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Twenty-five years of private sector-led renewable energy development

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by Dr Tilak Siyambalapitiya

A policy change in 1995 to allow private investments in electricity generation into the grid, a standard agreement and a standard price for electricity produced, enabled such investments to pick-up faster than in other countries. The first mini-hydro power project with entirely private sector funding and private ownership commenced operations in May 1996.

 

The agreement and the price

Dubbed the “most investor friendly agreement in the world”, Sri Lanka’s renewable energy developers were offered, since 1996, a non-negotiable 15-year agreement (20-years for projects signed after 2008). The agreement says, literally, “I will buy all your electricity produced for the next 15 years, any day any time; I will not penalize you for delays in your project or for not producing electricity at all or producing less electricity than you promised; I will not ask you to start or stop your power plant”. There is no other agreement in the business world 25 years ago or now, where such agreements are offered to a seller.

Then the price. The agreement carries a price, which too is not negotiable. It says: “I will pay you a price that reflects the fuel saved in major power plants; in case fuel prices go down, I will not drop the price below 90% of the price when you signed; if the fuel prices go up, I will keep on increasing the prices without any limit”.

I shall buy all your all your product at the following price for 20 years. If you do not produce too, even when I need it badly, I will only greet you with a smile !

Government procurements have to be on competitive basis. This policy of competition was further reinforced by the Electricity Act 2009, required to be implemented by the Public Utilities Commission (PUCSL). The legal validity of such renewable energy agreements and price offers, that make a mockery of rules of “competition”, has been debated in many quarters over the past 25 years.

 

Has it been good ?

Well, yes and no, depending on whom you speak to and your convictions. To the credit of the program, Sri Lanka’s renewable energy development accelerated after 1996. These are smaller power plants using hydropower, wind, wood and more recently, waste. If the government attempted to develop them through a state entity, excessive overheads and inefficiency would most likely creep-in. There would have been a politically appointed Chairman and a fleet of vehicles going up and down, to run a tiny minihydro.

On the other hand, had the state rigidly controlled what is developed and where, renewable energy projects developed would have been more efficient, well-engineered and certainly more environment friendly. Stories are many, where a private mini-hydro project agreed with the Central Environmental Authority to release water for downstream users, but later blocked it 100%. As the saying goes, “Sri Lanka’s streams and rivers are now flowing in tubes”, but we are proud about a vibrant renewable energy industry !

Renewable energy from such smaller private investments reached 1% of total in year 2000 and 4% by 2006. Buoyed by another policy change in 2007 that offered a contract for 20 years and an even more attractive prices, renewable energy from small power plants raced toward a 10% policy target for 2015. It reached the target indeed, with 11% of electricity produced in 2015 from the combined production in 147 minihydros, 15 wind and 3 each of grown biomass, wood waste and solar parks. Unlike many countries who make headlines by stating their renewable energy contribution in megawatt, Sri Lanka’s targets and achievement are stated in kilowatthour, honestly reflecting the true benefits to save fuel and to reduce emissions.

Continuing its race for development, by 2020 (provisional figures) electricity produced from smaller private renewable energy power plants reached 12%. Adding major hydros, the energy share from all renewable energy was 37% by 2020, a share unmatched by all countries and expatriate Sri Lankans that preach Sri Lanka on how to develop renewable energy.

 

Has the price been good to the investor?

The policy of paying renewable energy projects signed over 1996-2016 was to pay the value of fuel saved in the grid, calculated and published in advance every year. Agreements signed after 2007 enjoy an even more attractive pricing formula: a technology-specific, cost-reflective price. That means minihydros are paid a price to make that a profitable investment; wind power is paid to make that technology, a profitable investment.

Once signed, price paid does not change. If costs go up or down after signing, or bank interest rates go up or down, the price remains the same. Fortunately for all who signed in 2008-2009 or later, equipment costs and bank interest rates both have been on a downward trend. Projects that borrowed at 18% in 2018 possibly borrowed at 8% this year, but still enjoy the price paid calculated at 18% interest. By way of equipment costs, solar power has seen the deepest reduction in costs. More on that later.

 

What was the benefit to the public?

