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The convoluted LNG–NG story: What do we need? LNG or NG or neither?

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By Eng. Parakrama Jayasinghe

parajaysinghe@gmail.com

I am not a fan of natural gas either in its gaseous state NG or the liquefied state LNG, both of which are very much under discussion now locally and at COP 26 in Glasgow. At the same time, I would like to consider myself a realist with the wellbeing and needs of Sri Lanka receiving the highest priority.

Natural gas, mostly Methane (CH4), is present in deep underground strata in large pockets or closer to the surface in a more dispersed manner, emanating from decaying biomass and also unfortunately emitted by ruminating bovine.

Those who enjoyed this natural but diminishing fossil fuel resource in their own territorial land mass or with access to neighbours in the same land mass could do so in it’s gaseous state, commence exploiting by laying extensive gas pipe lines sometimes running thousands of kilometres

But in recent decades , with larger volumes being discovered (with the USA and Canada exploiting environmentally disastrous tar sands and fracking practices), the lure of this seemingly economical and decidedly less polluting fossil fuel, has attracted even those countries not endowed with any indigenous gas resources on their own or neighbours with such resources accessible by pipelines. This has led to the development of the process of liquefaction of the NG by cooling down to about – 160 degrees under high pressure, purely for the purpose of economically acceptable logistics for transport mainly by sea, creating the LNG concept and market.

However, since NG can be used only in its gaseous form, at the recipient’s end re-gasification facilities are required and were implemented on land close to the point of use or in logistical distribution terminals. The oil and gas industry using their ingenuity came up with a further twist by development of the Floating Storage and Re Gasification Units (FSRU), designed to serve those who could not deploy the land based re-gasification facilities located on land as these could be quite expensive. As the name suggests, these are designed as floating vessels moored close to the point of use, and the LNG is delivered to the FSRUs by bulk NG carriers. The re-gasified NG is delivered in relatively short pipelines to the land based consumption units for example power plants.

This is decidedly a simple explanation for the understanding of laymen. There are extensive and detailed explanations given in several articles by Eng. Nalin Gunasekera, a renowned international expert on the subject, in the Daily News of 3, 4 and 5 November and the Sunday Island of 7 November 2021, for those interested in gaining a more in depth understanding of the issues associated with these systems.

However, my purpose in writing this comment is not to discuss such technical intricacies but to examine how Sri Lanka should evaluate the options and the best approach for our benefit if we are to consider either LNG or NG. As already mentioned, given the choice, I would not like having to use NG in any form. It is a fossil fuel and it is now recognised as a very significant contributor to Global Warming, being 80 times more potent than CO2 in the short term. But it has the advantage of being a cleaner burning fuel, devoid of a plethora of dangerous and toxic pollutants released to the entire exosphere.

What are Sri Lanka’s Options ?

Some important issues must be recognised prior to seeking a reply to this query. Viz:

We have now firmly established the target of 70% renewable energy contribution for power generation by 2030

The current forecasts the 30% contribution by fossil fuels in 2030 is 8997 GWh Vs the current contribution of 9000 GWh ( CEB 2020 statistics), which leaves no room for any additional fossil power plants, except as replacements for any due to be retired shortly. The 350 MW Sobhadhanawi plant can be justified only in this context.

The 900 MW Lak Vijaya coal power plant may have a residual economic life of about 25 years.

The price of coal has sky rocketed, reportedly to over $ 240 per ton at source and no suppliers even at that price to Sri Lanka

The price of crude oil too has shot up to $ 85 per BBL and seems to hold at that level.

As such, using NG to meet the 30% gap appears to be an option and environmentally less damaging at least at point of use, provided the cost of generation is acceptable.

The comparison between the CEB tender for the FSRU only, without considering the LNG supply cost and mechanism, with the NFE proposal, which includes a monopoly on supply of LNG at unknown prices, is most illogical and has no meaning, at all. Talk about comparing one rotten apple with an even more rotten orange.

In spite of the grave doubts cast by Eng. Nalin Gunesekera, there is a possibility of attracting investors to develop the Mannar gas resource due to reasons given later on

Where does that leave us? Have we no options at all?

