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Cabinet Sub-Committee Focuses on Ensuring Uninterrupted Public Services

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The Cabinet Sub-Committee appointed to ensure the orderly functioning of the public service convened for the second time under the patronage of Prime Minister Dr. Harini Amarasuriya.

The meeting, held yesterday (24) at the Presidential Secretariat, focused on immediate measures required to maintain uninterrupted government services and address challenges faced by public servants.

Discussions centered on ensuring the continuous operation of key sectors, including Public Administration, Health, Education, and Justice. It was decided that examinations will proceed as scheduled and that the supply of essential medicines to hospitals will continue without disruption.

The committee also reviewed challenges in passenger and railway transport services, along with steps needed to ensure the smooth transportation of essential goods.

Attention was further given to the introduction of digital service systems to support work-from-home arrangements and improve service efficiency, with oversight to be handled by the Ministry of Digital Economy.

Additionally, instructions were issued to review current energy management practices across ministries and departments and implement necessary policy changes.

Several senior government officials, including ministry secretaries and heads of key institutions, were present at the meeting.

Trump to Visit China in May for Talks with Xi Amid Global Tensions

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U.S. President Donald Trump is set to meet Chinese President Xi Jinping in May during his first visit to China in eight years, following a postponement of the trip due to the ongoing Iran conflict.

According to Trump, the visit will take place in Beijing on May 14 and 15, with plans for a reciprocal visit by President Xi to Washington later this year.

“Our representatives are finalising preparations for these historic visits,” Trump said in a post, expressing confidence that the meeting would be a “monumental event.”

The trip, initially scheduled for an earlier date, was delayed as the U.S. administration focused on developments in the Middle East. The visit is seen as part of efforts to manage relations between the world’s two largest economies amid rising geopolitical tensions.

While the leaders are expected to discuss potential cooperation in areas such as trade, including agriculture and aviation, key issues such as Taiwan and broader strategic competition are also likely to be on the agenda.

Trump’s upcoming visit will mark the first in-person meeting between the two leaders since their October talks in South Korea, where they agreed to a temporary trade truce.

The White House said President Xi understood the need to reschedule the trip, given the ongoing military situation, while noting that preparations for the visit are continuing.

IGP Issues New Guidelines on Arrests Under ICCPR Act

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Inspector General of Police Priyantha Weerasooriya has issued new guidelines governing arrests under Section 3 of the International Covenant on Civil and Political Rights (ICCPR) Act.

The directive, communicated in writing to all police officers including Senior Deputy Inspectors General, outlines stricter procedures to be followed before making arrests under the Act.

According to the guidelines, an arrest can only be made after carefully assessing whether a statement or expression incites war or promotes discrimination, hostility, or violence, amounting to advocacy of national, racial, or religious hatred.

The IGP further instructed that police officers must inform the Director of the Legal Division and obtain prior written approval before proceeding with any arrest under this provision.

Importantly, the guidelines clarify that causing offence, insult, or religious disrespect alone is not sufficient grounds for arrest under Section 3 of the ICCPR Act.

The IGP also warned that disciplinary action will be taken against officers who fail to follow these procedures or misuse the law.

UN Chief Warns Middle East War ‘Out of Control’, Urges Immediate Ceasefire

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UN Secretary-General Antonio Guterres has warned that the ongoing war in the Middle East has spiraled “out of control,” calling for an immediate halt to hostilities.

Speaking at UN headquarters in New York, Guterres urged Iran to stop attacks on its neighbors and called on the United States and Israel to end the war, stressing that diplomacy remains the only path forward.

“More than three weeks on, this war is out of control,” he said, warning that the conflict has exceeded expectations and risks triggering a wider global crisis.

He cautioned that the world is facing the threat of a broader war, escalating human suffering, and severe economic consequences.

Guterres also highlighted the impact of disruptions to key maritime routes, including the Strait of Hormuz, noting that restrictions are affecting the global movement of oil, gas, and fertilizer at a critical time.

