Features
Monumental blunders and LPG scandal
By J.A.A.S Ranasinghe
In light of the whistleblowing by Thushan Gunawardena, former Executive Director of Consumer Affairs Authority, it would be quite appropriate and interesting to revisit the LPG scandal and ascertain how intelligently the authorities have handled the above scandal for the overall well being of the consumers and the government. Liquefied petroleum gas (LPG), is known as a clean and safe source of energy, wherein safety is of paramount importance from the time of landing up to the point of delivery to the customer. It is in this context that an attempt is being made to ascertain whether this cardinal safety has been observed in practice by the two gas companies.
New LPG cylinders with new seal
Addressing a press conference recently (December 6), State Minister Lasantha Alagiyawanna said the resumption of domestic LPG supply would take place almost immediately, with a shrink bundling film (polythene seal) covering the cylinder valve, which, in my view, is ludicrous if not idiotic, to say the least. The minister, as well as the CAA, would have thought that this measure could allay the fears entertained by consumers, and it would be a solid guarantee against the explosion of gas cylinders.
The minister is sadly mistaken, and it appears that he has been taken for an expensive ride again by the two companies, Litro and Laugfs. As far as consumers are concerned, it is only a sugar coated pill and a cosmetic exercise, which does not inspire confidence in the consumers at large.
It is now a well-established fact that the arbitrary change of the composition of propane and butane from its time-tested ratio of 20 to 80 to 50 to 50, had been made by the two companies, with a view to maximise profits, at the cost of life, limb and property of the consumer. Does the State Minister genuinely think that he could allay consumer fears by introducing this bundling film seal? Certainly not.
The most sensible action would have been the introduction of a sticker on the body of the cylinder more prominently, preferably in a luminous colour, indicating the composition of the gas, propane 20 and butane 80, the percentage of ethyl mercaptan (commonly known as methanethiol) enabling the consumers to identify any leaks by the odorant, the batch number of the product or refilling with the date and a certification that the gas cylinder has been subjected to rigorous quality assurance parameters, before they are dispatched to the market. In the absence of these salient assurances, consumers would not gain confidence and repose any trust in the product.
The advantage of this novel method is that the consumer would be in an authoritative position to lodge a claim against the gas supplier, in the event of a gas explosion. On the other hand, the gas companies would take precautionary measures to ensure that the final product is hundred percent clean and safe.
Testing one per 100 gas cylinders
Any layman would realise that the testing of one gas cylinder per every 100 cylinders is not a foolproof method, and it does not in any way ensure the safety of the consumer. A safety conscious customer is always vigilant as to whether the gas cylinder he or she buys is hundred percent safe. I am unable to fathom as to why the Minister imposed such a ludicrous condition, whereas he should have imposed tacit and absolute compliance to have rigid safety testing at every stage of the production process. I believe that both products are ISO 9000 certified as well as having fulfilled safety standard certifications, and putting in place such a rigid quality assurance mechanism in the production line does not require rocket science.
A simple question would suffice to emphasise the absurdity of the matter: Would passengers risk their lives to travel in planes, if only one plane out of 100 is tested before use? What I gather is that the two gas companies have been cunning enough to work out an escape route using the Minister and the CAA. What is hilarious is that this insistence has come from the Minister and the CAA, and this illogical compliance would be a manna from heaven for the two companies, to abdicate their responsibility in the event of a calamity. This obnoxious requirement would no doubt raise suspicions regarding the quality of the gas cylinder, under the new system. Testing one cylinder out of 100 amounts to an infirm and ad hoc substitute, for what should have been a 100 percent final quality test. Similar explosions are inevitable if the proposed testing criterion is allowed.
Compensating victims
According to a Sinhala newspaper, the total number of domestic gas explosions has exceeded 400, and the consumers would undoubtedly demand compensation for personnel and property damages, such as kitchen utensils and equipment. Not only the Minister in charge of Consumer Affairs, but also some of the key ministers have openly declared that it is the sole responsibility of the two gas companies to compensate the consumers. Civil organisation, National Movement for the Protection of Consumer Rights (NMPCR), has commenced an agitation campaign for the compensation of victims. Consequently, the two gas companies have an inalienable duty to compensate the victims without delay.