Why did the government offer such attractive rates and terms to private investors? Sri Lanka did not throw Rs 10 at renewable energy investors and say “do it if you can”. The key principle in the pricing policy was: price paid makes investments profitable (not just profitable but excessively profitable). The agreement still remains the “most investor friendly agreement” in the world.

In other words, the public of this country, through their electricity bills and through taxes, have paid for the investments, bank interest, and profits (above market rates), to make privately-owned renewable energy an excessively profitable venture. Other benefits of renewable energy need not be repeated here; they are all well known. So what is the benefit to the public who fully paid (and continue to pay) for these investments, of which the ownership is private?

It should be the longer-term benefit of cheaper renewable energy. That’s why the 2008 announcement on the revised policy said as follows: “Renewable energy, which is a natural resource, belongs to the State. Developers are provided with a high tariff to cover their expenses and to earn reasonable profits for an adequately long period (in this case the first fifteen years). Thereafter, the benefit of the resource should flow to the electricity customers, while continuing to provide an operating fee to the small power producers and full recovery of maintenance costs”.

The closest example is the CEB-owned fleet of hydropower plants, which are bigger. The familiar ones are Laxapana, Kotmale and Victoria, among a total of 15 power plants. The public of the country paid for those too, starting from 1950. How? Through electricity bills (because loans and government investments were apportioned between CEB and Mahaweli Authority), taxes and benefits foregone. The major hydros today produce at a cost of Rs 3.35 per unit of electricity. True, that except for Upper Kotmale, all are 20 years or more of age. The fleet of minihydros, too, as they mature into their contracts, after 15 years of good profits to investors, should deliver benefits to electricity customers. That’s why the 2008 announcement said: Therefore, once the developers’ costs and profits are paid, it is inevitable that in the long-term, renewable energy should flow into the national grid at prices significantly lower than the cost of thermal energy.

However, information published indicates that the principles on which small power producers were enabled in 1996 and then enhanced in 2008, are indeed being followed. CEB produces electricity from mature hydros at Rs 3.35 per unit (PUCSL assessment 2019). The price for mature hydropower in the private sector was Rs 5.38 per unit (CEB publication 2019), precisely following the principle of fairness: good profits to investor for 15 years, benefits to electricity customer in the longer term.

As more and more minihydros mature, later wind, biomass and solar projects mature, we should be seeing finally, that ALL renewables produce electricity at prices very significantly lower than all the alternatives. Renewables replace thermal power and we should be paid the same price, will not be an argument, now or then, or in the future. “My power plant is not so good, it does not have water, is not an argument”, because no one defined where to build the minihydro; the investor selected it.

The argument that private renewables can produce below the price of oil, gas or coal does not hold, then, now or in the future. Renewables were allowed because fossil fuels were expensive and bad. The price of fossil fuels comprise royalties, production and delivery costs. If one needs a comparison, royalties for renewables have to be paid to the “republic” (the treasury) and production costs paid by electricity customers. Since royalties are not charged for renewables, both CEB and private, then renewable energy prices should be compared only with production costs. The investment has already been fully paid by the republic.

I conclude with a quotation from the 2008 announcement: “Small power producers opting not to migrate to the new agreement by 30th April 2008, will be offered the tier 3 tariff announced for the relevant technology in the year in which the existing agreement expires, after its full tenure of 15 years is completed”. That means, retiring minihydros should be offered prices in the range of Rs 6 per unit.

It is yet to be seen whether the PUCSL and consumer rights groups are willing to fully and comprehensively understand the issue, step-in, and ensure that “renewable energy belongs to the republic”, as stated in the Sri Lanka Sustainable Energy Authority Act 2007.

The country’s streams are now flowing in tubes, but do benefits flow to the public who have fully paid the investors with profits?



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S L – a cauldron of casualties and trouble

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Cassandra has stopped watching news at night for the sake of her wellbeing and peace of mind. Watching English news at 9.00 p m on a local channel caused her to toss and turn or wake up at the ungodly hour of 2.00 am to again toss and turn, but this time mentally with suppressed anger, frustration, and fear for the future surfacing and consequently inundating the mind with unease. Why all this? Because Sri Lankan news is always of protests, ministerial pontificating with next to nothing done to lift the country from rock bottom it has been thrust to; and violence, murders and drug hauls. All worrying issues. The present worry is spending 200 m on a celebration that most Ordinaries, the public Cass means, DO NOT Want.