“My message to the United States and Israel is that it is high time to end the war as human suffering deepens,” he said.

The UN Chief emphasized the need to move away from escalation and return to diplomacy and international law, announcing the appointment of Jean Arnault as his personal envoy to address the crisis.

He also raised concerns over the humanitarian situation in Lebanon, urging all sides to avoid further escalation and warning against the conflict spreading further in the region.

Guterres said the global impact of the war is already being felt, with economic instability and humanitarian challenges worsening, particularly for vulnerable populations.

“War is not the answer… Diplomacy is the way out. Peace is the way out,” he stressed.

IMF Delegation Arrives in Sri Lanka for Key EFF Reviews

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A delegation from the International Monetary Fund (IMF) is scheduled to arrive in Sri Lanka today (26) for discussions on the country’s economic programme.

The IMF team will remain in the country until April 9 to conduct policy discussions aimed at completing the combined Fifth and Sixth reviews under Sri Lanka’s Extended Fund Facility (EFF) arrangement, according to IMF Communications Director Julie Kozack.

During the visit, the delegation will engage with Sri Lankan authorities on economic policies and assess the potential impact of the ongoing Middle East conflict on the country’s economy.

Following the discussions, the IMF is expected to provide an updated assessment of Sri Lanka’s economic outlook and outline how it can continue to support the country.

A staff-level agreement for the Fifth Review was previously reached on October 9, 2025. Once approved by the IMF Executive Board, Sri Lanka will gain access to approximately US$347 million in financing.

Authorities have decided to combine the Fifth and Sixth reviews due to the economic impact of Cyclone Ditwah and changing global demand conditions, with the current visit expected to advance the process for the next tranche.

WEATHER FORECAST FOR 26 MARCH 2026

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Showers or thundershowers will occur at a few places in Western and Sabaragamuwa provinces and in Galle and Matara districts after 2.00 pm. 

Mainly dry weather will prevail over the other parts of the island.

Misty conditions can be expected at some places in Central, Sabaragamuwa and Uva provinces and in Galle and Matara districts during the early hours of the morning.

The general public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.

Exclusive: Deep Dive into Dr. Amelia Wenger’s Critique of Sri Lanka’s X-Press Pearl Disaster Response

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LISTEN TO INTERVIEW

WATCH STORY

By: Isuru Parakrama

March 26, Colombo (LNW): When the cargo vessel MV X-Press Pearl sank off Sri Lanka’s western coast back in 2021, the ripple effects the tragedy sent across the island nation beyond just the waters were exaggerative. This was seen as a manageable hazard, but it had evolved into one of the worst environmental incidents in Sri Lanka’s maritime history.

Dr. Amelia Wenger, a distinguished Conservation Scientist and Water Pollution Programme Lead with the Wildlife Conservation Society (WCS), has delivered a forensic independent assessment of the MV X-Press Pearl maritime disaster. In an exclusive interview with journalist Erdem Koch on behalf of LNW, following her review of the Marine Environment Protection Authority’s (MEPA) second interim report, Dr. Wenger highlighted significant technical errors and methodological gaps in how the environmental and economic fallout of the 2021 incident was quantified.

While confirming the profound environmental harm caused by the vessel’s fire and subsequent sinking off Colombo, Dr. Wenger’s findings suggest that many of the official cost estimates are unsupported by transparent data or appropriate scientific rigour.

She identifies major methodological discrepancies where the official report misquoted scientific data to inflate or justify specific economic compensation claims. Wenger highlights instances where the authorities requested millions of dollars for actions, such as oil spill responses, that their own records state never took place. She argues that the assessment lacked transparency and failed to use appropriate regional baselines, such as applying Baltic Sea economic models to the Sri Lankan context.

Discrepancies in Oil Spill Management and Costs

One of the most glaring technical errors identified by Dr. Wenger involves the classification and costing of the oil spill. Although laboratory analysis confirmed the presence of Intermediate Fuel Oil 380 (IFO 380), the MEPA report incorrectly categorised the substance as Heavy Fuel Oil (HFO) in its calculations.

