Sri Lanka electricity chief’s claim – Rajapaksa said Modi insisted on Adani for power project, now took U-turn on the statement

The head of Sri Lanka’s electricity authority has testified before a parliamentary panel that he was told by Sri Lankan President Gotabaya Rajapaksa that Indian Prime Minister Narendra Modi had pushed for a 500 MW wind power project directly to the Adani Group. Responding to the claim, Rajapaksa has denied asking any specific institution to award the project.

Two days after his sensational claim, the power authority chief took a U-turn on Sunday night, claiming that he had told a lie after being overcome with emotion. Public Enterprises Ceylon Electricity Board (CEB) chairman MMC Ferdinando had said the Sri Lankan President had told him that the Indian Prime Minister was pushing for a 500 MW wind power plant to the Adani Group.

According to a video clip of his testimony uploaded by the Sri Lankan news channel News1st, Ferdinando said that on 24 November 2021, the President called me after a meeting and said that Prime Minister Modi of India was pressurizing him to hand over the project to the Adani group. Huh . He was responding to questions by the chairman of the committee and another member on how the Adani group was selected to build a 500 MW wind power plant on the northern coast of Sri Lanka.

Ferdinando told the committee that he informed the chairman that the matter pertained not to the CEB but to the Board of Investments. Ferdinando said that he insisted that I look into it. I then sent a letter mentioning that the President has given me instructions and the Finance Secretary should do the needful. I told that this is a government-to-government deal. During the hearing, the panel’s chairman Charita Herath asked whether the wind power deal would be considered unwanted.

Re a statement made by the #lka CEB Chairman at a COPE committee hearing regarding the award of a Wind Power Project in Mannar, I categorically deny authorisation to award this project to any specific person or entity. I trust responsible communication in this regard will follow.

— Gotabaya Rajapaksa (@GotabayaR) June 11, 2022

In response, Ferdinando replied that yes it was a government-to-government deal, but the negotiations should be in accordance with the minimum cost policy outlined in the Act. However, President Rajapaksa also tweeted denying the head of the Janik Kshetra. He tweeted that I categorically deny authorization to award this project to any specific person or institution.

But later MMC Ferdinando told the Sri Lankan news channel News1st that I have withdrawn that statement. Not only this, he further said that when the minister questioned him about the matter on Saturday morning, he realized that he had made such remarks by mistake. The public hearing took place on Friday, a day after Parliament passed an amendment to the 1989 Electricity Act that did away with competitive bidding.

Prominent opposition Samagi Jana Balvegaya (SJB) claimed that the main reason for bringing forward the amendment was to accommodate the “unwanted” Adani deal. SBJ demanded that projects above 10 MW capacity should go through a competitive bidding process. The amendment to the Sri Lanka Electricity Act was passed with 120 votes in favor of the amendment, 36 against in the 225-member parliament, amid stiff resistance from power sector trade unions at the state-run Ceylon Electricity Board (CEB). However, 13 MPs abstained from voting.

Privileged to meet President @GotabayaR and PM @PresRajapaksa. In addition to developing Colombo Port's Western Container Terminal, the Adani Group will explore other infrastructure partnerships. India's strong bonds with Sri Lanka are anchored to centuries’ old historic ties. pic.twitter.com/noq8A1aLAv

— Gautam Adani (@gautam_adani) October 26, 2021

Let us inform that Gautam Adani toured Sri Lanka in October 2021. During this he also met Gotabaya Rajapakse and Maninda Rajapakse.