But it appears that gas companies are attempting to shirk this responsibility by denying payment. Former BASL President, U.R.L de. Silva, commenting to a popular TV news channel, expressed that the victims of gas explosions could seek justice through district courts, claiming compensation. He is claimed to be a consultant to the Minister of Justice, and we are unsure whether merely expressing the legal opinion is the stance the government should take. In such an event, the poor consumer will have to recourse to litigation to claim compensation, which is a cumbersome process. At a time when the poor consumer is making every effort to dull pangs of hunger due to the skyrocketing cost of living, this will be an additional burden on the hapless victims.
Litro Gas, which has a rich history as a market leader, has so far not expressed their intention to deny compensation. If compensation claims are denied, this unresolved situation would create unrest in the country. Consequently, they have an inviolable duty to honour these claims, without causing any embarrassment to the government, at this juncture. It should be mentioned here that this company has already created a precedent by paying compensation to the value of Rs 185,000, to my neighbour, a respected gentleman and owner of Multi Kitchens (Pvt) Ltd., living in Kandewatta Road, Nawala, for damages to the house caused by a gas explosion a few years ago, which destroyed his roof, pantry cupboards, kitchen utensils and other paraphernalia. It is fervently hoped that Litro Gas would honour the claims of the victims without hesitation, in keeping with the precedents already set.
Irresponsible utterances
On November 30, the President appointed an eight-member expert committee to investigate the spate of gas cylinder explosions and fires, and recommend broader solutions to arrest this unhealthy trend. In the absence of any stipulated terms of reference, the so-called expert committee has the latitude to propose a wide range of remedial measures. As a matter of priority, it should be ascertained why this change in the composition of LPG, that has already led to fatal injuries and damages to property, had been made. Surely, if the expert committee carefully studies the minutes of board meetings and management committee meetings, the exact truth would come to light. It may be possible that the two gas companies obtained the consent of the ministry to switch to the new ratio. If this was an arbitrary decision on the part of the two companies, it should be highlighted.
At the very inception of the proceedings, the eight-member committee acted like CID officers, bullying the victims, which showed a degree of bias towards the two gas companies. A member was seen ridiculing to the maximum, a woman who happened to be a teacher, while questioning her. She retorted arrogantly that she ‘did not come from Thumpane’ and the committee learnt a bitter lesson. The committee should bear in mind that the general public expects a fair and independent perspective of the gas explosions that have now exceeded the 400th mark. TV footage displayed explosions of regulators and corroded gas burners, which was mainly due to the excessive pressure and heat of the new gas mix.
The committee will have to be extremely mindful that their observations and findings are keenly observed by the public. They should exercise care and be vigilant as the slightest irresponsible utterance or behaviour would give the victims the impression of a strong bias towards the two gas companies.
It would do well for the expert committee to make field visits to hardware stores and ascertain whether the recommended hoses, regulators and accessories are available in the market. I casually made inquiries in my neighbourhood whether SLS certified gas appliances are available, and the ridicule I was subjected to cannot be recounted here. It is well known that floodgates are open for imported inferior LPG accessories, without any control by the Customs and the port.
The chairman and senior members of Litro Gas made a valiant effort to conceal the change in the composition of gas, which claimed a life and caused burn injuries in many. Damages to property have been enormous. However, it is sad that the Minister in charge of Consumer Affairs, has not yet lodged a complaint with the CID, requesting an investigation into this high-handed criminal negligence. The whole Board of Directors, and the officers who misled the public at media briefings, should be arrested, prosecuted and criminally punished.
The minister’s revelations that there had been no regulation of domestic gas since it was first introduced in 1960 through CAA and SLSI were vested with this responsibility. Hence the dearth of a regulatory mechanism appeared to be a key issue. According to whistleblower Thushan Gunawardena (TG) the change in LPG composition had taken place during the tenure of former Litro Gas Chairman Anil Koswatta, a nominee of Viyathmaga.