Furthermore, Dr. Wenger challenged the financial modelling used to estimate response costs:

Inflated Rates: MEPA utilised a per-gallon response cost of $410, a figure for which Dr. Wenger could find no supporting citation in established literature.
Global Standards: Peer-reviewed studies, such as those by Etkin (2000), suggest a significantly lower maximum cleanup cost of approximately $71.73 per gallon for similar oil types.
Lack of Actual Expenditure: The assessment noted that since the oil was largely allowed to disperse naturally with no active response strategy employed, the basis for accruing multi-million dollar “response costs” remains unclear.


Methodological Overreach in Environmental Valuation

Dr. Wenger expressed concern over the “unclear assumptions” used to calculate the broader environmental impact. Specifically, she criticised the use of data from the Baltic Sea to estimate the costs of eutrophication (nutrient pollution) in Sri Lankan waters.

The MEPA report states that the use of these figures was justifiable because the Sri Lankan ocean is considered a nitrogen dead zone,” the assessment notes, yet Dr. Wenger found little local literature to support such a sweeping characterisation of the entire coastal area. Similarly, human health impact estimates were based on European Union healthcare costs, which may not accurately reflect the socioeconomic reality of Sri Lanka.

Wildlife and Fisheries: Strong Evidence, Weak Analysis

The disaster resulted in harrowing wildlife mortality, including the deaths of over 419 sea turtles. While Dr. Wenger acknowledges the severity of these losses—linking 49 deaths directly to corrosive chemicals—she took issue with MEPA’s valuation methods.

Generational Losses: MEPA’s report extrapolates unsupported generational losses, such as predicting the impact of 1,375 female turtles over a 110-year period.
Fisheries Assumptions: While the impact on fisheries was undeniable, with incomes halving and debt surging, Dr. Wenger argued that MEPA overreached by applying nationwide fish consumption assumptions and unverified 2 per cent losses over a century.


Recommendations for Future Resilience

Beyond the critique, Dr. Wenger offered a suite of technical recommendations to improve Sri Lanka’s maritime safety and monitoring capabilities:

Traffic Separation Scheme (TSS): Relocating the TSS further south of Sri Lanka could reduce whale strikes by up to 95 per cent.
BACI Monitoring: Implementing ‘Before-After-Control-Impact’ (BACI) monitoring designs to ensure more scientifically sound data collection following future incidents.
HNS Convention: Urging Sri Lanka to ratify the International Convention on Liability and Compensation for Damage in Connection with the Carriage of Hazardous and Noxious Substances by Sea.
Seafood Safety: Establishing clear standards for seafood safety and long-term ecosystem tracking, including coral cover and turtle strandings.

Dr. Wenger’s review did not challenge the competence of Sri Lankan scientists, but acknowledged that their work was conducted under extreme pressure, including tight deadlines and restrictions imposed by the Covid-19 pandemic. She pointed out that these conditions limited opportunities for long-term monitoring and comprehensive data collection. She went on emphasising that renewed scrutiny of how environmental damage estimates were prepared and presented before the Supreme Court is of importance.

Ultimately, Dr. Wenger’s assessment serves as a call for greater transparency and the standardisation of scientific methods in disaster response. For Sri Lanka, the lessons of the X-Press Pearl must be rooted in rigorous, verifiable data if the nation is to effectively manage the rising risks within its busy maritime corridors.

