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PARLIAMENT

Colombo Port to be developed - Sagala

It is high time that the capacity of the Colombo Port is expanded and the Eastern Terminal of the Colombo Port developed in order to increase the productivity of the Colombo Port, Ports and Shipping and Southern Development Sagala Ratnayaka said.

Participating in the Committee Stage budget debate in Parliament yesterday, the Minister said, “Over the past few years, the Ports and Shipping Industry has seen significant changes. But there were many challenges too. We need to overcome these challenges and by the end of this year, there are many projects that need to be completed. Despite the global challenges, the Colombo Port and the Ports Authority has been able to achieve great progress. I should thank my predecessors for it was the initiatives taken by them that has made my task easier.”

The Colombo Port has managed to beat other ports in the region in becoming the best Container Port Terminal in the region. “It is also a very significant achievement as it is the first time in history that the Colombo Port reaches the top of a global maritime ranking. The Colombo Port reached a container capacity of seven million last year. We passed a new milestone and it was the commitment of all that helped us achieve this goal.”

He said the Colombo Port has now reached its maximum capacity and as such it is required to further expand the capacity of the Colombo Port.

“If this is neglected, then the achievements we reached over the past few years would be useless. However, the decisions needed to be taken for the expansion of the Colombo Port had been delayed over the past few years due to the inability to take decisions on time. As a result, we are facing a dangerous situation. If we fail to expand our port capacity, the shipping companies will look to other countries for transhipment activities. I won’t point fingers at anyone but reiterate the need to take action fast,” Minister Ratnayaka noted.

Minister Ratnayaka said that for the first time in 1999 the country’s private sector was given an opportunity to develop a terminal. “The Port Authority had 15% and the private companies had 85% of the share. Thereafter, the next private terminal was given to CICT in 2011 on a 35-year lease at 15% to the Port Authority and 85% to the private company CM Port during the Rajapaksa regime. CM Port is a large company which operates terminals in many countries. But at the time the Port Authority only got 15%.”

Currently, the fifth stage of the third terminal the JCT terminal should be done and the Cabinet Paper for its construction of this terminal has been submitted and the Cabinet Paper for the procurement process would be submitted today, he said, adding that however, there is a small issue which is there is no deep water terminal which can facilitate large ships. The only terminal which can accommodate such large ships is the CICT terminal. “So what should we do? We should develop the ECT terminal. We must take quick decisions and we could bring ship to shore cranes and commence work. But it is easier said than done. The procurement process would take around a year,” the minister said.

“We have also launched a massive IT drive to transform the Colombo Port into a smart port positioning it as one of the most competitive ports in the region. The Ports Authority would spend Rs.929 million for the project which has also been incorporated into the Asian Development Bank funded port development master plan. Under this project, the Colombo Port’s IT and Systems would be upgraded to streamline terminal management cargo systems in less than 18 months,” he said, adding that the upgraded terminal system, will ensure that the Colombo Port will be in keeping with developed ports.

He also said the Galle port would be developed as a recreation port to meet the requirements of the tourism industry.

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Heated argument over H’tota oil refinery, cement factory investments

Dubai based Sri Lankan businessman Nandana Jayadewa Lokuvithana is the investor of the proposed Cement Factory in Hambantota, Development Strategies and International Trade Deputy Minister Nalin Bandara told Parliament yesterday.

The Deputy Minister was responding to a query by UPFA MP Kanchana Wijesekera during the Committee Stage of the Budget debate when the Expenditure Heads of Transport and Civil Aviation Ministry and Ports, Shipping and Southern Development Ministry were taken up.

A heated argument erupted between Deputy Minister Nalin Bandara and UPFA MPs Namal Rajapaksa and Kanchana Wijesekara over the investments on the oil refinery and cement factory in Hambantota to which the foundation stones were laid over the weekend.

The Deputy Minister commented that Lokuvithana is a “good Sinhala Buddhist businessman” and that the Government is keen on encouraging local businessmen.

“The cement factory will be constructed adopting state-of-the-art German technology to make it eco-friendly. The Hambantota saltern and Bundala bird sanctuary will not be affected by it. It will create many employment opportunities. An Environmental Impact Assessment (EIA) will be done for this project,” he said.

Responding to the concerns raised by MP Namal Rajapaksa on the investment of Oil Refinery in Hambantota, Deputy Minister Bandara said the proper BOI procedure had been followed with regard to the investment.

“The Opposition was complaining that the investment has nothing to do with the Oman Government. After Oman’s Oil and Gas Minister participated in the foundation laying ceremony, the Opposition MPs are now shedding crocodile tears. Two hundred acres for the project acquired from Mirijjawila and the lands belonging to the Mahaweli Development Authority will also be used. An EIA will be conducted. One day MP Namal Rajapaksa will have to beg for pardon from the people in Hambantota for objecting to these projects. Why did they build an international port and an international airport, if they did not want industries to be set up in Hambantota? Did they build the port to breed fish and the airport to dry pepper seeds and for peacocks to roam?” he questioned.

