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Parliament Gears Up for Debate on Appropriation Bill Amendment and Other Key Matters

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The legislative proceedings within the parliament today (August 09) will focus on the Second Reading of the Appropriation (Amendment) Bill, as confirmed by the Committee on Parliamentary Business chaired by Speaker Mahinda Yapa Abeywardena. General Secretary of Parliament, Kushani Rohanadeera, relayed this information following the committee’s meeting held yesterday.

The proposed bill entails a significant alteration to the borrowing limit, suggesting an increase from Rs. 4,979 billion to Rs. 13,979 billion.

Simultaneously, aligning with the decisions made during the Parliamentary Business Committee meeting on July 21, the agenda for today’s session also encompasses the Second Reading of the Betting and Gaming Levy (Amendment) Bill, deliberations on Regulations under the Fisheries and Aquatic Resources Act, and the consideration of the Sri Lanka Institute of Taxation (Incorporation) (Amendment) Bill.

Following these legislative discussions, there is a scheduled adjournment from 5:00 p.m. to 5:30 p.m., during which time the Opposition’s Motion will be addressed.

The forthcoming activities of this week’s parliamentary sessions will adhere to the framework established during the Parliamentary Business Committee’s meeting on July 21, as emphasized by the General Secretary.

Moreover, a notable highlight of today’s parliamentary sitting will be a special address by President Ranil Wickremesinghe, centering on the current economic state of the country. This address is anticipated to provide valuable insights into the nation’s economic trajectory.

President Ranil Wickremesinghe Informed of Plot to Incite Unrest, Reveals Cabinet Minister

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In a recent development, President Ranil Wickremesinghe has been apprised of intelligence reports outlining an impending effort to instigate public unrest reminiscent of the events that transpired on May 09, 2022. Minister Bandula Gunawardena, addressing the media during the customary weekly press conference held on Tuesday (August 08), disclosed that the Head of State had shared information from the State Intelligence Service (SIS) with the Cabinet of Ministers.

The Cabinet spokesperson disclosed that the intelligence reports have illuminated the intentions of certain factions associated with the Aragalaya movement, which is aligned with the opposition. These groups are purportedly orchestrating a resurgence of the incidents that unfolded on May 09 of the previous year, exploiting the ongoing drought, electricity crisis, and water scarcity as a pretext.

Minister Gunawardena highlighted that there have been deliberate efforts to besiege the residences of Agriculture Minister Mahinda Amaraweera and Power & Energy Minister Kanchana Wijesekera. In anticipation of potential attacks, heightened security measures have been implemented to safeguard against such threats.

Further revelations by Gunawardena brought to light the involvement of at least two media organizations in the scheme to foment turmoil anew on the streets, utilizing the water crisis induced by the drought and the agitation among farmers as a convenient guise.

The minister underscored that this calculated endeavor represents an endeavor to disrupt the stability of the nation. He asserted that these specific factions are aiming to provoke law enforcement into a retaliatory response, potentially escalating to violent clashes, and exploit resulting casualties for their own political gains.

Spells of showers will occur in several districts

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Several spells of showers will occur in Galle, Matara and Rathnapura districts.

A few showers will occur in Western province and in Kegalle, Kandy and Nuwara-Eliya districts.

Showers or thundershowers may occur at a few places in Eastern and Uva provinces and in Mullaitivu district during the evening or night.

Mainly fair weather will prevail elsewhere over the Island.

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

Victoria Reservoir Faces Severe Water Evaporation Amidst Drought: Engineer Highlights Innovative Solutions

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Amidst the ongoing drought conditions, the Victoria Reservoir is grappling with a substantial water loss, with an astounding three million litres of water evaporating daily, as revealed by Engineer-in-Charge Wasantha Ehelapitiya.

Ehelapitiya detailed that this vast quantity of water, amounting to five millimetres in depth across an expansive 11 square kilometre surface area, evaporates each day due to the prevailing arid climate.

The Engineer-in-Charge further illuminated the situation, explaining that typically, a portion of the water filling the Victoria Reservoir, equivalent to about two millimetres in depth, would evaporate daily. However, the current dry weather has exacerbated this process, causing the evaporation rate to more than double. Drawing attention to global solutions, he cited countries such as Germany, France, Korea, and China, which have successfully tackled water loss by deploying solar panels that float on water surfaces. These innovative installations not only curtail evaporation but also harness additional electricity.

Ehelapitiya also underscored the potential benefits of implementing a similar strategy in the Victoria Reservoir. By suspending solar panels above the water’s surface, a conducive environment could be fostered for aquatic life, providing a dual advantage of water conservation and enhanced ecosystem support.

Minister Kanchana Wijesekera Affirms Unchanged Electricity Tariffs Despite Media Speculation

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In response to recent media speculations, Power and Energy Minister Kanchana Wijesekera clarified that there are no impending revisions to electricity tariffs. Taking to his Twitter account, the Minister emphasized that any adjustments to electricity tariffs would strictly adhere to the government’s established policies.

