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Milch cow racket throws Parliament into turmoil

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By Saman Indrajith

Rs 325.23 billion had been spent on importing milk and milk-related products during the Yahapalana government, Parliament was told yesterday.

Responding to a question by SLPP MP Mohamed Muzammil, State Minister of Samurdhi, Household Economy, Micro Finance, Self-Employment and Business Development Shehan Semasinghe said that 488.48 million kilos of milk powder and milk-related products had been imported between 2015 to 2019.

Minister Semasinghe said Sri Lanka had imported 86 million kilos of milk powder and milk-related products in 2015, 99 million kilos in 2016, 98 million kilos in 2017, 104 million kilos in 2018 and 98 kilos in 2019. For this purpose, the government had spent Rs 53 billion in 2015, Rs 60 billion in 2016, Rs 66 billion in 2017, Rs 71 billion in 2018 and Rs 73 billion in 2019.

Asked to explain to the House the measures taken by the incumbent government to promote fresh milk production locally in line with its plans to promote organic agriculture, the minister said that Rs 1,773 million had been allocated by the Budget 2022 to promote poultry and dairy farming. A sum of one billion rupees had been allocated for promoting fresh milk production and Rs 315 million set aside to help small and medium scale dairy farmers. In addition Rs 245 million had been allocated to promote veterinary care while another Rs 217 million was allocated for promoting nutrition of animals. Another Rs 40 million was allocated for value addition for the milk products locally.

MP Muzammil: We saw at the Tuesday’s SJB protest a person found guilty by a presidential commission of squandering Rs 400 million on importing milch cows during the yahapalana government. What action will the government take against that fraudster? He helped himself to funds meant for importing milch cows to be distributed among dairy farmers in Anuradhapura. There have been no cows, and nobody knows where the money has gone.

SJB MPs shouted at MP Muzammil asking him to name the person, and in response MP Muzammil said that it was P. Harrison.

Minister Semasinghe: I do not understand why SJB General Secretary MP Ranjith Madduma Bandara got agitated while we were speaking about the plight of cows. It could have been understandable if he had got disturbed if we had talked about Easter Sunday terror attacks which took place while he was asleep.



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Low-quality coal causes power cuts: Ex-LECO Chief

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Chandrasekera

By Shamindra Ferdinando

The use of low quality coal, over a period of time, had led to the developing crisis at the Lakvijaya Coal Power Plant (LVPP) at Norochcholai that compelled the boastful NPP government to implement power cuts, former Lanka Electricity Company (Private) Limited (LECO) Chairman Bandula Chandrasekera said yesterday.

The government imposed one-hour countrywide power cuts on 19 Oct.

Chandrasekera, now a consumer rights activist, warned that though the government declared the power cuts would be limited to three days, the situation could take a turn for the worse.

The top United Republican Front (URF) activist said so in response to the government’s claim that Saturday’s sudden drop in electricity generation at the country’s only coal-fired power plant hadn’t been caused by the quality issue of coal.

The former LEOCO Chief emphasised that the country was paying a very heavy price for the controversial procurement of low-quality coal for the 2025/2026 season.

“Procurement of low quality coal is not an allegation. It has been accepted by a seven-member committee, headed by K. L. R. C. Wijayasinghe, Additional Secretary, Energy Ministry, appointed by Parliament,” Chandrasekera said, pointing out that the government was trying to mislead the public into believing that the use of coal supplied by Trident Chemphar wasn’t the cause of the current power crisis.

The expert committee that investigated the coal scam had disclosed losses caused by substandard coal, Chandrasekera said, adding that the total losses/damages could be as much as Rs 20 bn.

Trouble erupted in Dec, 2025 when LVPP began using coal purchased from the new supplier, whose selection was challenged by the Auditor General in a special report submitted to Parliament, in April this year, he said.

Since the government entered into a deal with the Indian company, LVPP has so far received 19 ship loads of coal. An investigation conducted on the orders of the Public Utilities Commission of Sri Lanka (PUCSL) revealed that the use of low-quality coal had had a detrimental impact on the LVPP.

