Coal tenders above board - Gammanpila | Daily News

Coal tenders above board - Gammanpila

Co-Cabinet Spokesman Energy Minister Udaya Gammanpila yesterday (26) said the statement made by an Opposition MP claiming that several spot tenders were cancelled in a manner that raises serious doubts about the procurement of coal was false.

The Minister emphasised that the Ceylon Coal Company totally denies allegations made by the Opposition and that the allegation that several spot tenders were cancelled and over-purchased was baseless and false.

They also said that the present government had bought at a very competitive price higher than what the Yahapalana had bought and had not cancelled any tender and had arranged to award the tender to the lowest bidder and approval was sought to change the coal loading port.

“Changing the port means that the price changes and that the supplier withdraws from the tender due to the rejection of the request as it would be to the disadvantage of the other suppliers, as the price of the second supplier will be 7 US dollars per metric tonne higher than that of the first supplier.

 He said the increase of 7 US dollars was higher than the prices in the International Coal Price Index and that the tender was cancelled and the bids were called again.

If the government is corrupt, it will buy the tender for more than 7 US dollars but the present government has acted in a manner that benefits the country by not doing so and deciding not to award the tender to the first buyer and the second buyer, the Minister said.