News
Energy Minister claims successful conclusion of discussions with Indians
Trinco Bunkering now given to IOC – FSP
Trinco oil tank farm
By Rathindra Kuruwita
Energy Minister Udaya Gammanpila yesterday said that discussions with India on regaining the control of the Trincomalee oil tank farm had concluded successfully and that 14 oil tanks in the Trincomalee oil tank farm would be leased to the LIOC for another 50 years. Gammanpila added that LIOC had been controlling the tank farm since 2003.
Twenty four oil tanks would be given to CPC and the remaining 61 managed by Trinco Petroleum Terminals Ltd., a joint venture between LIOC and CPC, Gammanpila said.
“We have regained control of the Trinco oil tank farm. This is a historic victory. Trinco Petroleum Terminals Ltd. will be run by us. COPE and Parliament has control over it,” he said.
However, the Education Secretary of the Frontline Socialist Party (FSP), Pubudu Jayagoda said that the government had agreed to sell the bunkering operations at Trincomalee to IOC. The government was to sign two agreements with India, he said.
“One is the agreement to hand over to India 14 oil tanks that the IOC is using, the pipelines used to carry fuel and the bunkering operation. IOC will get these infrastructure for 50 years, and the government will lose a lot of foreign revenue as it loses the bunkering operation,” he said.
According to Jayagoda, the second agreement will be on the establishment of Trinco Petroleum Terminals Ltd., a joint venture between LIOC and CPC. Commenting on Minister Gammanpila’s claim that most of the Directors of the Company would be appointed by CPC and that 51% of shares would be owned by the CPC, Jayagoda said that the agreement was similar to the one signed with New Fortress Energy.
“We only sold 40% of the Kerawalapitiya Power Plant shares to New Fortress Energy, but they still control the entire operational aspect of the power plant. Likewise, although IOC only owns 49% of Trinco Petroleum Terminals, they are in charge of the operations. We have given them the best tanks, situated at the lower levels of the tank farm, and the pipelines that transports oil. So they are in control of the tank farm,” he said.
The FSP Education Secretary also asked whether Minister Gammanpila would reveal the specifics of the 24 tanks that have been earmarked for CPC. There were about 20 tanks that couldn’t be used and it was likely that those tanks will be given back to the CPC, he said.
“Minister Gammanpila says that these agreements are a great victory because the Sri Lankan flag will be displayed in the tank farm. This is akin to selling your house because you have no money, and claim that the new owners have agreed to display the portrait of your grandmother in the living room. We have agreed to sign a disastrous agreement with India because of our forex crisis and soon they will have a land at a strategic location in the country,” he said.
Jayagoda also alleged that the Minister had also made a number of false statements about the previous agreements on the tank farm. Despite the Minister’s claims, there was no formal agreement to hand over 14 tanks to India in 2003, he said. An MoU was signed and but a formal agreement was never executed.
“So, IOC was holding these tanks illegally. However, when this agreement is signed it will formally have these tanks. The Minister also claims that the 1987 Indo-Sri Lanka accord earmarked these tanks for Indian use. However, the agreement only states that if we develop these tanks with a foreign partner that partner will have to be India. So Gammanpila is bending facts,” he said.
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Environmentalists warn Sri Lanka’s ecological safeguards are failing
Sri Lanka’s environmental protection framework is rapidly eroding, with weak law enforcement, politically driven development and the routine sidelining of environmental safeguards pushing the country towards an ecological crisis, leading environmentalists have warned.
Dilena Pathragoda, Managing Director of the Centre for Environmental Justice (CEJ), has said the growing environmental damage across the island is not the result of regulatory gaps, but of persistent failure to enforce existing laws.
“Sri Lanka does not suffer from a lack of environmental regulations — it suffers from a lack of political will to enforce them,” Pathragoda told The Sunday Island. “Environmental destruction is taking place openly, often with official knowledge, and almost always without accountability.”
Dr. Pathragoda has said environmental impact assessments are increasingly treated as procedural formalities rather than binding safeguards, allowing ecologically sensitive areas to be cleared or altered with minimal oversight.
“When environmental approvals are rushed, diluted or ignored altogether, the consequences are predictable — habitat loss, biodiversity decline and escalating conflict between humans and nature,” Pathragoda said.
Environmental activist Janaka Withanage warned that unregulated development and land-use changes are dismantling natural ecosystems that have sustained rural communities for generations.
“We are destroying natural buffers that protect people from floods, droughts and soil erosion,” Withanage said. “Once wetlands, forests and river catchments are damaged, the impacts are felt far beyond the project site.”
Withanage said communities are increasingly left vulnerable as environmental degradation accelerates, while those responsible rarely face legal consequences.
“What we see is selective enforcement,” he said. “Small-scale offenders are targeted, while large-scale violations linked to powerful interests continue unchecked.”
Both environmentalists warned that climate variability is amplifying the damage caused by poor planning, placing additional strain on ecosystems already weakened by deforestation, sand mining and infrastructure expansion.
Pathragoda stressed that environmental protection must be treated as a national priority rather than a development obstacle.
“Environmental laws exist to protect people, livelihoods and the economy,” he said. “Ignoring them will only increase disaster risk and long-term economic losses.”
Withanage echoed the call for urgent reform, warning that continued neglect would result in irreversible damage.
“If this trajectory continues, future generations will inherit an island far more vulnerable and far less resilient,” he said.
Environmental groups say Sri Lanka’s standing as a biodiversity hotspot — and its resilience to climate-driven disasters — will ultimately depend on whether environmental governance is restored before critical thresholds are crossed.
By Ifham Nizam ✍️
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