The Frontline Socialist Party (FSP) exposed the corrupt deal in Sept. 2025. The NPP run Parliament ignored the disclosure made by the JVP breakaway faction.

Chandrasekera said that the Committee asserted that it would cost approximately Rs 80 mn to restore the LVPP to the previous status. Responding to The Island queries, Chandrasekera emphasised the country couldn’t meet the power requirement unless the LVPP operates without hindrance. Those who had been, for whatever reason, switched to South African coal provided by the Indian supplier should be held accountable and punished, Chandrasekera said, recalling how the NPP parliamentary group defeated the no-confidence motion moved against the then Power Minister Kumara Jayakody, who later quit, as the enormity of the scam and its repercussions shook the government.

Chandrasekera said that the government couldn’t maintain services though the powers that be intended to meet the power deficit with the help of hydropower generated by the Victoria power station. The ex-official underscored the need to inquire into the failure of the authorities to implement the backup plan last Saturday. Had Victoria met the requirement, last Saturday’s countrywide power failure, that lasted from 11.43 am to 11 pm could have been averted, Chandrasekera said.

He also questioned the controversial government decision to disconnect solar power over the weekend as the absence of solar generation obviously aggravated the problem. Chandrasekera emphasised that the latest countrywide power outage exposed the government whose basic strategy was to blame everything on the Opposition.

“We sincerely hope the Presidential Commission inquiring into the coal scams also looks into the situation developing at LVPP due to the use of substandard coal. According to him, the loss caused by the recent outage was estimated to be around Rs 16 bn and the crisis could not be addressed by propaganda campaigns, especially on social media. But, if other factors, including the expenditure on hydro and thermal generation were taken into consideration, the losses could be as much as Rs 20 bn.

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Power cuts continue

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Power cuts continued across the country yesterday and are expected to continue today following the shutdown of all three generating units at the Lakvijaya Power Plant in Norochcholai.

The Public Utilities Commission of Sri Lanka (PUCSL) said approval had been granted on Monday (19) following a request by the National System Operator (NSO) to impose scheduled power cuts.

Accordingly, one-hour power cuts were scheduled between 4.30 p.m. and 9.00 p.m., with the country divided into four zones. Hospitals and locations providing essential services were exempted.

The three Norochcholai generating units remain out of operation following the countrywide power failure last Saturday, prompting the NSO to introduce daily power cuts to manage the available electricity supply.

NSO Chief Executive Officer Buddhika Samarasekara said the power cuts would be necessary yesterday and today (21).

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GL stresses importance of post-war Shangri-La investment after CIABOC questions him

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Prof. G. L. Peiris

By Shamindra Ferdinando

Prof. G. L. Peiris yesterday said he had not been concerned at all about being arrested when the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) summoned him to record a statement regarding an ongoing investigation.

Addressing the media outside the CIABOC, the former External Affairs Minister emphasised that his family had never taken anything from people but contributed to their welfare. The internationally renowned academic said that he didn’t accept lucrative opportunities abroad but remained committed to do whatever possible for the public here.

The CIABOC questioned Prof. Peiris on the launch of the Shangri-La Hotel project here. The Convener of the Janathawadi Joint Opposition said that when the top management of the hotel got in touch with

him, he had brought the matter to the notice of the then President Mahinda Rajapaksa, who promptly gave the go ahead.

Shangri-La was opened in Nov. 2017 with the participation of the then President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe.

Prof. Peiris said that he had been appointed External Affairs Minister nearly a year after the successful conclusion of the war against the LTTE in May 2009. Shangri-La, which owned over 100 hotels at that time, was keen to explore the possibility of opening a hotel here and the government had swiftly grabbed the opportunity. Referring to the opening of ITC Ratnadeepa, in late April 2024, Prof. Peiris explained the importance of foreign investment, particularly after the end of the 30-year war that caused massive devastation.

Responding to media queries, Prof. Peiris said that he strongly opposed efforts to silence political opponents but accepted the need to investigate waste, corruption and irregularities. “People shouldn’t be targeted over their political stand,” the ex-lawmaker said, adding that he as the Minister tasked with attracting such special investments worked in line with the overall government policy.

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