COPE launches inquiry into CEB power purchases

Published : 12:01 am  August 7, 2018 | No comments so far |  | 

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  • Action taken against DGM for refusing to approve purchase

 

By Sandun A Jayasekera

The parliamentary Committee On Public Enterprises (COPE) is to inquire into whether there were any irregularities in the CEB purchasing electricity from Private Power Producers (PPP) with the connivance of the Power and Renewable Energy Ministry while bypassing tender procedures. 

Based on a COPE directive the Public Utilities Commission of Sri Lanka, (PUCSL) and the Ministry of Power and Renewable Energy are reported to have submitted reports.  


COPE has summoned officials from the three institutions in connection with its investigations on the purchase of electricity from private power plants after it was revealed that CEB incurred a massive loss compared to 2016 because of such purchases.  


The Auditor General’s Department was also carried out an audit on the procurement system and submitted a report to COPE yesterday.  


The CEB’s three-year agreement signed with ACE Embilipitiya on April 5 to purchase power has raised many an eyebrow because PUCSL had declined to give approval saying the tender awarding procedure was not transparent and as such illegal.  


However, it was revealed that payments amounting to Rs.850 million had been made to ACE Embilipitiya by the CEB with special approval from the Ministry of Power and Renewable Energy Secretary Dr. Batagoda.  


The CEB had also taken disciplinary action against Energy Purchases DGM Sujeewa Abeywickrama for refusing to approve the power purchase agreement between the CEB and ACE Embilipitiya.   


Meanwhile, CEB Chairman W.B. Ganegala said if the CEB did not sign the power purchasing agreement with the100 MWs ACE Embilipitiya, the power supply to the Southern Province would have been severely affected.   


He said the decision to extend the power purchasing agreement from Ace Embilipitiya was a Cabinet decision approved by the Cabinet-Appointed Procurement Committee (CAPC) and no one could challenge a Cabinet decision and therefore the CEB signed the agreement on April 15. 

 

 

 

Agreement with ACE Embilipitiya to purchase power has raised many an eyebrow 

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