To start with, there can be no justification to continue with this love affair with LNG, given that it will compel Sri Lanka to continue purchase of a fossil fuels with scarce Dollars and at prices on which we have absolutely no control. The attraction of $ 250 Million for the sale of a valuable national asset is no justification, however tight the present foreign exchange situation is, a hollow relief as it will result in draining out several billions of dollars in a few short years.

Next, an FSRU is an inevitable appendage to go with the LNG supplies. Eng. Gunasekera has gone to great lengths to explain the complexities of this system and the high degree of expenditure required for its implementation and operation as well as the great many risks involved in the whole deal. He comes from an expert with decades of experience in this sector, and we will indeed be fool hardy to ignore his warnings and fall into a trap, from which we have no escape.

The whole process of this attempt to get NG as an alternative source of fuel, without anyone competent, establishing the possible means of supply, and compounding the problem by awarding a contract for the construction of a power plant is laughable, if not for the tragic mess that has landed Sri Lanka in. This is even more tragic considering that there has been no in depth re-evaluation on financial and economic feasibility based on current supply and price issues, done before deciding to make an award for a project tendered for in 2016. Sri Lanka having painted itself into a corner, the solution is not to get blackmailed but to dump the LNG and FSRU options even at this late stage. It has been calculated by the SLSEA that even with the most optimistic assumptions on current prices of LNG the cost of generation with LNG will be of the order of Rs 35.00 per kWh. This can only go up with continued depreciation of the rupee and the price trends of the LNG.

Just for comparison, the Siyambaladuwa solar project is expected to generate electricity at Rs 11.00 per kWh and the Mannar Wind Plant is generating at less than Rs 10.00 per kWh. The current cost of adding batteries to make these firm sources of electricity generation is only Rs 8.50 per kWh and is expected to decline sharply in the coming years to Rs. 3.50 per kWh by 2025.

What about Yugadhanawi Power Plant and the supposed share sale of 40% shares to the New Fortress Energy ( NFE)? If this deal is already confirmed and the $ 250 Million is already received, then this share deal on its own would be carried out. But there cannot be any additional conditions such as a monopoly of supply of LNG, attached to this sale. Such conditions are totally illegal and we can only hope that the present litigation will support this point of view.

At present, the Yugadhanawi plant operates at about 30% plant factor. Let it continue to do so using the furnace oil, even though the cost of FO also may have gone up in recent times. The impact on the national economy and the CEB cash flow would be much less worrisome than the proposed misadventure with LNG.

What is the fate of Mannar Oil and Gas Resource?

Although Eng. Gunasekera is of the view that its proven potential is far too little to attract any investors, he has hedged his bets by a surprising comment on the possibility of this resource being supplementary to FSRU and LNG. Given the dire warnings he has sounded against any attempt to implement the FSRU, perhaps he may have an inkling that the Mannar resource may stand on its own.

However, I would like to take a more optimistic view of the possibility and the need for a successful development agreement (taking due notice of warnings given on this count too due to Sri Lanka’s poor record of international negotiations) for two reasons:

It is now becoming impossible to operate the Lak Vijaya coal power plant due to cost of coal.

We don’t seem to have the courage to look beyond the 70% RE target and therefore should look for a least damaging solution, both economically and environmentally.

Both these objectives are served by successful development of the Mannar gas field with the potential of gaining both more economically and financially as the estimated potential of 9 Trillion Cubic Feet of Gas from the currently explored blocks; this is many times our own potential consumption and will yield a substantial surplus.

The World Scene on Natural Gas

I must justify my claim to be a realist in hoping for an acceptable agreement for this development in spite of my opposition to any form of fossil fuels. The fact remains that it is only now that the CEB has accepted the 70% RE goal. So, we need to look for the least damaging means of meeting the balance 30%. In the world scene, in spite of the agreement that NG is a very potent GHG due to leakages at points of extraction, storage and transport, it remains a highly sought after fuel. While there is a widespread agreement to eventually end the use of coal, in some countries even as early as 2025, there is no such agreement in respect of NG.

Even at the current COP 26 summit dubbed as the Green Washing Festival by Greta Thunberg, the commitment is only to reduce the methane emissions by 30% by year 2030, that too with out several major producers and users of NG including India, Russia and China

So, the demand and use of NG shall remain high and even escalate as replacement of coal in the foreseeable future. The largest increase is also expected to be in the Asian region. Coupled with this is the fact that there is a great gap between the quoted prices in different NG markets such as Henri Hub and the Japan Korea Market as shown in the graphs.

