new committee to handle tenders, he added. (Bandula)

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