What are the issues of the week just past? Hamlet’s disturbed and disturbing ‘To be or not to be’ twisted to ‘Will happen or will not.’ That specifically relates to the LG elections scheduled for March 9. The government has tried every trick of delay just because they face sure defeat – the combined Elephant and Bud that rules us as of now. Everyone else shouts for elections and follows up with the threat to come out on the streets. That seems to be Sri Lankans most resorted to pastime. And we dread the melees; the water cannon, police brutality and the disgrace of saffron robed, bearded and hair grown men in the vanguard of slogan lofting shouters. All a useless and worthless expense of energy achieving nothing but tear gas and water shooting, and remand jail for some. Some of these protests call for the release of one such IUSF protester deemed to be a terrorist by a draconian law and confined in solitary imprisonment for far too long.

A shot or more of arrack or kasippu was resorted to by men and excused by other men as necessary mental trouble relievers. A woman would imbibe a bit of brandy if not a sleeping pill to ease her troubled mind and thus queasy gut. Not any longer if one takes advice that comes pouring in via social media.

Canada’s new move on Alcohol Guidance

As questioned by Holly Honderich in Washington BBC January 18: “What’s behind Canada’s drastic new Alcohol Guidance?” She says a report funded by Health Canada warns that “any amount of alcohol is not good for your health and if you drink, less is better.” This is contained in a 90 page report from the Canadian Centre on Substance Abuse and Addiction. Health issues result from the intake of more than standard drinks and these include breast and colon cancer. Honderich says it may be a rude awakening for the roughly 80% of Canadian adults who drink. The ratio is higher, Cass presumes, in this resplendent isle with its arrack, illicit brews and toddy both kitul and palmyrah. So the comforting statement that was earlier in vogue, that a daily tot of alcoholic drink is good for health, is sent overboard by the Canadian advice. Of course now with money so short except in the hands of the corrupt, the latter advice will have to be taken, voluntarily or otherwise, by most Lankans.

Prez Gotabaya and his advisors’ ruling

We have all seen at least on TV, farmers mourning their yellowing crops of paddy and heard their heart-rending cries of hopelessness at the loss of a third harvest due to the utter crime of overnight stoppage of chemical fertilisers and pest control. Cass wonders how the ex-Prez who decreed this and his advisors sleep at night having blighted long term the entire agriculture of this predominantly agricultural country. Farmers cry out they are in debt, have no money to feed nor school their children; added to which hospitals are bare of medicines.

A highly-educated and experienced agriculturist sent Cass an email the gist of which is that rice farmers all over the island report a ‘yellowing’ of paddy, stunted growth and dead plants in patches. They had all used ‘compost’ issued by the govt. There is a hint this could be due to a nematode infestation. If correct, this has grave implications. It has occurred in tea with no easy cure. Only costly fumigation was effective, eventually. Once rice paddies are infected it would be very difficult to control – almost impossible; already impoverished farmers can bear no further expense.

A three wheeler driver told Cass that river bed soil had been mixed with thrown away household garbage (both obtained free, obviously) and sold as organic fertiliser. I hasten to add this is hearsay, but the obvious truth staring all Sri Lankans in the face and sending shivers of apprehension down all spines is that this Maha season crop is kaput; gone down the drain with farmers cheated and someone or some persons having made money from the deal.

Pointless it is to curse those who were in the racket; useless to commiserate farmers and their families; impossible to compensate them. Will those responsible for giving out dangerous fertiliser for distribution be traced and brought to justice? Never! However, that word ‘never’ is now pronounced with a mite of doubt after M Sirisena and others were dealt justly by judges of the Supreme Court. There are glimmers of hope that wrong doers, actually criminals who bankrupted the country and damaged its agriculture, will be dealt with suitably.

There will be no Aluth Avuruddha for the backbone of the country in April since celebrations centre around a good harvest and R&R after a Maha season of toil and filling bins and storehouses with bountiful paddy. This was pre-Gota days. Now it is all round misery since urban dwellers sorrow, and also suffer, with the farmers who supplied them with food.

Clear stats given to prove inefficiency of the state sector

A video clip came to Cassandra with Advocata CEO Dananath Fernando speaking on the inefficiency of the public service due to being too many in number. Dananath is much admired and spoke clearly and convincingly. He said more conversing with Faraz Shauketaly on Newsline presented by TVI channel on Tuesday 24 January at 8.30 p m.