As such, developing our own resource is attractive and very much in centre stage of the high demand area.

So, while Sri Lanka has committed to reach Zero Carbon status by 2050, there is no reason why we should not aim at the least environmentally damaging and potential economically attractive option of opening up this resource as the transition solution.

The Worst Case Scenario?

What if we are not successful in getting an acceptable agreement and have to do without any gas?

This may be a reality considering the discussions going on at COP 26 against funding for any new fossil fuels. Many including me would view this as the best option in the long run.

Sri Lanka has enough and more indigenous RE resources and the 100% RE option is not impossible. The issue would be more of a financial problem than technical with the need for capital to import the necessary capital goods. There is hope generated at COP 26 on this count too. The project is already at the planning or implementation stage and such as the 100 MW solar and Wind Projects up to some 177 MW of major hydro projects would help bridge this gap in addition to the projected wind, biomass and solar potential .

The tantalising potential of doubling the generation capacity of the Victoria project on which feasibility studies have already been done needs urgent consideration.

Conclusion

The bottom line is clear. There are more than enough reasons for dumping the FSRU option before any more ill-considered commitments are made.

The possibility of attracting credible investors to develop the Mannar resource is reported to be very real and imminent. Therefore, a short sighted commitment to implement FSRUs and therefore the import of LNG would be most foolhardy.

There is the need for much more proactive measures to harness our own RE resources, not limiting such actions to mere rhetoric. The only ingredient lacking is the confidence as well as foresight of the energy authorities, blind to the world trends, both technically and commercially.

A time-targeted action plan towards the 70% RE is urgently needed with much greater emphasis on the next few years’ goals and activities. These would be invaluable in making adjustments to the plans for the next stage, say up to 2027. It is most likely that much more challenging targets could be set with the technical advances and the learning during the first stage.

Can we adopt this “Can Do” attitude at least now?



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Ethnic-related problems need solutions now

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President Dissanayake in Jaffna

In the space of 15 months, President Anura Kumara Dissanayake has visited the North of the country more than any other president or prime minister. These were not flying visits either. The president most recent visit to Jaffna last week was on the occasion of Thai Pongal to celebrate the harvest and the dawning of a new season. During the two days he spent in Jaffna, the president launched the national housing project, announced plans to renovate Palaly Airport, to expedite operations at the Kankesanthurai Port, and pledged once again that racism would have no place in the country.

There is no doubt that the president’s consistent presence in the north has had a reassuring effect. His public rejection of racism and his willingness to engage openly with ethnic and religious minorities have helped secure his acceptance as a national leader rather than a communal one. In the fifteen months since he won the presidential election, there have been no inter community clashes of any significance. In a country with a long history of communal tension, this relative calm is not accidental. It reflects a conscious political choice to lower the racial temperature rather than inflame it.

But preventing new problems is only part of the task of governing. While the government under President Dissanayake has taken responsibility for ensuring that anti-minority actions are not permitted on its watch, it has yet to take comparable responsibility for resolving long standing ethnic and political problems inherited from previous governments. These problems may appear manageable because they have existed for years, even decades. Yet their persistence does not make them innocuous. Beneath the surface, they continue to weaken trust in the state and erode confidence in its ability to deliver justice.

Core Principle

A core principle of governance is responsibility for outcomes, not just intentions. Governments do not begin with a clean slate. Governments do not get to choose only the problems they like. They inherit the state in full, with all its unresolved disputes, injustices and problemmatic legacies. To argue that these are someone else’s past mistakes is politically convenient but institutionally dangerous. Unresolved problems have a habit of resurfacing at the most inconvenient moments, often when a government is trying to push through reforms or stabilise the economy.

This reality was underlined in Geneva last week when concerns were raised once again about allegations of sexual abuse that occurred during the war, affecting both men and women who were taken into government custody. Any sense that this issue had faded from international attention was dispelled by the release of a report by the Office of the Human Rights High Commissioner titled “Sri Lanka: Report on conflict related sexual violence”, dated 13.01.26. Such reports do not emerge in a vacuum. They are shaped by the absence of credible domestic processes that investigate allegations, establish accountability and offer redress. They also shape international perceptions, influence diplomatic relationships and affect access to cooperation and support.

