COLOMBO, Oct. 11 — Sri Lanka’s two national electricity generation bodies have collectively incurred an estimated loss of 15.765 billion Sri Lankan rupees (about 47.7 million U.S. dollars) due to substandard coal supplied during 2025 and 2026, local media outlet Newswire on Sunday quoted Energy Minister Anura Karunathilaka as saying.
Karunathilaka told the parliament recently that the National System Operator incurred an additional cost of 8.572 billion rupees to purchase electricity that could not be generated because of the poor-quality coal.
The Electricity Generation Lanka incurred another 7.192 billion rupees to procure additional coal, carry out essential maintenance and meet increased handling costs, he said.
Karunathilaka said the government had decided not to pass the financial burden arising from the issue on to electricity consumers.
Meanwhile, the Lanka Coal Company has recovered 16.989 billion rupees from the supplier through performance guarantees and penalties related to the coal supplies, the minister said.
Concerns over coal quality have centered on supplies to the Lakvijaya Power Plant in Norochcholai.
A presidential commission of inquiry has been appointed to investigate previous coal procurement and supply processes and the circumstances surrounding the allegations.
(Namibia Daily News/Xinhua)