A cursory glance of the Consumer Protection Act reveals that the Act is clothed with enormous powers for the CAA to deal with the gas companies. When consumers took their cylinders to the dealers, they refused to accept them, which is a clear contravention of the regulations. What has CAA done to intervene on behalf of the consumers? Absolutely nothing. Though the CAA has adequate ‘teeth’, it appears that there is a paucity of adroit officers the calibre of the former Executive Director, TG, in its cadre.
Square pegs of Viyathmaga in round holes
When analysing the poor performances of statutory boards and corporations, it is obvious that appointment of Viyathmaga members, as chairmen and directors, have been the bane of operational, administrative and financial growth in most of the institutions. His successor, after Koswatta was ousted, was another Viyathmaga nominee. From the day he assumed duties, he was critical of the performance of his predecessor, neglecting his fiduciary duties. He did not have the audacity to attend media briefings to provide authoritative answers at the initial stage, and junior offices of the management hierarchy gave misleading answers when questioned. The Chairman appeared to be immature, lacking extensive industrial exposure, with poor leadership traits to lead a team of technocrats in this specialised field. No wonder the efficiency of operations suffered a setback causing extensive damages to consumers.
Government fertiliser companies
This is the case with other institutions as well. TV audiences would recall how two Chairmen of fertiliser companies pathetically failed to provide simple information to the President, at a meeting held at the Presidential Secretariat, where the critical issue of fertiliser ban was discussed a few moons ago. They were given marching orders, in the presence of a large audience, to collate required information.
The vital rubber industry has been sliding down a slippery road over the last few years and its key post of Rubber Research Institute Director has remained vacant for the last several years. The Rubber Research Board (RRB) called for applications for the recruitment of research officers almost a year ago, and it has failed to even hold interviews. As a result, Rubber Research Institute (RRI) lost the opportunity of recruiting the cream, young talented graduates, to be groomed as scientists, at a time when experienced scientists are leaving in batches to take up academic positions in universities.
In the filling of Deputy Director (Technology) post, eleven interviews were held and the job aspirant had to seek judicial intervention, as last resort. It was shocking to hear that the RRI had 42 vacancies in the scientist cadre, and as a result a majority of the research projects have come to a standstill. The rubber sector has been plummeting, with no one taking responsibility for the declining trend. Here again, the RRB Chairman is a nominee of the so-called Viyathmaga.
Marine Environment Protection Authority
The Marine Environment Protection Authority (MEPA) which came into limelight following the two major maritime disasters, is also badly handicapped by the dearth of marine scientists. It had only one Ph.D holder, specialised in marine ecology, in the capacity of General Manager, and he was compelled to rejoin the Ruhunu University, after working almost ten years at MEPA. It was followed by the resignation of another experienced female employee with two master’s degrees, one in maritime affairs in the UK, and another in environmental science, a few moons ago. Undoubtedly, the leaving of the above two marine scientists would have had a crippling effect on MEPA, as it struggled to cope with marine pollution resulting from the two major disasters. The sinking of MV X-Press Pearl had an adverse impact on the environment of the port of Colombo, the livelihood of the fishing community as well as the environmental health of the coastal belt was badly affected while denting our image in shipping circles. The most important convention, International Convention for the Prevention of Pollution from Ships (MARPOL), has not yet been ratified and the Auditor General had faulted the lapses of MEPA in this regard.
Its Chairman, another key member of Viyathmaga, was given a deadline to assess the environmental damage caused by the inferno of the X-press Pearl, by the end of November. So far she has not been able to quantify the environmental damages, without which no claim can be made for compensation. In the meantime, the Auditor General has undertaken a comprehensive audit on the progress of the ratification of the MARPOL Convention, to prevent marine pollution by ships, in which damning observations have been made. Though I have first-hand information of the Viyathmaga nominees who have messed up their organisations, the limited time and space does not permit me to highlight them.