Dananath said our bureaucracy is inefficient and ineffectual. Main reason being there are too many to do the work. His fact check went like this. In India for every 177 members of the general public there is one (01) government officer or as named earlier ‘government servant’. In Pakistan the figures are 117 to one. Bangladesh is almost the same. In Sri Lanka (hold your breath!) to every sixteen (16) citizens there sits one government officer, mainly twiddling his/her thumbs. It would be interesting to know the ratios in developed countries. But the very relevant to us countries have been named by the Advocata finding. Cass does not need to spell what the result is; she has already indicated it with the image of the thumb twiddler.

We knew the bureaucracy was over staffed, bloated and bulging big like the leaders we have: 225 in parliament, then local councils and pradeshiya sabhas. And in each of them, law makers, decision takers and those who carry them out are far too excessive in number and cost the government excessively in salaries, infrastructure, travel modes; etc. etc. So Advocata asks how development, or even mere running of the country can be achieved efficiently and effectively. A further shock, at least to Cass, was dealt by Dananath in proving the point by revealing statistics for the police service. 50% of the entire police force is deployed on security duty to 225 MPs, Ministers and state VIPs while the balance half is expected to provide safety and security to 22 million people! Lop sided and thus the country slants to sink or disintegrate. It has already slanted to bankruptcy and begging as never before and selling the meager money making ventures we possess.

How did the public service get so bloated? Again the guilty are, or were, those in power. They kept sending persons with chits and they had to be employed. Reason? Sympathy for the jobless? Not at all. Pure unadulterated self-interest so votes are assured them.

Rise up and show thy face, thou olde pensioner

That’s a government order to be observed by the old; most finding walking difficult and many finding the necessity to gather some money for three wheeler hire denting their January budget. But present yourself to the Grama Sevaka of your area is a must if you want to continue receiving your pension, now totally inadequate; but still very grateful for. Hence the procession of the old and weak leaning on walking sticks, even crutches or on willing supporting arms offered them.

Some years ago, questioned by Cassandra, an obliging woman Grama Sevaka said that those unable to present themselves are visited in their homes by officers. We do hope this is done since there must be plenty thumb twiddlers in this government department too.

Bravo Hirunika!

Cass most definitely is an admirer of beautiful Hirunika. She’s garnered another kudos by her latest action, OK, gimmick if you like that word to express the way she has shown displeasure, censure, disagreement of the general public on holding an elaborate National Day event to celebrate 75 years of’ democratic self-rule’ at the exorbitant cost of Rs 200m.. That expression itself calls for comment. Termed National Day it is far from being thus with so many protesting various issues. Celebration is a blatant falsehood. Feb 4 should really be a day of mourning, since the Nation is in the dregs of corruption, misrule and bankruptcy. Self-rule here equates to selfish rule by the leaders for themselves and misrule for us the public. Democracy is dead, actually it was totally dead during previous regimes but has revived somewhat lately,

And how did Hirunika express censure? By having black bows knotted on the posts erected to prop covered spaces for the march past, etc. Black connotes death, mourning, displeasure, bad times. Of course at expense, the bows will be removed before the posse of horses and motor riders and security cars conducts the Prez to the s venue. Cass entertains a jaundiced wish that the entire DPL Corps will, non-diplomatically, ignore invitation and not be present at the celebratory event. Rows and rows of empty chairs might convey the message of non grata, rather disdain for the powers that be. Ranil may be respected still, but those backing him and even guiding his hands are NOT.

Cheers till we meet next Friday!

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Gandhian Ethics

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By JAYDEV JANA

The word ethics is derived from the Greek word ‘ethos’, which means ‘way of living’. The judgement of right and wrong, what to do and what not to do, and how one ought to act, form ethics. It is a branch of philosophy that involves systematising, defending, and recommending concepts of right and wrong behaviour.

Morality is the body of standards or principles derived from a code of conduct from a particular philosophy, religion, or culture. It can also derive from a standard that a person believes in. The word morals is derived from the Latin word ‘mos’, which means custom.