Related Stories:

https://lankanewsweb.net/archives/176301/a-strategic-reset-understanding-the-supreme-courts-shift-in-the-x-press-pearl-case/
https://lankanewsweb.net/archives/172475/the-x-press-pearl-crisis-technical-failures-in-handling-not-blame/
https://lankanewsweb.net/archives/169482/key-x-press-pearl-experts-left-out-of-government-review-process/
https://lankanewsweb.net/archives/164330/after-x-press-pearl-why-sri-lanka-cannot-rely-on-port-discretion-to-prevent-maritime-disasters/
https://lankanewsweb.net/archives/158999/x-press-pearl-disaster-law-risk-and-the-limits-of-accountability/
https://lankanewsweb.net/archives/153413/why-singapore-resists-paying-compensation-for-the-mv-x-press-pearl-disaster/

IMF Review to Gauge Gulf Crisis Impact on Economy

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As Sri Lanka prepares for a కీల review of its economic reform programme, the International Monetary Fund is set to evaluate how the ongoing Gulf conflict could reshape the country’s recovery trajectory. The assessment is expected to influence both policy direction and the pace of financial support under the bailout framework.

The IMF’s upcoming mission will focus not only on traditional macroeconomic benchmarks but also on the evolving external environment. At the forefront is the Middle East crisis, which the Fund views as a risk capable of undermining recent economic stabilisation.

Since entering the Extended Fund Facility programme, Sri Lanka has recorded notable progress. Economic growth rebounded to 5% in 2025, inflation fell sharply, and foreign reserves improved. Debt restructuring negotiations are also nearing completion, signalling a కీల turning point in the country’s post-crisis recovery.

However, IMF officials caution that these gains could be fragile. Julie Kozack emphasised that geopolitical developments may weigh on Sri Lanka’s near-term outlook, particularly through disruptions to external inflows. This introduces a layer of uncertainty into what had been a cautiously optimistic recovery narrative.

The significance of the upcoming review extends beyond technical evaluation. A successful outcome would unlock a substantial tranche of funding estimated between $650 million and $700 million providing critical support to the country’s fiscal and external financing needs. Conversely, a негатив assessment shaped by external risks could complicate disbursement timelines or lead to stricter policy conditions.

One of the key challenges for policymakers will be balancing reform commitments with the need to respond to external shocks. The IMF programme emphasises fiscal consolidation, revenue mobilisation, and structural reforms. Yet, a deterioration in external conditions may require targeted interventions to protect vulnerable sectors and maintain economic stability.

The Fund’s approach suggests a shift toward more dynamic programme management, where geopolitical risks are integrated into economic assessments. This reflects a broader recognition that global conflicts can have far-reaching consequences for small, open economies like Sri Lanka.

Importantly, the IMF has indicated its willingness to adapt support based on evolving conditions. The mission’s findings will inform how the institution can “best continue to support” Sri Lanka—potentially opening the door to recalibrated targets or additional assistance if risks materialise.

For Sri Lanka, the stakes are high. The success of the IMF programme is closely tied to investor confidence and international credibility. Any external shocks are derailing progress could affect market sentiment, borrowing costs, and access to financing.

At the same time, the situation highlights the importance of building economic resilience. Diversifying remittance sources, expanding tourism markets, and strengthening trade partnerships could reduce dependence on any single region.

As the IMF team prepares its assessment, the central question remains: can Sri Lanka sustain its recovery amid rising geopolitical uncertainty? The answer will not only shape the القادم phase of the IMF programme but also define the country’s broader economic outlook in an increasingly unpredictable world.

Sri Lanka Renewable Push Fails to Offset Plantation Energy Cost Surge

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Facing relentless electricity cost pressures, Sri Lanka’s plantation industry has embarked on an aggressive transition toward renewable energy and efficiency upgrades. However, despite significant investment and innovation, these efforts are proving insufficient to fully counterbalance the financial burden imposed by rising tariffs.

Over recent years, Regional Plantation Companies have transformed estate operations through a mix of solar, hydro, and biomass energy projects. Leading firms have installed rooftop solar arrays, developed mini-hydro plants, and deployed biogas systems, collectively generating tens of millions of kilowatt hours annually. Some estates now produce more electricity than they consume, exporting surplus power back to the grid.

Companies such as Bogawantalawa Plantations PLC and Talawakelle Tea Estates PLC have committed hundreds of millions of rupees to renewable infrastructure. These investments are complemented by energy efficiency measures, including high-efficiency boilers, variable frequency drives, and advanced energy management systems.