President’s intervention necessary
Out of the five year term, two years have elapsed, leaving only three years for the President to revive the economy, by steering the institutions presently headed by the Viyathmaga members. This earnest request is made from the President to replace those square pegs in round holes, by appointing subject matter specialists with proven track records to manage those institutions more efficiently and productively. It is reported that ministers are reluctant to deal with the square pegs of Viyathmaga, as they do not wish to earn the wrath of the President, and this may be one of the reasons these square pegs in round holes have taken an upper hand.
(Ranasinghe is a Productivity Specialist and Management Consultant. This article has been written with malice or prejudice to none, and concern for the well-being of our country.)
by Dr Gotabhya Ranasinghe
Senior Consultant Cardiologist
National Hospital Sri Lanka
When we sought a meeting with Hon Dr. Ramesh Pathirana, Minister of Health, he graciously cleared his busy schedule to accommodate us. Renowned for his attentive listening and deep understanding, Minister Pathirana is dedicated to advancing the health sector. His openness and transparency exemplify the qualities of an exemplary politician and minister.
Dr. Palitha Mahipala, the current Health Secretary, demonstrates both commendable enthusiasm and unwavering support. This combination of attributes makes him a highly compatible colleague for the esteemed Minister of Health.
Our discussion centered on a project that has been in the works for the past 30 years, one that no other minister had managed to advance.
Minister Pathirana, however, recognized the project’s significance and its potential to revolutionize care for heart patients.
The project involves the construction of a state-of-the-art facility at the premises of the National Hospital Colombo. The project’s location within the premises of the National Hospital underscores its importance and relevance to the healthcare infrastructure of the nation.
This facility will include a cardiology building and a tertiary care center, equipped with the latest technology to handle and treat all types of heart-related conditions and surgeries.
Securing funding was a major milestone for this initiative. Minister Pathirana successfully obtained approval for a $40 billion loan from the Asian Development Bank. With the funding in place, the foundation stone is scheduled to be laid in September this year, and construction will begin in January 2025.
This project guarantees a consistent and uninterrupted supply of stents and related medications for heart patients. As a result, patients will have timely access to essential medical supplies during their treatment and recovery. By securing these critical resources, the project aims to enhance patient outcomes, minimize treatment delays, and maintain the highest standards of cardiac care.
Upon its fruition, this monumental building will serve as a beacon of hope and healing, symbolizing the unwavering dedication to improving patient outcomes and fostering a healthier society.We anticipate a future marked by significant progress and positive outcomes in Sri Lanka’s cardiovascular treatment landscape within the foreseeable timeframe.
by Fr. Emmanuel Fernando, OMI
Jesuit Fr. Aloysius Pieris (affectionately called Fr. Aloy) celebrated his 90th birthday on April 9, 2024 and I, as the editor of our Oblate Journal, THE MISSIONARY OBLATE had gone to press by that time. Immediately I decided to publish an article, appreciating the untiring selfless services he continues to offer for inter-Faith dialogue, the renewal of the Catholic Church, his concern for the poor and the suffering Sri Lankan masses and to me, the present writer.
It was in 1988, when I was appointed Director of the Oblate Scholastics at Ampitiya by the then Oblate Provincial Fr. Anselm Silva, that I came to know Fr. Aloy more closely. Knowing well his expertise in matters spiritual, theological, Indological and pastoral, and with the collaborative spirit of my companion-formators, our Oblate Scholastics were sent to Tulana, the Research and Encounter Centre, Kelaniya, of which he is the Founder-Director, for ‘exposure-programmes’ on matters spiritual, biblical, theological and pastoral. Some of these dimensions according to my view and that of my companion-formators, were not available at the National Seminary, Ampitiya.
Ever since that time, our Oblate formators/ accompaniers at the Oblate Scholasticate, Ampitiya , have continued to send our Oblate Scholastics to Tulana Centre for deepening their insights and convictions regarding matters needed to serve the people in today’s context. Fr. Aloy also had tried very enthusiastically with the Oblate team headed by Frs. Oswald Firth and Clement Waidyasekara to begin a Theologate, directed by the Religious Congregations in Sri Lanka, for the contextual formation/ accompaniment of their members. It should very well be a desired goal of the Leaders / Provincials of the Religious Congregations.
