• Govt. backs Jayakody despite probe
• Russel Aponsu takes over as Energy Ministry Secy. 

Energy Minister Kumara Jayakody and Ministry Secretary Prof. Udayanga Hemapala stepped down on Friday (17), in what they said was a move to clear the way for an independent probe into the controversial coal import system, after the President appointed a Special Presidential Commission of Inquiry (SPCoI) to examine alleged irregularities and financial losses.

The Government, however, adamantly maintained that Jayakody was not involved in any corruption related to coal imports.

For months, the Government has maintained that there were no substandard coal imports, despite multiple sources claiming otherwise. The scale of losses incurred from the use of substandard coal, the resultant impact on machinery, and whether the Government will attempt to recover losses from customers remain contested.

President Anura Kumara Dissanayake has appointed G.M.R.D. Aponsu as the new Secretary to the Ministry of Energy. The letter of appointment was handed over by Presidential Secretary Dr. Nandika Sanath Kumanayake at the Presidential Secretariat on Friday afternoon.

Aponsu previously served as Senior Additional Secretary to the President for Finance and Economic Affairs, and is a senior officer of the Sri Lanka Planning Service (SLPS).

The Government is yet to announce a new energy minister, with the Cabinet Spokesperson stating that the President will appoint one soon. Aponsu was scheduled to assume duties on Saturday (18).

Jayakody resigned from his post with immediate effect, stating he would step down until investigations into coal procurement concluded and the truth was established.

Jayakody announced that he had tendered his resignation to President Dissanayake on Friday, shortly after the Government appointed the SPCoI to probe alleged irregularities in coal imports and electricity generation.

In his letter, Jayakody said that the decision had been taken to ensure the investigations could proceed independently and without any perception of interference.

“I resign from my ministerial portfolio with effect from 17 April until the investigation is concluded and the truth is established before the public,” he stated.

He also commended the President’s move to appoint a commission and initiate a formal probe through the Criminal Investigation Department (CID) into coal imports dating back to 2009, describing it as a demonstration of a firm commitment to combating corruption and upholding the public mandate.

“I highly appreciate your courageous determination against corruption and your commitment to transparent governance. I believe such measures are essential for future generations and that the truth will be revealed through these processes,” he noted.

Referring to the recent No-Confidence Motion brought against him in Parliament, Jayakody expressed gratitude for the confidence placed in him by the Government and denied any wrongdoing.

“I state with a clear conscience that I have not been involved, directly or indirectly, in any act that would undermine that trust,” he claimed.

He further stressed that the investigations had to be conducted impartially, adding that his continued presence in office could be perceived as an impediment to the process.

“I believe these investigations should be carried out in a fully independent and unbiased manner. Therefore, I have decided to resign from the position of Minister of Energy,” he added, noting that he would accept any outcome of the probe.

In a parallel development, Prof. Hemapala also tendered his resignation, stating that the move was necessary to safeguard the independence of the inquiry process.

The SPCoI was appointed under the Special Presidential Commissions of Inquiry Law No.7 of 1978 (as amended), read together with the Special Presidential Commissions of Inquiry (Special Provisions) Act No.4 of 1978. The relevant gazette notification was issued on the same day.

According to the gazette, the commission has been mandated to examine whether any irregularities or unlawful acts have occurred in the importation of coal to Sri Lanka and in electricity generation by the State-owned Lanka Coal Company Ltd. (LCC) or its successors, from the inception of coal-based power generation up to 16 April.

The probe will also assess whether electricity generation has been carried out at the expected level of efficiency, determine whether substandard coal has been imported, and evaluate any financial losses incurred by the Government. The scope of the inquiry extends to procurement, supply, quality testing, operational procedures, and utilisation.

The three-member commission is chaired by Supreme Court Justice Gihan Kulatunga, with Court of Appeal Justice Aditya Patabendige and High Court Judge Sanjeewa Somaratne serving as members. Former Ministry Secretary P.V. Bandulasena has been appointed as its Secretary.

Following the developments, the Government held a media briefing on Friday at the Department of Government Information. Foreign Affairs Minister Vijitha Herath, Cabinet Spokesperson Dr. Nalinda Jayatissa, and Transport Minister Bimal Rathnayake participated in the media briefing, along with Minister of Rural Development, Social Security, and Community Empowerment Upali Pannilage and Deputy Minister of Energy Arkam Ilyas.

When asked whether the Chairman of the LCC would also resign – as the company has been embroiled in the substandard coal controversy and its office premises have reportedly been sealed by the CID – the Ministers said that no such decision had been taken at this stage.

They noted, however, that decisions regarding the resignation or removal of other officials, apart from the Minister and the Ministry Secretary, would be taken based on the findings of ongoing investigations.

Minister Herath stated that no form of corruption or fraud had occurred in the controversial coal importation process. However, he acknowledged concerns regarding the quality of the imported coal, adding that the Government would “humbly inform the public” of the issue.

Herath said that a structured procurement process and quality assurance mechanisms unprecedented in previous administrations had been implemented under the current Government.

He emphasised that the coal import process had been carried out through an independent mechanism comprising State officials, in accordance with established procurement guidelines, and that international laboratory testing and sample inspections had been properly conducted.

“There has been no finding in any investigation conducted so far to suggest any direct involvement of the Minister or any private dealings with external parties,” he stressed.

The Minister also conceded that electricity generation using the imported coal had fallen below expected capacity levels. “We openly state that there is a quality issue here. Laboratory reports are required for that. However, it is baseless to claim that someone committed fraud simply because the quality is substandard,” he said.

Herath further revealed that the matter had been discussed for more than six hours at a recent Committee on Public Enterprises (COPE) meeting, and that an audit report tabled with the agreement of Government members contained no reference to any fraudulent conduct by the Minister.

He noted that the audit findings pointed only to issues relating to the quality of coal.

The Minister also said that the Government, in collaboration with the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) and other State institutions, was already implementing a five-year action plan to uphold the public mandate and ensure that no form of corruption or fraud would be tolerated.

Cabinet Spokesperson Dr. Jayatissa said that Jayakody and Prof. Hemapala had resigned to safeguard the independence of the SPCoI. He further noted that any decisions regarding other officials would be taken based on the progress and findings of the ongoing investigations.

Responding to questions raised by journalists, he said that no decision had been made at this stage on whether other officials, including those of the LCC, should resign.

Herath stated that the operations of the LCC were currently being conducted under the supervision of the CID to ensure that investigations proceeded without obstruction.

Accordingly, he added that there were no concerns regarding the continuation of operations at present.

Herath further said that the SPCoI appointed by President Dissanayake had been instructed to complete its investigations within six months and submit its report.

He said that the commission had been mandated to conduct a comprehensive inquiry into alleged irregularities and corruption in coal imports from the inception of coal-based power generation in Sri Lanka during the 2009/2010 period up to 16 April this year.

Herath noted that the commission had been established as an open forum, allowing any individual in possession of information, data, or evidence related to coal imports to come forward and make submissions.

The Minister further stated that the objective of the inquiry was to go beyond existing audit reports, CID investigations, and parliamentary No-Confidence Motions, and to conduct a broader and more in-depth examination of the matter.

Minister Rathnayake asserted that there had been ‘no delay’ in the Government’s response to the controversy.

He argued that the Government had initially believed that the facts presented during parliamentary debates, public television discussions, and the hours-long COPE audit would be sufficient to address the matter.

Rathnayake emphasised that while no “specific corruption charges” had been established against the Minister either in Parliament or at COPE, the Government had nevertheless decided to act, stressing that “credibility in the public mind is important”.