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Sri Lanka

FSP demands clarification over coal tender

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The Frontline Socialist Party (FSP) has called on the Sri Lankan government to issue an immediate public explanation over news reports that the chairman of the Lanka Coal Company resigned in protest over alleged malpractice in the awarding of a recent coal tender.

Speaking at a press conference in Nugegoda on Friday (22), FSP Education Secretary Pubudu Jayagoda alleged serious irregularities in the tender process, claiming that the timeframe for bid submissions was abruptly shortened from the standard six weeks to just three, severely limiting competitive participation and enabling a prearranged outcome.

Although the government has cited an “emergency” to justify the shortened deadline, Jayagoda said no details have been provided to substantiate that claim.

He noted that tenders are usually called between February and May, but the process was inexplicably delayed until August, which he warned would result in Sri Lanka’s first coal shipment arriving in November instead of September.

“This opens the door to either inflated coal purchases on the spot market, or the real possibility of power cuts if rainfall is low. In both cases, the public pays the price, either through higher electricity bills or supply disruptions,” he said.

He also raised concerns about the alleged influence of private interests, suggesting that delays in coal procurement could benefit diesel power plant operators.

Jayagoda said the government is favouring a company linked to a prominent figure, claiming the same entity had previously been involved in a controversial aviation deal connected to Uganda.

“The very government that once denounced corruption under the Rajapaksa era is now enabling questionable deals involving their close allies,” he charged.

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