News
Proposed privatisation of SriLankan in line with IMF remedy – CEO
SriLankan Airlines CEO Richard Nuttall has declared that the Wickremesinghe-Rajapaksa government intends to privatise several state-owned enterprises, including SriLankan as part of the International Monetary Fund (IMF) programme.
Asian News International quoted Nuttall as having said on Wednesday (13): “The government is trying to privatise a number of state-owned enterprises as a part of the
IMF programme that it’s going through. One of those is SriLankan Airlines.”
Nuttall said that one of the steps taken in that direction is the government helping with the balance sheet which would be completed in a month or two.
“There are two parts to that. One is, the government working to help us with our balance sheet and a lot of work has gone on with that and we expect that to be finished in the next one or two months,” the CEO said.
Nuttal said that the airline is also looking for an investor, three candidates have been finalised and the government is in talks with them.
“And then the other side is looking for an investor. Expressions of interest were completed in April and there were six candidates. That’s now been whittled down to three. So the government is now talking to three different entities and we’ll see what happens from there,” he said.
The CEO shared that no Indian company has showed interest in investing in SriLankan Airlines but one of the consortiums have some Indians in them.
“There’s no Indian company, but one of them is a consortium that we understand has some Indian,” Nuttar said.
Replying to a question about the updates on the expansion plan of Sri Lankan Airlines, Nuttall said, “At the moment, our fleet is 21. We’re hoping for it to grow. It should grow to 22 next month. We’re looking to get another three aircraft within the coming twelve months, so that would take us to 25. So if you look, we’ve also got a couple of aircraft that we’re replacing with engines. So that’s about 50 per cent growth by the end of this year.”
The CEO said that the expansion will be from increased frequencies to existing destinations rather than adding new destination cities. “And I think most of the expansion that we’ll get from that will be not new cities, but it will be increasing frequencies to existing destinations, particularly in India and Southeast Asia,” he added.
Nuttall said that during economic downturn that the country is currently facing, more people tend to go and work overseas which in turn helps the airline.
“If one looks at Sri Lanka, two of the biggest sources of currency for the country come from the diaspora, Sri Lankans working abroad and tourism. So actually when you have an economic downturn, more people go overseas. So it’s a natural hedge. So for the airline that’s good and we can support the economic development of the country by supporting the people that want to go and work overseas,” the CEO said.
Nuttal highlighted that the tourism sector has recovered and back to pre-COVID times. He added that the Indian market has trebled in the last year.
“When it comes to tourism, actually tourism has come back really, really quickly to Sri Lanka. So tourism is now back where it was pre-COVID. And if we look at the Indian market, the Indian market has I think trebled in the last twelve months. We were doing roughly 1,012 thousand a month last year and now we’re up closer to 40,000,” the CEO said.
“And the Indians are just over 20 per cent of the tourists that comes to Sri Lanka. And you know, realistically, when we look at the size of the population here and we look at the growing economy, we think that 40,000 a month is just the tip of the iceberg. We think that number could grow,” Nuttal added.
News
INS GHARIAL makes port call in Colombo
The Indian Naval Ship (INS) GHARIAL made a port call in Colombo for operational turnarounds on 04 Feb 26. The Sri Lanka Navy welcomed the visiting ship in compliance with naval traditions.
Commanded by Commander Gaurav Tewari, INS GHARIAL is a vessel with a length of 124.8 meters.
During this visit, ten (10) Bailey Bridges, brought by ship, through the coordination of the High Commission of India in Sri Lanka, will be handed over to the Disaster Management Center. These bridges will provide temporary transportation links while bridges damaged across the island by adverse weather conditions are repaired.
The crew’s itinerary features scheduled goodwill activities with the Sri Lanka Navy, alongside visits to several tourist attractions across the island.
News
Speaker’s personal secretary accused of interference with ongoing bribery investigation
SJB Gampaha District MP Harshana Rajakaruna yesterday told Parliament that the Speaker’s Personal Secretary had written to the Secretary-General of Parliament seeking information on a complaint lodged with the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) by a former Deputy Secretary of Parliament against the Speaker. Rajakaruna called for an immediate investigation into what he described as interference with an ongoing probe.
Raising the matter in the House, Rajakaruna said he had formally requested the Commission to initiate an inquiry into the conduct of the Speaker’s Personal Secretary, Chameera Gallage, questioning the authority under which such information had been sought.
Rajapakaruna tabled in Parliament a copy of the letter allegedly sent by Gallage to the Secretary-General requesting details of the bribery complaint.
Addressing the House, Rajakaruna said that the letter, sent two days earlier, had sought “full details” of the complaint against the Speaker. He maintained that seeking such information amounted to interference with an investigation and constituted a serious offence under the Bribery Act.
“The Speaker’s Secretary has no right to interfere with the work of the Bribery Commission. Under what law is he acting? What authority does he have? The Speaker, like everyone else, is subject to the law of the land,” Rajakaruna said, urging the Commission to take immediate action.
He noted that the Bribery Act treated the obstruction of investigations and the destruction of documents relating to such inquiries as serious offences punishable by law, and said he believed the Minister of Justice would concur.
The allegations sparked sharp reactions in the Chamber, as Opposition members called for accountability and due process in relation to the complaint against the Speaker.
By Saman Indrajith
News
Govt: Average power generation cost reduced from Rs. 37 to Rs. 29
The Ceylon Electricity Board has managed to reduce the average cost of electricity generation from Rs. 37 per unit to Rs. 29, marking a 22 percent reduction, Minister of Power and Energy Eng. Kumara Jayakody told Parliament yesterday.
Responding to an oral question raised by Opposition MP Ravi Karunanayake, the Minister said that electricity tariffs cannot be reduced unless the cost of generation is brought down.
“You cannot reduce electricity tariffs without reducing the cost of generation. What we are currently doing is buying at a higher price and selling at a lower price. When we assumed office, the cost of purchasing and generating electricity was Rs. 37 per unit. We have now managed to bring it down to Rs. 29, a reduction of 22 percent.
Our target is to further reduce this to Rs. 25. Once that is achieved, we will reduce electricity tariffs by 30 percent within three years, as we promised,” Minister Jayakody said.
He added that the government has already formulated a long-term generation plan to further expand the country’s power generation capacity.
According to the Minister, key measures include increasing the absorption of renewable energy into the national grid, expanding the national transmission and distribution network, introducing renewable energy storage systems, and constructing thermal and liquefied natural gas (LNG) power plants to replace aging facilities and meet future demand.
He also said that steps would be taken to enhance the capacity of existing hydropower plants as part of the broader strategy to ensure energy security and reduce long-term electricity costs.
By Ifham Nizam
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