Many people use the words Ethics and Morality interchangeably. However, there is a difference between Ethics and Morals. To put it in simple terms, Ethics = Moral + reasoning.For example, one might feel that it is morally wrong to steal, but if he/ she has an ethical viewpoint on it, it should be based on some sets of arguments and analysis about why it would be wrong to steal. Mahatma Gandhi is considered as one of the greatest moral philosophers of India. The highest form of morality in Gandhi’s ethical system is the practice of altruism/self-sacrifice.

For Gandhi, it was never enough that an individual merely avoided causing evil; they had to actively promote good and actively prevent evils. The ideas and ideals of Gandhi emanated mainly from: (1) his inner religious convictions including ethical principles embedded in Hinduism, Buddhism, Jainism and Christianity; (2) the exigencies of his struggle against apartheid in South Africa and the mass political movements during India’s freedom struggle; and (3) the influence of Tolstoy, Carlyle and Thoreau etc. He was a moralist through and through and yet it is difficult to write philosophically about his ethics.

This is because Gandhi is fundamentally concerned with practice rather than with theory or abstract thought, and such philosophy as he used was meant to reveal its ‘truth’ in the crucible of experience. Hence, the subtitle of his Autobiography ~ ‘the story of my experiments in truth.’ The experiments refer to the fact that the truth of concept, values, and ideals is fulfilled only in practice.

Gandhi’s ethics are inextricably tied up with religion, which itself is unconventional. Though an avowed Hindu, he was a Hindu in philosophical rather than a sectarian sense; there was much Hindu ritual and practice that he subjected to critique.

In his Ethical Religion, published in 1912 based on lectures delivered by him, Gandhi had stated simply that he alone cannot be called truly religious or moral whose mind is not tainted with hatred and selfishness, and who leads a life of absolute purity and of disinterested services. Without mental purity or purification of motive, external action cannot be performed in selfless spirit. Goodness does not consist in abstention from wrong but from the wish to do wrong; evil is to be avoided not from fear but from the sense of obligation. Consistency was less important to Gandhi than moral earnestness, and rules were less useful than specific norms of human excellence and the appreciation of values. Politics is a comprehensive term which is associated with composition and operation of state structure as well as its interrelationship with other states. It is activity centred around power and very often deprived of morals. With its power-mongering, amoral Machiavellianism, and its valorisation of expediency over principle, and of successful outcomes over scrupulous means, politics is an uncompromising avenue for saintliness. Inclusion of ethics in politics seemed to be a contradiction to many contemporary political philosophers.

Bal Gangadhar Tilak among others warned Gandhi before he embarked on a political career in India, “Politics is a game of worldly people and not of sadhus.” Introducing spirituality into the political arena would seem to betoken ineffectiveness in an area driven by worldly passions and cunning. It is perhaps for these reasons that Christ himself appeared to be in favour of a dualism: “Give to Caesar what is Caesar’s and to God what is God’s.” In this interpretation, the standards and norms that apply to religion are different from those relevant to politics.

Gandhi by contrast, without denying the distinction between the domain of Caesar and that of God, repudiates any rigid separation between the two. As early as 1915, Gandhi declared his aim “to spiritualise” political life and political institutions.

Politics is as essential as religion, but if it is divorced from religion, it is like a corpse, fit only for burning. In the preface to his autobiography, Gandhi declared that his devotion of truth had drawn him into politics, that his power in the political field was derived from his spiritual experiments with himself, and those who say religion has nothing to do with politics do not know what religion means. Human life being an undivided whole, no line could be drawn between ethics and politics. It was impossible to separate the everyday life of man, he emphasised, from his spiritual being. He said, “I feel that political work must be looked upon in terms of social and moral progress.” Gandhi is often called a saint among politicians. In an epoch of ‘globalisation of selfcentredness’ there is a pressing necessity to comprehend and emulate the moralistic dimension of Gandhian thought and re-evaluate the concept of politics. The correlation between ends and means is the essence of Gandhi’s interpretation of society in terms of ethical value rather than empirical relations. For Gandhi, means and ends are intricately connected.

His contention was, “For me it is enough to know the means. Means and ends are convertible terms in my philosophy.” Gandhi countered the assertion that ends vindicate means. If the means engaged are unjust there is no possibility of achieving satisfactory outcomes. He compared the means to a seed and the end to a tree. Gandhi stuck to this golden ideal through thick and thin, without worrying about the immediate results. He was convinced that our ultimate progress towards the goal would be in exact proportion to the purity of our means.