Minister Wijesekera further highlighted that the government’s policy framework entails annual revisions of electricity tariffs, a practice set to occur in January and July. This systematic approach ensures a balanced and predictable tariff structure for consumers.

Notably, the Minister also underscored the commitment of the Ceylon Electricity Board to provide uninterrupted electricity supply throughout the year, effectively eliminating the need for power cuts. This assurance comes as part of the government’s broader efforts to enhance the energy infrastructure and ensure a reliable energy grid for the nation.

Army Seva Vanitha Ladies Distribute More Relief Packs & Gift Chiller Fridges for Yoghurt Production

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The Sri Lanka Army Seva Vanitha Unit (ASVU) at the Army HQ expanding its welfare roles once again donated 100 dry ration packs to selected soldiers who are working at the Army HQ on Friday (04 Aug) during a special ceremony at the Army HQ, graced by Lieutenant General Vikum Liyanage RWP RSP ndu, Commander of the Army and Mrs Janaki Liyanage, President, ASVU as distinguished guests for the occasion.

After routine formalities in the simple ceremony, Lieutenant General Vikum Liyanage together with Mrs. Janaki Liyanage handed over air-chilled 3 Chiller Refrigerators to the Sri Lanka Army Service Corps – Seva Vanitha Branch (SLASC-SVB) for further promotion of the ‘Ranaviru’ yoghurt production project.

After the distribution of refrigerators, a cash cheque to the value of Rs 600,000/= was awarded to a disabled War Hero of the Gajaba Regiment to complete his partially-built house.

In addition to that, the Commander of the Army together with the ASVU President and Senior Members of ASVU awarded those 100 dry ration relief packs to soldiers. Each ration parcel included rice, potatoes, onions, coconut milk packets.

Major General M.G.W.W.W.M.C.B Wickramasinghe RWP RSP ndu psc, Director General General Staff (DGGS) of the Army, Brigadier I.H.M.R.K Herath USP ndc psc, Director Media, Brigadier N Mahawithana KSP, Brigadier Coordinating of ASVU, Senior ASVU members, Senior Officers, Officers and Other Ranks also participated in the event.

Sri Lanka to launch the Climate Justice Forum (CJF) at COP 28

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  • Country to host the 5th Asia Pacific Forum from October 03rd to 06th.
  • Dambulla and Hiriwadduna eco-tourism sites to be developed as eco-tourism destinations.
  • A list of plastic items to be banned within the next couple of weeks.
  • Contingency responsive action plan prepared to report the air quality calamity situation of the country.
  • Preparation of National Policy on electricity and electronic waste management underway.
  • GSMB to regularize mineral transportation.
  • The regulation under the Mines and Mineral Act amended, facilitating investors to invest in mineral resources in Sri Lanka directly – Minister of Environment Naseer Ahamed.

Sri Lanka will launch the Climate Justice Forum (CJF) for the vulnerable and developing countries at the 28th meeting of the Conference of the Parties (COP 28) at the upcoming 2023 UN Climate Change Conference, Minister of Environment Naseer Ahamed stated.

Speaking further the Minister said that Sri Lanka has proposed the establishment of a CJF with the common objective of ensuring greater climate justice and accelerating the financing of losses and damages and providing an alternative and non-traditional approach.

Meanwhile, the Ministry of Environment in collaboration with the United Nations Environment Programme will host the fifth Forum of Ministers and Environment Authorities of Asia Pacific (5th AP Forum) which will take place from 3rd to 6th October 2023 in Colombo.

The Forum will provide a platform for governments, intergovernmental organizations, and other stakeholders to discuss and prioritize environmental issues in the Asia Pacific region, the Minister mentioned.

He expressed these views yesterday (06) during a press conference themed ‘Collective Path to a Stable Country’ held at the Presidential Media Centre (PMC).

Further, attention has been paid to the development of Dambulla and Hiriwadduna eco-tourism sites as eco-tourism destinations.

In addition to the Gazette notification that was issued on March 31 2021 for banning some single-use plastic items, plastic garlands, single-use spoons, forks, yogurt/ice cream spoons, plastic straws, stirrers, spoons and plastic string hopper trays will be banned within the next couple of weeks.

The CEA with the participation of the relevant stakeholder institutions has already prepared a contingency responsive action plan to report the air quality calamity situation of the country, Minister Ahamed stated.

The Ministry of Environment is also preparing a National Policy on electricity and electronic waste management.

The Geological Survey and Mines Bureau (GSMB) has commenced issuing transport licenses with destination, vehicle number, and route details to regularize mineral transportation. All these details are computer generated which prevents alterations by the license holder, the Minister added. The Ministry has also introduced a blacklisting procedure through the database system of the GSMB for the vehicles used for the illegal transportation of minerals.