Other unresolved problems from the past continue to fester. These include the continued detention of Tamil prisoners under the Prevention of Terrorism Act, in some cases for many years without conclusion, the failure to return civilian owned land taken over by the military during the war, and the fate of thousands of missing persons whose families still seek answers. These are not marginal issues even when they are not at the centre stage. They affect real lives and entire communities. Their cumulative effect is corrosive, undermining efforts to restore normalcy and rebuild confidence in public institutions.

Equal Rights

Another area where delay will prove costly is the resettlement of Malaiyaha Tamil communities affected by the recent cyclone in the central hills, which was the worst affected region in the country. Even as President Dissanayake celebrated Thai Pongal in Jaffna to the appreciation of the people there, Malaiyaha Tamils engaged in peaceful campaigns to bring attention to their unresolved problems. In Colombo at the Liberty Roundabout, a number of them gathered to symbolically celebrate Thai Pongal while also bringing national attention to the issues of their community, in particular the problem of displacement after the cyclone.

The impact of the cyclone, and the likelihood of future ones under conditions of climate change, make it necessary for the displaced Malaiyaha Tamils to be found new places of residence. This is also an opportunity to tackle the problem of their landlessness in a comprehensive manner and make up for decades if not two centuries of inequity.

Planning for relocation and secure housing is good governance. This needs to be done soon. Climate related disasters do not respect political timetables. They punish delay and indecision. A government that prides itself on system change cannot respond to such challenges with temporary fixes.

The government appears concerned that finding new places for the Malaiyaha Tamil people to be resettled will lead to land being taken away from plantation companies which are said to be already struggling for survival. Due to the economic crisis the country has faced since it went bankrupt in 2022, the government has been deferential to the needs of company owners who are receiving most favoured treatment. As a result, the government is contemplating solutions such as high rise apartments and townhouse style housing to minimise the use of land.

Such solutions cannot substitute for a comprehensive strategy that includes consultations with the affected population and addresses their safety, livelihoods and community stability.

Lose Trust

Most of those who voted for the government at the last elections did so in the hope that it would bring about system change. They did not vote for the government to reinforce the same patterns that the old system represented. At its core, system change means rebalancing priorities. It means recognising that economic efficiency without social justice is a short-term gain with long-term costs. It means understanding that unresolved ethnic grievances, unaddressed wartime abuses and unequal responses to disaster will eventually undermine any development programme, no matter how well designed. Governance that postpones difficult decisions may buy time, but lose trust.

The coming year will therefore be decisive. The government must show that its commitment to non racism and inclusion extends beyond conflict prevention to conflict resolution. Addressing conflict related abuses, concluding long standing detentions, returning land, accounting for the missing and securing dignified resettlement for displaced communities are not distractions from the government programme. They are central to it. A government committed to genuine change must address the problems it inherited, or run the risk of being overwhelmed when those problems finally demand settlement.

by Jehan Perera

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Education. Reform. Disaster: A Critical Pedagogical Approach

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PM Amarasuriya

This Kuppi writing aims to engage critically with the current discussion on the reform initiative “Transforming General Education in Sri Lanka 2025,” focusing on institutional and structural changes, including the integration of a digitally driven model alongside curriculum development, teacher training, and assessment reforms. By engaging with these proposed institutional and structural changes through the parameters of the division and recognition of labour, welfare and distribution systems, and lived ground realities, the article develops a critical perspective on the current reform discourse. By examining both the historical context and the present moment, the article argues that these institutional and structural changes attempt to align education with a neoliberal agenda aimed at enhancing the global corporate sector by producing “skilled” labour. This agenda is further evaluated through the pedagogical approach of socialist feminist scholarship. While the reforms aim to produce a ‘skilled workforce with financial literacy,’ this writing raises a critical question: whose labour will be exploited to achieve this goal? Why and What Reform to Education

In exploring why, the government of Sri Lanka seeks to introduce reforms to the current education system, the Prime Minister and Minister of Education, Higher Education, and Vocational Education, Dr. Harini Amarasuriya, revealed in a recent interview on 15 January 2026 on News First Sri Lanka that such reforms are a pressing necessity. According to the philosophical tradition of education reform, curriculum revision and prevailing learning and teaching structures are expected every eight years; however, Sri Lanka has not undertaken such revisions for the past ten years. The renewal of education is therefore necessary, as the current system produces structural issues, including inequality in access to quality education and the need to create labour suited to the modern world. Citing her words, the reforms aim to create “intelligent, civil-minded citizens” in order to build a country where people live in a civilised manner, work happily, uphold democratic principles, and live dignified lives.

