A major controversy is brewing over the proposed awarding of the tender of the Kerawalapitiya 300MW Liquified Natural Gas (LNG) power plant to Lakdhanavi Ltd, in which the Ceylon Electricity Board (CEB) has a 60 per cent stake. Informed sources said that this week the Cabinet requested the Finance Minister’s comments before a final decision [...]

Business Times

Power tender controversy

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A major controversy is brewing over the proposed awarding of the tender of the Kerawalapitiya 300MW Liquified Natural Gas (LNG) power plant to Lakdhanavi Ltd, in which the Ceylon Electricity Board (CEB) has a 60 per cent stake.

Informed sources said that this week the Cabinet requested the Finance Minister’s comments before a final decision is made.

Earlier the Technical Evaluation Committee (TEC) had submitted that the Lakdhanavi bid, though the lowest, should be rejected. However the TEC recommendation was not accepted by the Standing Cabinet Appointed Procurement Committee (SCAPE) and, at its insistence, the TEC picked Lakdhanavi. Other bidders then complained and the Procurement Appeals Board (PAB) in its review had said the Lakdhanavi bid was not the ‘lowest’ responsive bid, which is part of procurement guidelines.

The sources said the matter now hinges on the Finance Minister’s comments on the issue.

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