Besides being a formator/accompanier at the Oblate Scholasticate, I was entrusted also with the task of editing and publishing our Oblate journal, ‘The Missionary Oblate’. To maintain the quality of the journal I continue to depend on Fr. Aloy for his thought-provoking and stimulating articles on Biblical Spirituality, Biblical Theology and Ecclesiology. I am very grateful to him for his generous assistance. Of late, his writings on renewal of the Church, initiated by Pope St. John XX111 and continued by Pope Francis through the Synodal path, published in our Oblate journal, enable our readers to focus their attention also on the needed renewal in the Catholic Church in Sri Lanka. Fr. Aloy appreciated very much the Synodal path adopted by the Jesuit Pope Francis for the renewal of the Church, rooted very much on prayerful discernment. In my Religious and presbyteral life, Fr.Aloy continues to be my spiritual animator / guide and ongoing formator / acccompanier.
Fr. Aloysius Pieris, BA Hons (Lond), LPh (SHC, India), STL (PFT, Naples), PhD (SLU/VC), ThD (Tilburg), D.Ltt (KU), has been one of the eminent Asian theologians well recognized internationally and one who has lectured and held visiting chairs in many universities both in the West and in the East. Many members of Religious Congregations from Asian countries have benefited from his lectures and guidance in the East Asian Pastoral Institute (EAPI) in Manila, Philippines. He had been a Theologian consulted by the Federation of Asian Bishops’ Conferences for many years. During his professorship at the Gregorian University in Rome, he was called to be a member of a special group of advisers on other religions consulted by Pope Paul VI.
Fr. Aloy is the author of more than 30 books and well over 500 Research Papers. Some of his books and articles have been translated and published in several countries. Among those books, one can find the following: 1) The Genesis of an Asian Theology of Liberation (An Autobiographical Excursus on the Art of Theologising in Asia, 2) An Asian Theology of Liberation, 3) Providential Timeliness of Vatican 11 (a long-overdue halt to a scandalous millennium, 4) Give Vatican 11 a chance, 5) Leadership in the Church, 6) Relishing our faith in working for justice (Themes for study and discussion), 7) A Message meant mainly, not exclusively for Jesuits (Background information necessary for helping Francis renew the Church), 8) Lent in Lanka (Reflections and Resolutions, 9) Love meets wisdom (A Christian Experience of Buddhism, 10) Fire and Water 11) God’s Reign for God’s poor, 12) Our Unhiddden Agenda (How we Jesuits work, pray and form our men). He is also the Editor of two journals, Vagdevi, Journal of Religious Reflection and Dialogue, New Series.
Fr. Aloy has a BA in Pali and Sanskrit from the University of London and a Ph.D in Buddhist Philosophy from the University of Sri Lankan, Vidyodaya Campus. On Nov. 23, 2019, he was awarded the prestigious honorary Doctorate of Literature (D.Litt) by the Chancellor of the University of Kelaniya, the Most Venerable Welamitiyawe Dharmakirthi Sri Kusala Dhamma Thera.
Fr. Aloy continues to be a promoter of Gospel values and virtues. Justice as a constitutive dimension of love and social concern for the downtrodden masses are very much noted in his life and work. He had very much appreciated the commitment of the late Fr. Joseph (Joe) Fernando, the National Director of the Social and Economic Centre (SEDEC) for the poor.
In Sri Lanka, a few religious Congregations – the Good Shepherd Sisters, the Christian Brothers, the Marist Brothers and the Oblates – have invited him to animate their members especially during their Provincial Congresses, Chapters and International Conferences. The mainline Christian Churches also have sought his advice and followed his seminars. I, for one, regret very much, that the Sri Lankan authorities of the Catholic Church –today’s Hierarchy—- have not sought Fr.
Aloy’s expertise for the renewal of the Catholic Church in Sri Lanka and thus have not benefited from the immense store of wisdom and insight that he can offer to our local Church while the Sri Lankan bishops who governed the Catholic church in the immediate aftermath of the Second Vatican Council (Edmund Fernando OMI, Anthony de Saram, Leo Nanayakkara OSB, Frank Marcus Fernando, Paul Perera,) visited him and consulted him on many matters. Among the Tamil Bishops, Bishop Rayappu Joseph was keeping close contact with him and Bishop J. Deogupillai hosted him and his team visiting him after the horrible Black July massacre of Tamils.