Interpreting her narrative, I claim that the reform is intended to produce, shape, and develop a workforce for the neoliberal economy, now centralised around artificial intelligence and machine learning. My socialist feminist perspective explains this further, referring to Rosa Luxemburg’s reading on reforms for social transformation. As Luxemburg notes, although the final goal of reform is to transform the existing order into a better and more advanced system: The question remains: does this new order truly serve the working class? In the case of education, the reform aims to transform children into “intelligent, civil-minded citizens.” Yet, will the neoliberal economy they enter, and the advanced technological industries that shape it, truly provide them a better life, when these industries primarily seek surplus profit?

History suggests otherwise. Sri Lanka has repeatedly remained at the primary manufacturing level within neoliberal industries. The ready-made garment industry, part of the global corporate fashion system, provides evidence: it exploited both manufacturing labourers and brand representatives during structural economic changes in the 1980s. The same pattern now threatens to repeat in the artificial intelligence sector, raising concerns about who truly benefits from these education reforms

That historical material supports the claim that the primary manufacturing labour for the artificial intelligence industry will similarly come from these workers, who are now being trained as skilled employees who follow the system rather than question it. This context can be theorised through Luxemburg’s claim that critical thinking training becomes a privileged instrument, alienating the working class from such training, an approach that neoliberalism prefers to adopt in the global South.

Institutional and Structural Gaps

Though the government aims to address the institutional and structural gaps, I claim that these gaps will instead widen due to the deeply rooted system of uneven distribution in the country. While agreeing to establish smart classrooms, the critical query is the absence of a wide technological welfare system across the country. From electricity to smart equipment, resources remain inadequate, and the government lags behind in taking prompt initiative to meet these requirements.

This issue is not only about the unavailability of human and material infrastructure, but also about the absence of a plan to restore smart normalcy after natural disasters, particularly the resumption of smart network connections. Access to smart learning platforms, such as the internet, for schoolchildren is a high-risk factor that requires not only the monitoring of classroom teachers but also the involvement of the state. The state needs to be vigilant of abuses and disinformation present in the smart-learning space, an area in which Sri Lanka is still lagging. This concern is not only about the safety of children but also about the safety of women. For example, the recent case of abusive image production via Elon Musk’s AI chatbox, X, highlights the urgent need for a legal framework in Sri Lanka.

Considering its geographical location, Sri Lanka is highly vulnerable to natural disasters, the frequency in which they occur, increasing, owing to climate change. Ditwah is a recent example, where villages were buried alive by landslides, rivers overflowed, and families were displaced, losing homes that they had built over their lifetimes. The critical question, then, is: despite the government’s promise to integrate climate change into the curriculum, how can something still ‘in the air ‘with climate adaptation plans yet to be fully established, be effectively incorporated into schools?

Looking at the demographic map of the country, the expansion of the elderly population, the dependent category, requires attention. Considering the physical and psychological conditions of this group, fostering “intelligent, civic-minded” citizens necessitates understanding the elderly not as a charity case but as a human group deserving dignity. This reflects a critical reading of the reform content: what, indeed, is to be taught? This critical aspect further links with the next section of reflective of ground reality.

Reflective Narrative of Ground Reality

Despite the government asserting that the “teacher” is central to this reform, critical engagement requires examining how their labour is recognised. In Sri Lanka, teachers’ work has long been tied to social recognition, both utilised and exploited, Teachers receive low salaries while handling multiple roles: teaching, class management, sectional duties, and disciplinary responsibilities.

