News
National assets in the power sector

The Yugadhanavi Power Plant in Kerawalapitiya is much in the news at present. There is an allegation that 40% of the shares of this national asset are to be sold to an American Company and there are those who insist that this National Asset must not be sold to the private sector.
It is interesting to examine the facts first as to how the Yugadhanavi Power Plant became a National Asset.
In 2005, when the new government was elected to office, it was apparent that a serious power crisis was looming, and that immediate action was required. The government decided to call for proposals from a subsidiary of Lanka Transformers Ltd, Lakdhanavi Ltd which had already constructed two power plants at that time in the country. The CEB owns 63% of the shares of Lanka Transformers Ltd.
Lakdhanavi Ltd gave a proposal to build and hand over a 300MW Combined Cycle Power Plant at Kerawalapitiya. Two related companies from Japan and China also gave similar proposals.
A CANC was appointed to evaluate the proposals and the CANC was divided on the matter. Lakdhanavi Ltd had given the cheaper offer, but had not done a similar project before.
After the intervention of the then Secretary, Ministry of Power, sanity prevailed, and the government took a decision to award the contract to the local party.
Thus, the present Yugadhanavi Power Plant was designed and built by local engineers of Lakdhanavi Ltd, in less than three years, proving their capability. If not for the intervention of the then Secretary to the Ministry of Power, this Sri Lankan Asset would have been a Chinese Asset.
In 2016, tenders were called for the construction of a 350MW Combined Cycle Power Plant at Kerawalapitiya and the lowest evaluated tender was from Lakdhanavi Ltd.
Then the Secretary of The Ministry of Power at that time, with the support of the minister, decided to award the contract to a Chinese company who had submitted the second highest bid. Lakdhanavi had to battle this matter in the Courts for 04 years. Unfortunately, persons who are now raising several issues about the disposal of National Assets were silent at that critical time.
Again in 2020, on the intervention of Gotabaya Rajapakse the contract was awarded to Lakdhanavi Ltd. Now Lakdhanavi Ltd is in the process of building the power plant. Thus, for the second time, a Sri Lankan Asset is being created instead of a Chinese one – history is repeating itself!
LTL Holdings (PVT) Ltd Staff Union
News
COPE discovers fake documents covering drug imports in 2022/23

The Parliamentary watchdog Committee on Public Enterprises (COPE) has found that there were fake documents regarding the importing of medicines under the emergency procurement system in 2022 and 2023.
This was revealed during a COPE meeting held at Parliament probing the transactions of the National Medicine Regulatory Authority (NMRA).
NMRA CEO Saveen Semage told the committee that several fake documents have been found due to the lack of registration of medicines.
Stating that six such fake documents were found last year alone, Semage said he had recorded statements regarding each of the documents with the Financial Crimes Investigation Division.
He revealed that, however, no investigations have been conducted yet into the incidents.
“We have documents with confessions from a woman accepting that fake documents had been made. However, a statement has not even been recorded from that woman yet,” he said.
Meanwhile, COPE member MP Asitha Niroshana Egoda Vithana also revealed that the highest number of waive-off registrations (WOR) for medicines had been obtained in 2022 and 2023.
He said 656 such WORs had been obtained in 2022 and 261 in 2023, adding that this proves that discrepancies have taken place during the emergency procurement of medicines during these periods.
Furthermore, Deputy Director General of the Medical Supplies Division of the Health Ministry, Dr. G. Wijesuriya said discussions are underway on allowing the State Pharmaceutical Corporation (SPC) to directly import essential medicines.He pointed out that it was essential to take a policy decision in this regard as a solution to mitigate such discrepancies.
News
Batalanda report tabled in parliament, forwarded to AG

The Batalanda Commission report was tabled in Parliament on Friday by the Leader of the House and Transport Minister, Bimal Ratnayake.
Minister Ratnayake announced that the government has decided to forward the report to the Attorney General for legal advice. Additionally, a Presidential Committee will be appointed to provide guidance and recommendations on how to proceed with the findings of the report.
Ratnayake said that the Cabinet of Ministers, along with President Anura Kumara Dissanayake, has made a policy decision to take necessary action in response to the report. He reassured the public that steps are being taken to ensure that such a dark chapter in the country’s history is never repeated.
Minister Ratnayake said that a two-day debate on the Batalanda Commission report will be scheduled in Parliament at an appropriate time, allowing for a detailed discussion on the report’s findings and recommendations.
The report, which will be printed in all three official languages—Sinhala, Tamil, and English—will be made available to the public in the near future. Ratnayake confirmed that printed copies would be provided to members of Parliament as well as the general public for their review.
The Leader of the House further revealed that there are 28 evidence volumes associated with the commission’s work, which will be submitted to Parliament at a later date for further scrutiny.
Ratnayake said that as entire country concerned of the Batalanda Commission’s findings, the government’s commitment to addressing the issues raised and preventing future atrocities stands clear. The next steps, including legal action and policy recommendations, will be shaped by expert advice and informed parliamentary discussions, he said.
News
CB Governor stresses need to assist crisis-hit construction industry

Governor of the Central Bank Dr. Nandalal Weerasinghe on Friday (14) emphasized the importance of promoting a sustainable and cost-effective construction industry in the country, highlighting key challenges and opportunities in the sector.
Speaking at ‘Construction Expo 2025’, Dr. Weerasinghe underscored the need for Sri Lanka to align with global trends in sustainable construction, integrating cost-effective energy solutions and eco-friendly building practices.
“I must say my views here are not necessarily as Governor of the Central Bank of Sri Lanka, but as a person looking at this construction industry and how this can be developed and what the issues are. Sustainability in construction is essential, not just for new projects but also for existing buildings,” he noted.
Dr. Weerasinghe acknowledged that the construction sector has been one of the hardest-hit industries due to multiple economic pressures in recent years including the decline in public investments, high material costs and the industry being dependent on government projects.
The CBSL Governor, who acknowledged that the government faced fiscal constraints, limiting infrastructure spending and delaying payments to contractors, said that however, the outstanding arrears had now been settled.
“Government did not have space to spend money for public investment, especially construction that had a significant impact on the industry in the last couple of years, plus the government inability to pay the arrears for a long period. That was an issue we all recognize that has been one of the adverse impacts the industry had in the past”, he expressed.
“Also the cost of materials went up significantly, partly because of foreign exchange shortages. As a result, the shortage had shot up the prices of construction materials, as well as depreciation of the currency, high interest rates, finance costs, and other factors. We all recognize that it had an adverse impact on the industry. It’s one of the worst affected industries because of all these factors.”
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