Sri Lanka-Singapore Free Trade Agreement
By Gomi Senadhira
senadhiragomi@gmail.com
“You might tell fairy tales, but the progress of a country cannot be achieved through such narratives. A country cannot be developed by making false promises. The country moved backward because of the electoral promises made by political parties throughout time. We have witnessed that the ultimate result of this is the country becoming bankrupt. Unfortunately, many segments of the population have not come to realize this yet.” – President Ranil Wickremesinghe, 2024 Budget speech
Any Sri Lankan would agree with the above words of President Wickremesinghe on the false promises our politicians and officials make and the fairy tales they narrate which bankrupted this country. So, to understand this, let’s look at one such fairy tale with lots of false promises; Ranil Wickremesinghe’s greatest achievement in the area of international trade and investment promotion during the Yahapalana period, Sri Lanka-Singapore Free Trade Agreement (SLSFTA).
It is appropriate and timely to do it now as Finance Minister Wickremesinghe has just presented to parliament a bill on the National Policy on Economic Transformation which includes the establishment of an Office for International Trade and the Sri Lanka Institute of Economics and International Trade.
Was SLSFTA a “Cleverly negotiated Free Trade Agreement” as stated by the (former) Minister of Development Strategies and International Trade Malik Samarawickrama during the Parliamentary Debate on the SLSFTA in July 2018, or a colossal blunder covered up with lies, false promises, and fairy tales? After SLSFTA was signed there were a number of fairy tales published on this agreement by the Ministry of Development Strategies and International, Institute of Policy Studies, and others.
However, for this article, I would like to limit my comments to the speech by Minister Samarawickrama during the Parliamentary Debate, and the two most important areas in the agreement which were covered up with lies, fairy tales, and false promises, namely: revenue loss for Sri Lanka and Investment from Singapore. On the other important area, “Waste products dumping” I do not want to comment here as I have written extensively on the issue.
1. The revenue loss
During the Parliamentary Debate in July 2018, Minister Samarawickrama stated “…. let me reiterate that this FTA with Singapore has been very cleverly negotiated by us…. The liberalisation programme under this FTA has been carefully designed to have the least impact on domestic industry and revenue collection. We have included all revenue sensitive items in the negative list of items which will not be subject to removal of tariff. Therefore, 97.8% revenue from Customs duty is protected. Our tariff liberalisation will take place over a period of 12-15 years! In fact, the revenue earned through tariffs on goods imported from Singapore last year was Rs. 35 billion.
The revenue loss for over the next 15 years due to the FTA is only Rs. 733 million– which when annualised, on average, is just Rs. 51 million. That is just 0.14% per year! So anyone who claims the Singapore FTA causes revenue loss to the Government cannot do basic arithmetic! Mr. Speaker, in conclusion, I call on my fellow members of this House – don’t mislead the public with baseless criticism that is not grounded in facts. Don’t look at petty politics and use these issues for your own political survival.”
I was surprised to read the minister’s speech because an article published in January 2018 in “The Straits Times“, based on information released by the Singaporean Negotiators stated, “…. With the FTA, tariff savings for Singapore exports are estimated to hit $10 million annually“.
As the annual tariff savings (that is the revenue loss for Sri Lanka) calculated by the Singaporean Negotiators, Singaporean $ 10 million (Sri Lankan rupees 1,200 million in 2018) was way above the rupees’ 733 million revenue loss for 15 years estimated by the Sri Lankan negotiators, it was clear to any observer that one of the parties to the agreement had not done the basic arithmetic!
Six years later, according to a report published by “The Morning” newspaper, speaking at the Committee on Public Finance (COPF) on 7th May 2024, Mr Samarawickrama’s chief trade negotiator K.J. Weerasinghehad had admitted “…. that forecasted revenue loss for the Government of Sri Lanka through the Singapore FTA is Rs. 450 million in 2023 and Rs. 1.3 billion in 2024.”