At present, a total teaching load is around 35 periods a week, with 28 periods spent in classroom teaching. The reform adds continuous assessments, portfolio work, projects, curriculum preparation, peer coordination, and e-knowledge, to the teacher’s responsibilities. These are undeclared forms of labour, meaning that the government assigns no economic value to them; yet teachers perform these tasks as part of a long-standing culture. When this culture is unpacked, the gendered nature of this undeclared labour becomes clear. It is gendered because the majority of schoolteachers are women, and their unpaid roles remain unrecognised. It is worth citing some empirical narratives to illustrate this point:

When there was an extra-school event, like walks, prize-giving, or new openings, I stayed after school to design some dancing and practice with the students. I would never get paid for that extra time,” a female dance teacher in the Western Province shared.

I cite this single empirical account, and I am certain that many teachers have similar stories to share.

Where the curriculum is concerned, schoolteachers struggle to complete each lesson as planned due to time constraints and poor infrastructure. As explained by a teacher in the Central Province:

It is difficult to have a reliable internet connection. Therefore, I use the hotspot on my phone so the children can access the learning material.”

Using their own phones and data for classroom activities is not part of a teacher’s official duties, but a culture has developed around the teaching role that makes such decisions necessary. Such activities related to labour risks further exploitation under the reform if the state remains silent in providing the necessary infrastructure.

Considering that women form the majority of the teaching profession, none of the reforms so far have taken women’s health issues seriously. These issues could be exacerbated by the extra stress arising from multiple job roles. Many female teachers particularly those with young children, those in peri- or post-menopause stages of their life, or those with conditions like endometriosis may experience aggravated health problems due to work-related stress intensified by the reform. This raises a critical question: what role does the state play in addressing these issues?

In Conclusion

The following suggestions are put forward:

First and foremost, the government should clearly declare the fundamental plan of the reform, highlighting why, what, when, and how it will be implemented. This plan should be grounded in the realities of the classroom, focusing on being child-centred and teacher-focused.

Technological welfare interventions are necessary, alongside a legal framework to ensure the safety and security of accessing the smart, information-centred world. Furthermore, teachers’ labour should be formally recognised and assigned economic value. Currently, under neoliberal logic, teachers are often left to navigate these challenges on their own, as if the choice is between survival or collapse.

Aruni Samarakoon teaches at the Department of Public Policy, University of Ruhuna

Kuppi is a politics and pedagogy happening on the margins of the lecture hall that parodies, subverts, and simultaneously reaffirms social hierarchies.

By Aruni Samarakoon

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Smartphones and lyrics stands…

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Diliup Gabadamudalige: Artistes can stay at home and hire their avatar for concerts, movies, etc.

Diliup Gabadamudalige is, indeed, a maestro where music is concerned, and this is what he had to say, referring to our Seen ‘N’ Heard in The Island of 6th January, 2026, and I totally agree with his comments.

Diliup: “AI avatars will take over these concerts. It will take some time, but it surely will happen in the near future. Artistes can stay at home and hire their avatar for concerts, movies, etc. Lyrics and dance moves, even gymnastics can be pre-trained”.

Yes, and that would certainly be unsettling as those without talent will make use of AI to deceive the public.

Right now at most events you get the stage crowded with lyrics stands and, to make matters even worse, some of the artistes depend on the smartphone to put over a song – checking out the lyrics, on the smartphone, every few seconds!

In the good ole days, artistes relied on their talent, stage presence, and memorisation skills to dominate the stage.

They would rehearse till they knew the lyrics by heart and focus on connecting with the audience.

Smartphones and lyrics stands: A common sight these days

The ability of the artiste to keep the audience entertained, from start to finish, makes a live performance unforgettable That’s the magic of a great show!

When an artiste’s energy is contagious, and they’re clearly having a blast, the audience feeds off it and gets taken on an exciting ride. It’s like the whole crowd is vibing on the same frequency.

Singing with feeling, on stage, creates this electric connection with the audience, but it can’t be done with a smartphone in one hand and lyrics stands lined up on the stage.

AI’s gonna shake things up in the music scene, for sure – might replace some roles, like session musicians or sound designers – but human talent will still shine!

AI can assist, but it’s tough to replicate human emotion, experience, and soul in music.

In the modern world, I guess artistes will need to blend old-school vibes with new tech but certainly not with smartphones and lyrics stands!

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