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Possible disruption in fuel supplies as claimed by trade unionist symptomatic of far bigger economic crisis – former Governor
‘Why not arrest Minister Gammanpila for predicting collapse of banking sector’
By Shamindra Ferdinando
Former Governor of Uva, Southern and Central Provinces Rajith Keerthi Tennakoon says the arrest of UNP trade union leader Ananda Palitha over his disputed claim that the country would soon run out of both diesel and petrol unless fresh orders were placed immediately highlighted the economic crisis.
The SLPP government couldn’t solve the impending fuel shortage or suppress the truth by taking Ananda Palitha into custody, Tennakoon told The Island. Although the statement had created panic buying, he stood by Palitha’s statement, Tennakoon said.
The civil society activist pointed out that Ananda Palitha highlighted the daunting challenge in ensuring uninterrupted fuel supplies whereas the overall situation was far worse. “The crisis highlighted by Ananda Palitha is just one factor or symptom,” Tennakoon said, urging the government and the Parliament to examine the situation thoroughly or face the consequences.
Ananda Palitha’s statement actually meant that the country was in dire straits due to USD shortage, Tennakoon said.
Responding to another query, Tennakoon said that those who had lodged a complaint with the Criminal Investigation Department (CID) against Ananda Palitha owed an explanation as regards the government’s failure to settle oil import bills during the past 16 months.
The former Executive Director of an independent polls monitoring body Caffe claimed that Sri Lanka couldn’t attract suppliers for the last two crude oil tenders. Subsequently, about three weeks ago a ship carrying crude oil had to be anchored outside the Colombo harbour due to the government’s failure to make necessary payments. Tennakoon said that fuel stock was unloaded after the government made what he called other arrangements with the supplier.
Citing the fact that a significant 18 percent of Sri Lanka’s total import bill was for fuel, Tennakoon pointed out how the government conveniently forgot the recent crisis caused by shortage experienced by Laugfs customers. If the CID arrested Ananda Palitha on a complaint lodged by the Energy Ministry as regards warning of an impending fuel shortage, Laugfs Chairman W.K.H. Wegapitiya, too, should be taken into custody, Tennakoon said. Wegapitiya repeatedly declared there would be a gas shortage unless the government agreed to an immediate increase in gas prices, Tennakoon said. Having inconvenienced Laugfs customers by delaying the price increase the government finally gave in, Tennakoon said.
Tennakoon pointed out that the government owned Litro Gas, too, had asked permission from the government to increase price of its domestic and industrial products though some ministers repeatedly vowed to maintain the current price levels regardless of Laugfs increasing its prices. Then Litro Chairman, too, had to be arrested for seeking a price revision, Tennakoon said, adding the government owed an explanation regarding its response to milk importers threat to stop importers unless the government granted them a price increase. Noting that instead of granting price increase the government slashed duty on milk food imports, Tennakoon said that the SLPP government’s biggest blunder was slashing the entire range of taxes and duties immediately after forming the government.
Tennakoon said that SLIC owned Litro suffered nearly Rs 1.4 bn losses by selling gas at a loss.
Tennakoon alleged that the Treasury lost well over Rs. 500 bn due to a controversial decision to do away with a range of taxes, including PAYE (Pay As You Earn), NBT (Nation Building Tax), Withholding tax, Capital Gain tax imposed on the Colombo Stock Exchange, Bank Debit tax and unprecedented reduction of VAT (Value Added Tax). Tennakoon pointed out the 15% VAT and the 2% NBT which amounted to 17% imposed on all goods and services were unified and reduced to 8%, effective from the first of December 2019. According to him the decision was taken at the first cabinet meeting of the incumbent government held on Nov 27, 2019.
As a result of foolish government decisions taken without proper study, revenue plummeted drastically, Tennakoon said.
Referring to the Central Bank Report 2020, Tennakoon said that the total revenue for 2018 and 2019 had been Rs 1,950 bn and Rs 1,900 bn, respectively, whereas it dropped to Rs 1,373 in 2020. “The SLPP is responsible for this situation,” the civil society activist said, urging the Opposition to take up the issue both in and outside parliament.
Tennakoon said that if Ananda Palitha could be arrested for warning of a fuel shortage, Energy Minister attorney-at-law Udaya Gammanpila too should be taken into custody for predicting the collapse of the entire banking sector unless the government increased fuel price. Minister Gammanpila repeatedly warned of catastrophe due to disparity in world market and local prices.
Referring to President Gotabaya Rajapaksa’s statements to the nation in late June and last Friday, Tennakoon said that no less a person than the President admitted the difficulty in making loan/interest payments amounting to USD 4 bn annually.
