News
PUCSL Chairman insists fuel can be sold a lot cheaper
By Saman Indrajith
Chairman of the Public Utilities Commission of Sri Lanka (PUCSL), Janaka Ratnayake has told the Committee on Public Enterprises (COPE) that petrol and diesel can be priced at approximately Rs. 250.
He made this statement when the COPE summoned PUCSL officials to examine the Auditor General’s report for PUCSL for the years 2018 and 2019 and current performance of the Commission.
During the meeting, Rathnayake mentioned that when he checked the import prices of petroleum and the taxes levied by the government, he had realised that both petrol and diesel could be sold at cheaper rates.
Rathnayake pointed out that petrol and diesel could be sold at Rs. 200 less than the current price. He also said that the government had collected a tax of Rs. 280 on one liter of diesel imported on 01 July.
The PUCSL Chairman said it was his personal opinion and did not reflect the view of the PUCSL.
The COPE members questioned Ratnayake on his qualifications for becoming the chairman of the commission. Ratnayake said he had obtained a Special Degree in Public Administration from the University of Sri Jayewardenepura and a Postgraduate degree in Business Administration (MBA) from the University of Colombo. He said that he had also studied at Harvard University. As for his political qualifications, he stated that since 2005, he had been a supporter of the Rajapaksas.
COPE Chairman Prof. Charitha Herath said the statement made by PUCSL Chairman regarding the fuel price would be discussed at length, and the officials from the Ministry of Power and Energy and the PUCSL Chairman would be summoned before the COPE in the future to further examine it, Prof. Herath said.
The COPE also looked at the decision taken by the commission to rent a Benz car, manufactured in the year 2005, without fuel or driver from a company called General Business (Pvt.) Ltd without entering into any agreement for one year from 07 December 2021.
The annual rent for the vehicle was Rs. 4.5 million and on 31 May 2022, Rs. 2.18 million had been paid to the aforesaid company.
The COPE members pointed out that the documents on hiring of this vehicle had not been submitted for audit, and they included a recommendation for hiring a 15-year-old vehicle, as well as the irregularities in calling for bids for the hiring of the vehicle, and the issues of transparency in the payment of rent for it Accordingly, the COPE Chairman recommended that an investigation be conducted and a full report submitted.
The COPE also informed that the Organisation Structure and Salary Structure of the PUCSL should be developed on the recommendation of the National Salary and Cadre Commission and the approval of the Department of Management Services. The COPE recommended the Finance Minister to submit an amendment to the Cabinet for approval.
The COPE pointed out that Rs. 45.8 million had been paid to the staff of the institution as 11 types of allowances. The committee also said that Rs. 86.8 million, of the total operational cost (49% of the total amount) had been spent on public awareness programs.
The COPE also discussed the electricity generation plan for the years 2018-2037. The officials present mentioned that data on another new generation plan had been submitted in 2021 and it had not been approved as the appropriate requirements were not met. The Committee mentioned that when the political authorities changed, problems arose due to the change of those plans.
Under the Electricity (Distribution) Performance Standards Orders mentioned in a special gazette notice issued in 2016, the commission had been assigned to prepare and enforce performance rules within 36 months, but that task had not been completed, the COPE said.
The members of the committee were Minister Mahinda Amaraweera, Mahindananda Aluthgamage, Indika Anuruddha, (Dr.) Harsha de Silva, (Dr.) Nalaka Godaheva, Jayantha Samaraweera, Premnath C. Dolawatta and Madura Withanage were present. Also, several MPs who are not members of the committee also participated with the permission of the chairman of the committee.
Several ex-Cabinet ministers questioned; Ranil, Sajith, too likely to be summoned
The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has initiated an inquiry into the shifting of the Agriculture Ministry situated at Rajamalwatte, to a building belonging to the D. P. Jayasinghe Group of Companies, at Rajagiriya, during the Yahapalana government.