Gandhi believed that “Strength does not come from physical capacity. It comes from an indomitable will.” His seven social sins refer to behaviours that go against ethical code and thereby weaken society. When values are not strongly held, people respond weakly to crisis and difficulty. The seven sins are: (1) Wealth without work; (2) Pleasure without conscience; (3) Knowledge without character; (4) Commerce without morality; (5) Science without humanity; (6) Religion without sacrifice; and (7) politics without principle. Gandhi’s Seven Sins are an integral part of Gandhian ethics.

The Satyagraha (Sanskrit and Hindi: ‘Holding into truth’) as enunciated by Gandhi seeks to integrate spiritual values, community organisation and selfreliance with a view to empower individuals, families, groups, villages, towns and cities. It became a major tool in the Indian struggle against British Imperialism and has since been adopted by protest groups in other countries.

According to the philosophy of Satyagraha, Satyagrahis (Practitioners of Satyagraha) achieve correct insight into the real nature of an evil situation by observing a non-violence of the mind, by seeking truth in a spirit of peace and love, and by undergoing a rigorous process of self-scrutiny. In so doing, the satyagrahi encounters truth in the absolute. By refusing to submit to the wrong or to cooperate with it, the satyagrahi must adhere to non-violence. They always warn their opponents of their intentions and forbid any tactic suggesting the use of secrecy to one’s advantage. Satyagraha seeks to conquer through conversion: in the end, there is neither defeat nor victory but rather a new harmony. Gandhi’s Satyagraha always highlighted moral principles. By giving the concept of Satyagraha, Gandhi showed mankind how to win over greed and fear by love.

There was no pretension or hypocrisy about Gandhi. His ethics do not stem from the intellectual deductive formula. ‘Do unto others as you would have them unto you.’ He never asked others to do anything which he did not do. It is history how he conducted his affairs. He never treated even his own children in any special manner from other children, sharing the same kind of food and other facilities and attending the same school. When a scholarship was offered for one of his sons to be sent to England for higher education, Gandhi gave it to some other boy. Of course, he invited strong resentment from two of his sons and there are many critics who believe that Gandhi neglected his own children, and he was not the ideal father. His profound conviction of equality of all men and women shows the essential Gandhi who grew into a Mahatma.

The question of why one should act in a moral way has occupied much time in the history of philosophical inquiry. Gandhi’s answer to this is that happiness, religion and wealth depend upon sincerity to the self, an absence of malice towards others, exploitation of others, and always acting ‘with a pure mind.’ The ethical and moral standard Gandhi set for himself reveals his commitment and devotion to eternal principles and only someone like him who regulated his life and action in conformity with the universal vision of human brotherhood could say “My Life is My Message.” (The Statesman/ANN)

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Vibrant ties with M-E, a foreign policy priority for SL

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Head table dignitaries with copies of ‘Sri Lanka-Oman Relations: Past, Present and Future’.

Economics primarily drive politics and this principle applies to Sri Lanka’s relations with almost the entirety of the world’s regions. The fact that economic interdependence is compelling this country to break new ground in its ties with the Middle East bears this out fully.

Over the decades, Sri Lanka has prioritized the need to sustain vibrant ties with the Arab countries of the Middle East and this is quite in order when Sri Lanka’s overwhelming dependence on the region for its oil supplies and for increasing employment opportunities for its labour force are taken into consideration. However, the need is great, owing primarily to growing local economic compulsions, for Sri Lanka to adopt a more studied approach to strengthening its relations with the Middle East.

The latter exercise needs to be research-based if it is to bear ample fruit and it is for this reason that the re-launch of a study titled, ‘Sri Lanka-Oman Relations: Past, Present and Future’ by a Sri Lankan diplomat with considerable work experience in the Middle East in general and Oman in particular, O.L. Ameer Ajwad, should be welcomed. The book was re-launched on January 12 under the aegis of the The Lakshman Kadirgamar Institute of International and Strategic Studies (LKI), Colombo, at the latter’s auditorium in the presence of an audience that consisted of, among others, ambassadors from a number of West Asian countries, including those of Qatar, Egypt, Iraq, Saudi Arabia and Iran.