Tennakoon said that the SLPP government couldn’t suppress the truth. Referring to a press conference organized by the President’s Media Division (PMD) a couple of weeks ago, Tennakoon said that Treasury Secretary S.R. Attygalle refrained from responding to The Island query on the Treasury losing over Rs 500 bn due to tax and duty slash. Did the SLPP consult the Treasury Secretary before slashing taxes and duties? Tennakoon asked.
Tennakoon reminded the government how it suffered massive revenue losses by slashing duty on sugar in Oct last year. That racket was followed by slashing of duty on milk food imports recently, Tennakoon said, pointing out Dr. Gunadasa Amarasekera accused a section of the government of facilitating milk food import scam.
“Take the public into confidence. Tell them the truth. Ask people to cut down on consumption. We are in a messy situation,” Tennakoon said, calling for review of fiscal policies. Tennakoon urged the parliament to address issues raised by watchdog committees COPE, COPA and COPF before formulating its response to the rapid deterioration of the economic situation. Tennakoon emphasized that the government should consult the parliament. Remedial measures should depend on consultations as unilateral decisions could worsen the situation further, Tennakoon warned.
Tennakoon said that the government should address the crises without further delay. The recent cabinet reshuffle revealed the government lacked even the basic understanding of the current crisis and still believed people could be deceived by utterly stupid actions.
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Bambalapitiya Railway Station renovated under the “Dream Destination” project opened to the public
Prime Minister Dr. Harini Amarasuriya stated that Sri Lanka is now creating a common dream as a nation and that the Government’s objective is to make public transport the convenient choice for the people. The Prime Minister made these remarks while participating in the ceremony held to open the renovated Bambalapitiya Railway Station under the “Dream Destination” project.
The renovated Bambalapitiya Railway Station was opened to the public on 10 September under the “Dream Destination” project, jointly implemented by the Ministry of Transport, Highways and Urban Development and the Sri Lanka Railways Department in line with the Clean Sri Lanka national programme. Prime Minister Dr. Harini Amarasuriya participated in the occasion.
The Prime Minister also inspected the renovated railway station, as well as the new pedestrian overpass providing access to the railway station, constructed by the Road Development Authority for which the Dawoodi Bohra community in Sri Lanka contributed Rs. 60 million.
Addressing the gathering, the Prime Minister expressed her special appreciation to the Bohra community for taking the initiative to renovate and provide the people with improved facilities at the Bambalapitiya Railway Station, a busy and well-known location in the Colombo District.
She stated that the renovation of public spaces and the provision of improved facilities have contributed to generating greater interest and a more positive perception of public transport among the people.
The Prime Minister also expressed her appreciation to the Minister of Transport, Highways and Urban Development, the Deputy Ministers and the staff for their contribution towards improving public transport services and attracting greater public interest towards these services.
The development of a country is not determined by the number of private vehicles it has. It is determined by the manner in which people use public transport. The Government’s objective is to improve the public transport service, which has disappointed the people for many years, and create a situation where people feel that public transport is more convenient and safer than using a private vehicle. The Government’s commitment to public transport is clearly demonstrated by the increased allocation of funds for the sector. The ’Dream Destination’ programme is another significant initiative under this effort, bringing together State institutions and the private sector to contribute to national development,” the Prime Minister stated.
“A country does not belong only to the Government. A country is the home for everyone who lives in it. It is the responsibility of all of us to contribute to that home through our knowledge, labour or resources. For a long time, we did not have a common dream as a country. Today, we feel that such a dream is beginning to emerge.
“We have a collective dream. The journey towards that dream is the collective journey we have begun together to build our country, which is our common home.
“What we witness here today is the active participation of our people, our diverse communities and the private sector in this journey. Such collective participation is essential to moving a country forward. Therefore, we deeply appreciate this contribution.
“The Bohra community reminds us today of the importance of this collective spirit. We have now embarked on a collective journey. We share a common dream of what our country should be, what the future of our country should look like and what kind of experience life in our country should offer. The Clean Sri Lanka national programme further strengthens these objectives,” the Prime Minister further stated.
Addressing the gathering, Deputy Minister of Urban Development Eranga Gunasekara stated that increased funding would be allocated to the Sri Lanka Railways Department for development activities next year. He noted that public transport and railway services had not previously received sufficient attention from the Government, but that this would change moving forward.
“Our transport services are progressing step by step, and the railway system is a key component of this development. Accordingly, on the instructions of the President, we will commence the electric railway system, which has long been a dream for our country, next year. We expect to introduce electric railway services from Maradana to Makumbura, from Maradana to Panadura and from Maradana to Ragama. We will also commence work to extend the Kelani Valley railway line from Avissawella to Ratnapura.
