The Cabinet of Ministers has granted urgent approval for the emergency procurement of 300,000 metric tons (MT) of coal to ensure the continuous operation of the Lakvijaya Power Plant in Norochcholai, a senior government source confirmed today. The decision follows a growing controversy over the quality of coal imported from South Africa under a long-term tender. Internal laboratory tests recently revealed that several consignments failed to meet the required standards for calorific value and ash content.
The first shipment of 60,000 MT of South African coal, supplied by India's Trident Chemphar Ltd., reportedly showed an ash content of 21%, significantly higher than the maximum rejection limit of 16%.Energy experts warn that the use of low-quality coal has already reduced the national grid’s output by approximately 95 MW, as the Lakvijaya plant is unable to reach its full 810 MW capacity.
The "Monsoon Deadline": Government officials are racing against time to secure and unload sufficient stocks before the onset of the southwest monsoon in May. Rough sea conditions typically make unloading operations at the Norochcholai jetty impossible between May and September.
The emergency purchase is intended as a safety net. While the government has already imposed a US$ 2 million fine on the supplier for the first substandard shipment, the long-term tender remains active. Under current regulations, the contract can only be terminated if three shipments fail quality s
The shortfall in coal-fired power is currently being met by activating costly petroleum-based thermal plants, such as the Kelanitissa Combined Cycle Power Plant. Moving to emergency spot purchases is expected to be more expensive than the original tender, but officials argue it is a necessary cost to prevent a wider energy crisis.
Opposition leaders and environmentalists have called for greater transparency, urging the Ministry of Energy to release independent laboratory reports from Cotecna India to verify the true extent of the quality failures.
