A major audit report has revealed a significant financial discrepancy involving the purchase of buses from India.
Following the release of the 2023 annual audit report by the Auditor General’s Department, it has been revealed that the government has incurred an additional cost of Rs. 3,010 million due to the acquisition of buses without proper scientific justification and needs analysis.
These buses were purchased using $20 million from an Indian credit line. The procurement process for 500 buses, comprising 54-seater and 35-seater models, began following a Cabinet approval granted in 2018.
However, in 2020, a new policy decision led to a shift in procurement plans, with the number of buses increased to 600 – including models with 45 and 35 seats.
This resulted in the procurement of 100 more buses than initially planned.
Completely bypassing all previous procurement processes, 500 new buses were purchased in 2023 with new cabinet approval.
A 32-seater bus was purchased for USD 26,662.50. Consequently, the total expenditure for 500 buses amounted to $13,311,250. According to the Audit report, the value of a single bus in Sri Lankan rupees is approximately 11.2 million.s
This represents an increase of Rs. 6.2 million compared to the cost of a bus planned for purchase under the 2018 procurement process.
(Source : Aruna)