Such initiatives align the sector with global sustainability frameworks, including Science Based Targets initiative and ISO-certified energy standards. By tracking emissions and reducing energy intensity, plantation companies are strengthening their Environmental, Social, and Governance (ESG) credentials an increasingly important factor for international buyers and investors.

However, industry leaders caution that these gains are being undermined by the broader electricity pricing environment. Even with substantial self-generation, plantations remain partially dependent on grid power, particularly during peak processing periods. High tariffs on this residual consumption significantly inflate overall costs.

The absence of a “green tariff” or concessional rate for renewable adopters further complicates the picture. While plantations contribute to national decarbonisation goals and, in some cases, supply excess clean energy to the grid, they receive little recognition in tariff structures. This disconnect reduces the financial returns on sustainability investments and slows the pace of further adoption.

Experts argue that without policy alignment, the sector’s renewable transition risks stalling. High upfront capital costs for solar and hydro projects require predictable payback periods. Escalating grid tariffs, combined with regulatory uncertainty, make it harder for companies to justify additional investments, particularly smaller RPCs with limited access to financing.

The situation also highlights a deeper structural issue: energy policy and export strategy appear to be operating in silos. While Sri Lanka promotes sustainability and climate commitments on the global stage, domestic pricing mechanisms do not fully support industries actively advancing these goals.

Tax Bill Clause Sparks Alarm Over Judicial Independence Limits

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A constitutional challenge before the Supreme Court has cast a sharp spotlight on Clause 31 of the proposed Inland Revenue (Amendment) Bill 2026, with critics warning that it could fundamentally alter the balance between administrative authority and judicial oversight in Sri Lanka’s tax system.

At the centre of the dispute is a provision empowering the Commissioner General of Inland Revenue to issue certificates confirming alleged tax defaults? These certificates, under the proposed amendment, would be treated as conclusive evidence in Magistrates’ Courts. The petitioner, chartered accountant Prasad Dasanayaka, argues that this effectively strips courts of their ability to scrutinise the validity or accuracy of such claims.

Legal experts suggest that the clause raises profound constitutional questions. By compelling Magistrates to accept administrative determinations without question, the provision appears to curtail the judiciary’s core function: independently evaluating evidence and adjudicating disputes. The petition contends that this transforms judges into passive enforcers rather than active arbiters, undermining the doctrine of separation of powers.

The constitutional concern hinges on whether such a framework amounts to an impermissible transfer of judicial power to an executive authority. Sri Lanka’s Constitution clearly vests judicial power in courts and institutions established by law, ensuring that disputes especially those involving financial liabilities are subject to impartial review. Critics argue that Clause 31 disrupts this structure by placing decisive authority in the hands of a tax administrator.

Beyond institutional concerns, the clause also raises practical implications for taxpayers. If courts are bound to accept tax default certificates as final, individuals and companies may be left without meaningful legal recourse. Even in cases of calculation errors, disputed assessments, or pending appeals, the inability to challenge these certificates could lead to unjust outcomes, including wrongful penalties or enforcement actions.

Supporters of the amendment may argue that such measures are necessary to streamline tax recovery and reduce litigation delays. Tax authorities often face prolonged legal battles that hinder revenue collection, and granting evidentiary weight to official certifications could expedite enforcement. However, critics counter that administrative efficiency cannot come at the cost of constitutional safeguards.

The broader issue, analysts note, is not merely about taxation but about preserving institutional integrity. If administrative bodies are allowed to issue binding determinations immune from judicial scrutiny, it could set a precedent extending beyond tax law into other areas of governance.

The Supreme Court’s determination on this matter will likely have far-reaching implications. A ruling against the clause could reaffirm the judiciary’s role as a check on executive power, while a decision upholding it may signal a shift toward stronger administrative authority in fiscal matters.

As the case unfolds, it is poised to test the resilience of constitutional principles in the face of evolving governance challenges, particularly in balancing efficiency with accountability