Sri Lanka on Friday appointed a high-powered Presidential Commission to probe a state-owned entity’s coal imports for power generation going back to about two decades. The Commission appointed by President Anura Kumara Dissanayake will probe Lanka Coal Ltd from the time coal came to be imported for power generation going back decades until April 16, 2026, a release from the President's Office said.
The Lanka Coal Company (Pvt) Limited was established in 2008 to procure and supply coal for thermal power generation following a decision taken by the Cabinet of Ministers in 2006 and registered under the Companies Act, No 7 of 2007.
The Commission was appointed as per the provisions of Section 2 of the Special Presidential Commissions of Inquiry Act No 07 of 1978, as amended by the Special Presidential Commissions of Inquiry (Special Provisions) Act No 04 of 1978, the release said.
The Lanka Coal offices were sealed by the police for a few days last week before reopening. The presidential probe would investigate if coal imports had caused a loss to the state, if the accepted procurement procedures had not been adhered to.
The announcement of the probe commission follows a police complaint lodged by Dissanayake’s secretary last week urging an investigation into coal imports by Lanka Coal during past years, apparently as a reaction to the opposition moving a 'No Trust' motion in parliament against Energy Minister Kumara Jayakodi.
The opposition charged that the government had committed irregularities in coal imports by importing sub-standard coal causing heavy financial losses. The government’s defence was that no corruption occurred in importing coal. Jayakodi defied the opposition call for resignation by winning the motion with the support of the ruling party’s overwhelming majority.
Minister resigns days after surviving no-trust motion
Sri Lanka’s Minister for Power and Energy Kumara Jayakodi resigned on Friday soon after a high-powered Presidential Commission was announced to probe a state-owned entity’s coal imports for power generation. Jayakodi, who survived a “no-trust” vote last week, is the first resignation of the National People's Power (NPP) government since it was elected in late 2024 on an anti-corruption platform.
Along with Jayakodi, Ministry's Secretary Udayanga Hemapala too resigned from the post, President Anura Kumara Dissanayake’s office said. According to the President’s Media Division (PMD), the move is to facilitate an independent investigation by the Special Presidential Commission appointed to probe matters related to coal imports, it said.
Earlier in the day, Sri Lanka appointed the high-powered Presidential Commission to probe Lanka Coal Ltd from the time coal came to be imported for power generation going back decades until April 16, 2026, a release from the President’s Office said.
Jayakodi was the first NPP minister to face a 'No Trust' motion, but survived on the strength of sheer parliamentary numbers enjoyed by the NPP to soundly defeat it 153-49 on April 10. In the no-trust motion, Jayakodi was accused of causing a massive loss to the state on purchasing coal, endangering national energy security by misappropriating the state procurement process.
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