The building was rented for a five-year period at a cost of over Rs 1 bn by the yahapalana government within months after the then President Maithripala Sirisena declared opened the 10-storey building complex.
The CIABOC yesterday morning recorded former yahapalana minister Gayantha Karunatilleke’s statement in connection with the investigation. Later in the day, CIABOC recorded the statement of SJB General Secretary Ranjith Maddumabanadara. Earlier CIABOC summoned former ministers Thalatha Atukorale, Wajira Abeywardena and Lakshman Kiriella. At the time of the finalisation of the deal, KIriella was in the UNP.
Sources said that former PM and President Ranil Wickremesinghe, too, was likely to be questioned in this regard. Responding to The Island queries, sources pointed out even SJB leader Sajith Premadasa was expected to be questioned.
The then Speaker Karu Jayasuriya is on record as having said that the building was rented in keeping with a decision taken by the government and not Parliament.
The UNP-SLFP coalition shifted the Agriculture Ministry to accommodate 16 Sectoral Oversight Committees therein.
Although the government paid as much as Rs. 21.5 mn monthly rent to D.P.A. Jayasinghe Company, the Agriculture Ministry failed to move in for over a year. The then Agriculture Minister Duminda Dissanayake sought Cabinet approval on Dec 1, 2015 to rent the building.
According to inquiries conducted earlier by the Presidential Commission appointed to probe state sector corruption, the Agriculture Ministry sought Cabinet approval for a new building after the then Prime Minister Wickremesinghe submitted a cabinet proposal on 21 September, 2015, to use the Agriculture Ministry building for Parliament’s sectoral oversight committees.
PM Wickremesinghe’s Secretary Saman Ekanayake has told the Commission that public funds could have been saved if the several vacant floors of Suhurupaya belonging to the Defence Ministry had been made available to the Agriculture Ministry.
By Shamindra Ferdinando ✍️
Railway sources said that the damages caused to railway tracks could be more than USD 300 mn.
According to UNDP Rapid Crisis Assessment Sri Lanka’s railroad system, over 278 km of railways were exposed to cyclone-related flooding, including 35 railroad bridges nationwide. This figure reflects flooding only, but other hazards (such as localised debris, landslides, or damage to a single bridge) can also disrupt operations, meaning that even relatively small obstructions can render long stretches of railway non-operational. Like road exposure, railway exposure limits mobility and the capacity of affected populations to access key services and infrastructure.
At the level of divisional secretariats, Colombo and Thimbirigasyaya in Colombo District, Ja Ela in Gampaha District, as well as Mannar Town and Nanaddan in Mannar District all registered over 10 km of exposed railways each.
Commissioner-General of Essential Services B.K. Prabath Chandrakeerthi is on record as having said that only 478 kilometers of Sri Lanka’s 1,593-km railway network were currently usable following extensive damage caused by the recent cyclone.
Under Secretary of State for Political Affairs Allison Hooker arrived in Colombo yesterday (11) to underscore US interest in defence, trade and maritime security in line with their Indo-Pacific strategy.
The US embassy here issued the following statement: “Under Secretary Hooker will meet with Sri Lankan counterparts to discuss a wide range of bilateral issues, focused on deepening economic and commercial ties, strengthening defence cooperation, and supporting Sri Lanka’s economic and maritime sovereignty.
The United States and Sri Lanka share a strong and enduring partnership rooted in our mutual commitment to regional security, economic growth, and prosperity for our peoples. Through close cooperation on defence, trade, and maritime security, we are working together to advance a free, open, and resilient Indo-Pacific region.
As we continue to build on our strategic partnership, the United States also stands with the people of Sri Lanka as they respond to the devastating impacts of Cyclone Ditwah. We remain committed to working together to address both immediate challenges and long-term opportunities for our two nations, reflecting our ongoing commitment to the U.S.-Sri Lanka partnership.”
Showers or thundershowers will occur at times in the Northern, North-Central, Eastern and Uva provinces and in Puttalam, Matale and Kurunegala districts
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