A high-stakes energy controversy unfolds as emergency coal purchases, delayed procurement, and audit concerns collide, raising urgent questions over cost, accountability, and Sri Lanka’s power security.
Kalidu, the spot tender process is described as diverting a ship that is heading to another country and securing it for local use at a higher cost.
The “spot tender” method used in coal procurement is an emergency purchasing mechanism, similar to halting ships at sea during urgent situations and obtaining coal at prices higher than standard market rates, according to Trade Minister Wasantha Samarasinghe.
Speaking on the Derana “360” program, the Minister explained that delays in completing procurement procedures have forced the government into purchasing coal at elevated prices under urgent conditions.
He further stated that Auditor General reports highlight a delay of 41 days between November and December 2025, a period during which coal procurement could have been completed under normal procedures.
As a result of this delay, authorities were compelled to rely on the spot tender method instead of the standard term tender process in order to secure adequate coal stocks before the start of the seasonal demand.
He also emphasized that since the operational season begins between May 10 and 15, it is critical to unload and distribute coal supplies before that period to ensure uninterrupted electricity generation.
It was also noted that the Auditor General has raised concerns regarding the qualifications of companies selected to supply coal through the spot tender process.
According to audit findings, some of these companies lack recent experience in supplying coal that meets required standards, particularly within the last 36 months. However, the Minister clarified that such experience requirements are not strictly enforced when dealing with emergency procurement situations such as spot tenders.
Responding to criticism about the relaxation of thermal power criteria previously required for coal suppliers, the Minister stated that these changes were introduced to break monopolies held by certain companies during previous administrations and to encourage greater market competition.
He further pointed out that due to suppliers failing to deliver the required number of shipments, for example only 12 ships arriving instead of the expected 18, the government had no alternative but to depend on spot tenders to sustain the country’s electricity supply.
Mr. Wasantha Samarasinghe also confirmed that an investigation commission has already been appointed to examine the irregularities and delays associated with the entire coal procurement process.