He said the main investor of the oil refinery project is from India and he has invested Rs.720 million for a 70 percent stake of the project through a company set up in Singapore while the Oman Government is holding discussions for a 30 percent stake of the project. He said that those in the Opposition had influenced the investors of the project to wait till they come to power in six months to go ahead with the investment.

He said the Oman Oil and Gas Minister held discussions with Ministers Malik Samarawickrema and Kabir Hashim on the investment.

The Deputy Minister further said that a USD 2 billion investment for a steel factory would get off the ground in another couple of months in Trincomalee. He said the first batch of productions from Rigid Tyre factory, which was set up last year, would be out by the end of this year. “We will gift the first tyre coming out of this factory to MP Namal Rajapaksa,” he said.

UPFA MP Rajapaksa pointed out that ‘Silverpark International Private Limited,’ the Singaporean company investing in the oil refinery project, was formed in June 2017 whereas the first Cabinet Paper in that regard was presented in November 2016.

“There is another company known as ‘Silverpark Petroleum Private Limited’ involved in the investment and it was set up in February, 2019. This was exactly six days prior to the final Cabinet Paper with regard to the investment. There must be an investigation on it,” MP Rajapaksa said.

MP Wijesekara questioned as to how come controversial businessman Lokuvithana, who bought the Mariott Hotel in Dubai, becomes a ‘good Sinhala Buddhist’ when doing business with the current Government and becomes allegedly a front man of former President Mahinda Rajapaksa when he was doing business with the previous administration.

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Rupee depreciation dented SLPA profits - Mahinda Samarasinghe

The depreciation of the Rupee cost the Sri Lanka Ports Authority(SLPA) Rs.11 billion last year, UPFA MP Mahinda Samarasinghe said.

Speaking at the Committee Stage of the Budget in Parliament yesterday when the Expenditure Heads of Transport and Civil Aviation Ministry and Ports, Shipping and Southern Development Ministry were taken up, MP Samarasinghe said the Sri Lanka Ports Authority could have earned a record profit like in 2017 in 2018 as well if not for the rupee depreciation.

He pointed out that the Sri Lanka Ports Authority earned a record profit of Rs.13.3 billion in 2017 but the profit declined to Rs.4.5 billion in 2018. The main reason behind this decline was the depreciation of the Rupee,” he commented.

The MP also commended Ports, Shipping and Southern Development Minister Sagala Ratnayaka’s stance over the Colombo Port’s East Terminal development, stating the minister is clear that it must be developed while retaining the government ownership.

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Bond Comm. report makes no mention of PM - Kiriella

A Report compiled by the Presidential Commission on the Bond issue makes no charges against the Prime Minister, says Leader of the House and Minister of Public Enterprise, Kandyan Heritage and Kandy Development, Lakshman Kiriella.

The Minister stated this in response to a statement made by MP Anura Kumara Dissanayake who stated that there was evidence of the Prime Minister’s alleged involvement in providing protection to the operator and the accused persons of the Treasury Bond issue on Saturday.

The matter was brought to light during the debate on the Expenditure Heads of the Ministry of Industry and Commerce, Resettlement of Protracted Displaced Persons and Co-operative Development and Non-Cabinet Ministry of Mass Media. The Minister further stated, the President has appointed a Commission with regard to the matter. The Report compiled by the relevant Commission has made no charges whatsoever against the Prime Minister.

The Report compiled by a Commission comprising three Supreme Court Judges has made no evidence or charges against the Prime Minister.

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‘Women Only’ train carriages to continue on popular routes - Arjuna

The ‘Women Only’ train carriages initiated early this month coinciding with International Women’s Day will be continued on popular train routes, Transport and Civil Aviation Minister Arjuna Ranatunga said.

He said that a study would be conducted to identify the routes and time schedules for which ‘Women Only’ train carriages are necessary.

The minister made these comments in response to a question by UPFA MP Kanaka Herath during the Committee Stage of the Budget debate in Parliament yesterday when the Expenditure Heads of Transport and Civil Aviation Ministry and Ports, Shipping and Southern Development Ministry were taken up. The initiative to introduce ‘Women Only’ train compartments were commended by many Government and Opposition lawmakers during the debate.

MP Herath, observing that the ‘Women Only’ carriages were not found in several trains, questioned whether the initiative was stopped. Minister Ranatunga replied that it was initiated as a pilot project on a few popular trains, adding that it would be extended to other popular train routes too after a proper study.

“There was good feedback on the initiative and passengers in some trains even requested two compartments for women. Providing ‘Women Only’ carriages to every train is difficult, especially during rush hours. We need to come up with a practical plan,” he said.

UNP MP Hirunika Premachandra commending the initiative said that she was happy that plans are underway to introduce ‘Women Only’ buses as well. 


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