If these numbers are correct, as tariff liberalisation under the SLSFTA has just started, we will pass Rs 2 billion very soon. Then, the question is how Sri Lanka’s trade negotiators made such a colossal blunder. Didn’t they do their basic arithmetic? If they didn’t know how to do basic arithmetic they should have at least done their basic readings. For example, the headline of the article published in The Straits Times in January 2018 was “Singapore, Sri Lanka sign FTA, annual savings of $10m expected”.
Anyway, as Sri Lanka’s chief negotiator reiterated at the COPF meeting that “…. since 99% of the tariffs in Singapore have zero rates of duty, Sri Lanka has agreed on 80% tariff liberalisation over a period of 15 years while expecting Singapore investments to address the imbalance in trade,” let’s turn towards investment.
Investment from Singapore
In July 2018, speaking during the Parliamentary Debate on the FTA this is what Minister Malik Samarawickrama stated on investment from Singapore, “Already, thanks to this FTA, in just the past two-and-a-half months since the agreement came into effect we have received a proposal from Singapore for investment amounting to $ 14.8 billion in an oil refinery for export of petroleum products. In addition, we have proposals for a steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million), sugar refinery ($ 200 million). This adds up to more than $ 16.05 billion in the pipeline on these projects alone.
And all of these projects will create thousands of more jobs for our people. In principle approval has already been granted by the BOI and the investors are awaiting the release of land the environmental approvals to commence the project.
I request the Opposition and those with vested interests to change their narrow-minded thinking and join us to develop our country. We must always look at what is best for the whole community, not just the few who may oppose. We owe it to our people to courageously take decisions that will change their lives for the better.”
According to the media report I quoted earlier, speaking at the Committee on Public Finance (COPF) Chief Negotiator Weerasinghe has admitted that Sri Lanka was not happy with overall Singapore investments that have come in the past few years in return for the trade liberalisation under the Singapore-Sri Lanka Free Trade Agreement. He has added that between 2021 and 2023 the total investment from Singapore had been around $162 million!
What happened to those projects worth $16 billion negotiated, thanks to the SLSFTA, in just the two-and-a-half months after the agreement came into effect and approved by the BOI? I do not know about the steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million) and sugar refinery ($ 200 million).
However, story of the multibillion-dollar investment in the Petroleum Refinery unfolded in a manner that would qualify it as the best fairy tale with false promises presented by our politicians and the officials, prior to 2019 elections.
Though many Sri Lankans got to know, through the media which repeatedly highlighted a plethora of issues surrounding the project and the questionable credentials of the Singaporean investor, the construction work on the Mirrijiwela Oil Refinery along with the cement factory began on the24th of March 2019 with a bang and Minister Ranil Wickremesinghe and his ministers along with the foreign and local dignitaries laid the foundation stones.
That was few months before the 2019 Presidential elections. Inaugurating the construction work Prime Minister Ranil Wickremesinghe said the projects will create thousands of job opportunities in the area and surrounding districts.
The oil refinery, which was to be built over 200 acres of land, with the capacity to refine 200,000 barrels of crude oil per day, was to generate US$7 billion of exports and create 1,500 direct and 3,000 indirect jobs. The construction of the refinery was to be completed in 44 months. Four years later, in August 2023 the Cabinet of Ministers approved the proposal presented by President Ranil Wickremesinghe to cancel the agreement with the investors of the refinery as the project has not been implemented! Can they explain to the country how much money was wasted to produce that fairy tale?
It is obvious that the President, ministers, and officials had made huge blunders and had deliberately misled the public and the parliament on the revenue loss and potential investment from SLSFTA with fairy tales and false promises.
As the president himself said, a country cannot be developed by making false promises or with fairy tales and these false promises and fairy tales had bankrupted the country. “Unfortunately, many segments of the population have not come to realize this yet”.
(The writer, a specialist and an activist on trade and development issues . )
US sports envoys to Lanka to champion youth development
Rahuman questions sudden cancellation of leave of CEB employees