The book was initially published on February 17, 2021, to mark the 40th anniversary of the establishment of Sri Lanka-Oman diplomatic relations and its re-launch served to emphasize the importance that Sri Lanka should attach to its wide-ranging ties with Oman. The author, a one-time ambassador of Sri Lanka to Oman, is currently the Director General of the Performance Review and Implementation Division of the Ministry of Foreign Affairs. The re-launch of the book was a collaboration among the LKI, the Ministry of Foreign Affairs of Sri Lanka and the embassy of the Sultanate of Oman in Sri Lanka.

The book was formally launched by Foreign Minister Ali Sabry, State Minister of Foreign Affairs Tharaka Balasuriya, Foreign Secretary Aruni Wijewardena, Ambassador of the Sultanate of Oman to Sri Lanka Ahmed Ali Saeed Al Rashdi and the author.

Foreign Minister Ali Sabry who addressed the audience as Chief Guest at the re-launch, following a welcome address by the LKI’s Actg. Executive Director Ms. E.A.S.W. Edirisinghe, said, among other things, that the book needed to be welcomed as a literary endeavor on the part of the author ‘to preserve the institutional memory of the Sri Lankan mission in Oman.’ It also needed to be valued in view of the fact that it ‘proposed a road map through an envoy’s personal experience, for future cooperation between Sri Lanka and the Sultanate of Oman.’ Minister Ali Sabry mentioned the elevating of relations with the countries of the Middle East as a policy priority for Sri Lanka.

State Minister Tharaka Balasuriya, while focusing on Sri Lanka’s centuries-long ties with the Arab world, highlighted the importance of connecting the ports of Colombo and Sohar of Oman by a direct feeder service. The aim should be to create a trans-shipment hub for the respective regions, as proposed by the author.

It was left to Ambassador Ameer Ajwad to present to the audience a comprehensive overview of the contents of the publication. He said chapter five was especially important because it outlined in considerable detail the future course economic relations in particular between the countries could take.

The author does right by focusing on economic diplomacy in his publication. This holds the key to cementing cordial bonds among countries in contemporary times, given that antagonistic relations among states have the effect of perpetuating economic stagnation within countries. The latter condition is a sure recipe for intra-country social discontent and violence, besides acting as a stimulant for continued inter-state friction.

One of the chief strengths of ‘Sri Lanka-Oman Relations: Past, Present and Future’, is the stress it lays on the need for the countries concerned to exploit economic complementarities that exist between them in a number of areas, for the furtherance of shared development. There is tremendous potential here that is going untapped, the author points out. If utilized judiciously these complementarities could prove a vital factor in the economic betterment of the countries.

Some of these areas offering ‘synergies of growth’ or the potential for mutual cooperation are: trade and investment, agriculture and fisheries, tourism, education and maritime cooperation, to name a few. In this connection the author stresses that: ‘It is the lack of awareness of each other’s potentials and opportunities available in many areas of mutual interest’, that is getting in the way of the countries dynamically cooperating further for shared material improvement.

It is hoped that in the days ahead the Sri Lankan authorities would not only act on the insights thrown-up by Ambassador Ameer Ajwad but take into consideration the need to cooperate with the countries of the Middle East over existing divides, one of which is described as the ‘Arab-Israeli’ conflict.

Fortunately, economic compulsions have been compelling Lankan governments to recognize Israel as an important state actor in the Middle East. Likewise, some Arab states have today ‘broken the ice’, so to speak, with Israel, and are interacting with it in the economic field. In the case of Sri Lanka, it is quite some time since Israel has been opening up employment opportunities for Sri Lankans in multiple areas, such as agriculture and care-giving.

Accordingly, economics dictate politics. Old, adversarial mindsets needs to change for the ushering of the common good. There is a need for the international community to enlist the support of the Arab world and all other sections that have been having strained ties with Israel, to work towards the realization of the ‘two state solution’ in the Middle East. This presents itself as an equitable mechanism.

Looking for economic complementarities among countries presents itself as a wise course to take in inter-state relations, considering these complementarities’ peace-building potential, and it is hoped that the international community would put this item high on its list of priorities in the days to come. From this viewpoint, ‘Sri Lanka-Oman Relations: Past, Present and Future’ needs to be seen as a model study in the field of international relations.

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