He also appreciated the contribution made by private institutions towards the “Dream Destination” project without seeking any promotional benefits in return.
Speaking on behalf of the Dawoodi Bohra community, Khuzaimah Jefferjee stated that the Dawoodi Bohra community, which has been part of Sri Lanka’s social, cultural and economic landscape for more than 150 years, believes that being a citizen of the country means more than simply living in the country. It means contributing to the country, caring for it and leaving behind a better country for future generations.
He said that, as part of this responsibility, the community had taken steps to renovate, modernise and beautify the Bambalapitiya Railway Station. He added that the community hopes these efforts will make the daily journeys of passengers a cleaner, safer, more convenient and dignified experience.
The occasion was attended by the Deputy Speaker of the Parliament of Sri Lanka Dr. Rizvie Sally, Deputy Minister of Religious and Cultural Affairs Muneer Mulaffer, Mayor of the Colombo Municipal Council Vraie Cally Balthazar, Secretary to the President Dr. Nandika Sanath Kumanayake, Secretary to the Prime Minister Pradeep Saputhanthri, General Manager of Sri Lanka Railways Padmapriya, Janab Amil Saheb Ibrahim and representatives of the Dawoodi Bohra community, officials of the Clean Sri Lanka programme and several others.


[Prime Minister’s Media Division]
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Steps being taken to reduce paper usage in parliament and the public sector through digitalisation – PM
Prime Minister Dr. Harini Amarasuriya stated that steps are being taken to reduce the use of paper in Parliament and the public sector through digitalisation.
The Prime Minister made these remarks in Parliament on Thursday (10 September) in response to a question raised regarding digitalisation and the use of paper.
The Prime Minister further stated:
“The total expenditure incurred in 2023, 2024 and 2025 for the provision of Hansard reports, Order Books, Agendas and other parliamentary printed materials provided to Members of Parliament and Ministers for use within the Chamber is Rs. 45.3 million in 2023, Rs. 58.7 million in 2024 and Rs. 73.1 million in 2025.
All these printed materials have been produced based on requests made by Parliament. At the same time, a programme is currently being developed to reduce the use of paper.
In accordance with a request made by the Secretary to the Treasury to the Secretary-General of Parliament, the Committee on Parliamentary Business considered the possibility of submitting reports to Parliament solely in digital format in the future. It was decided to conduct a survey to ascertain the preference of each Member of Parliament. Based on the results of the survey, arrangements will be made to provide relevant documents digitally to Members who prefer digital copies, while printed copies will be provided to those who prefer printed versions.
Following the completion of this survey, arrangements will be made to implement the programme on a date to be determined by the Committee on Parliamentary Business.
Similarly, all ministries and government institutions are currently taking steps towards digitalisation while reducing their use of paper. However, this process will take some time. In this manner, particularly the exchange of files and many other such processes can be facilitated through digital systems in the future.
For example, in the Ministry of Education, applications for leave submitted by university lecturers for overseas travel were previously submitted to the Ministry in printed form. The entire process has now been digitalised. The Ministry, through the University Grants Commission, provides approval for such leave applications through a digital process. Ministries across the government are taking similar measures. We believe that once digital systems are fully established, we will be able to significantly reduce the use of paper.
Responding to a question regarding measures to reduce the weight of schoolchildren’s bags, the Prime Minister stated:
The weight of students’ books will be reduced through the activity-based learning process introduced under the new education reforms. Since the books will be kept in the classroom, students will no longer need to carry them back and forth. They will only need to take the books home at the end of the term after completing their work.
From 2027, a module-based learning process will be introduced for Grade 6. Modules will not consist of large textbooks; instead, students will be provided with modules relevant to each subject for the particular term. Therefore, this system will significantly reduce the weight of schoolchildren’s bags.
[Prime Minister’s Media Division]
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INS Udaygiri departs Colombo concluding formal visit
The Indian Naval Ship (INS) Udaygiri departed the Port of Colombo today, 11 September 2026, following the successful completion of a four day official visit.
On her departure, the Sri Lanka Navy bade farewell to the ship in accordance with time-honoured naval traditions.
During the visit, naval personnel from both navies engaged in joint initiatives to strengthen bilateral ties. These included a friendly volleyball match, a beach cleanup along the Galle Face
promenade, and a training exercise on Visit, Board, Search, and Seizure (VBSS) conducted by the Sri Lanka Navy Special Boat Squadron (SBS).
As part of the visit, the Indian Navy handed over a consignment of spares and supplies to the Sri Lanka Navy. Visiting crew members also toured key tourist attractions in and around Colombo.
Official interactions of this nature aim to enhance cooperation and knowledge-sharing between the two maritime forces, supporting joint responses to evolving regional maritime challenges.
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