The regulation under the Mines and Mineral Act has been amended and new provisions have been introduced for the exploration licence procedure. Further, new provisions to facilitate investors to invest in mineral resources in Sri Lanka directly without the involvement of brokers have been introduced.

Minister of Environment Naseer Ahamed, further commented;

Sri Lanka has proposed the establishment of a Climate Justice Forum with the aim of accelerating the financing of losses and damages and providing an alternative and non-traditional approach. Also, Sri Lanka is of the opinion that it is appropriate to include debt justice as an essential component of the overall solution proposal to be given to the climate-vulnerable and developing countries for their mitigation and adaptation interventions, taking into account the debt crises faced by those countries. In order to make that effort successful, the Cabinet approved the implementation of the strategic program presented by the Ministry of Environment as the proponent of establishing the Climate Justice Forum.

The Major activities to be carried out by the Ministry for this year include the formulation of a national climatic change policy, formulation of a national mineral policy, formulation of a national cooling policy for Sri Lanka, formulation of a Sri Lanka Road map for net zero Carbon by 2025, prohibition of four (04) environmentally harmful single-use plastic products and the establishment of climate cells to facilitate implementation of Provincial Adaptation Plan.

Under waste management, we have introduced new rules for plastic use and recycling. The Central Environment Authority (CEA) has already incorporated the provisions of Extended Producer Responsibility (EPR) and polluter pays the principal to National Environment Act amendment. Two pilot projects have already been implemented to practice EPR voluntarily.

PMD

Slight Depreciation of Sri Lankan Rupee Against US Dollar Noted in Local Banks

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On August 08, the Sri Lankan Rupee exhibited a marginal depreciation against the US Dollar within the domestic banking sector, as compared to the previous day.

Peoples Bank reported an uptick in the buying and selling rates of the US Dollar, with figures shifting from Rs. 312.39 to Rs. 313.37 for buying, and from Rs. 327.76 to Rs. 328.78 for selling.

Meanwhile, according to Commercial Bank, the buying rate for the US Dollar witnessed an increase from Rs. 312.75 to Rs. 313.51, while the selling rate held steady at Rs. 328.

Sampath Bank, on the other hand, maintained a consistent stance, with both the buying and selling rates of the US Dollar remaining unchanged at Rs. 316 and Rs. 328, respectively.

Sri Lanka Budget deficit widens to Rs. 1 trillion in 5 months 2023

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By: Staff Writer

Colombo (LNW): The Government exceeded the primary balance target for the first quarter of 2023 by achieving a surplus of Rs. 48.3 billion over the deficit target of Rs. 56 billion mainly due to the enhanced revenue collection.

Sri Lanka’s Budget deficit in the first five months of this year had crossed the Rs. 1 trillion mark whilst rise in expenditure outpaced that of revenue.

According to the latest data released by the Central Bank, during January to May Government revenue and grants increased by 38% to Rs. 1.12 trillion as against Rs. 812.7 billion in the corresponding period of last year.

Total expenditure and net lending increased by 47% to Rs. 2.13 trillion in comparison to Rs. 1.45 trillion a year ago.

The resultant overall budget deficit rose to Rs. 1.01 trillion as against Rs. 636.7 billion in the first five months of last year.

CBSL also said domestic financing increased to Rs. 1 trillion as against Rs. 742.7 billion. Foreign financing recorded a net repayment of Rs. 63.3 billion in comparison to Rs. 106 billion.

Outstanding central Government debt decreased to Rs. 26.8 trillion by end April from Rs. 27.5 trillion as at end 2022. Total outstanding domestic debt amounted to Rs. 15.6 trillion while the rupee value of total outstanding foreign debt amounted to Rs. 11.1 trillion.

However The Government exceeded the primary balance target for the first quarter of 2023 by achieving a surplus of Rs. 48.3 billion over the deficit target of Rs. 56 billion mainly due to the enhanced revenue collection.

A series of bold policy measures were introduced from June 2022 to make the tax structure progressive and broad-based.

Policy measures such as the removal of preferential Corporate Income Tax (CIT) rates andexemptions, re-introduction of mandatory Advanced Personal Income Tax (APIT),withholding taxes and increasing Personal Income Tax rates (PIT) and Value Added Tax (VAT) rates, mainly contributed to the improved revenue performance in the first four months of 2023

Total government revenue in the first four months of 2023 increased by 30.0 percent to Rs. 820.1 billion from Rs. 630.9 billion in the same period of 2022, realizing 24.1 percent of Rs. 3,408.0 billion annual estimate benefiting from the mobilization of tax revenue.

Tax revenue increased by a significant 36.6 percent to Rs. 742.6 billion in the first four months of 2023 achieving 23.7 percent of Rs. 3,130.0 billion annual estimate for 2023.

Government expenditure increased by 42.4 percent to Rs. 1,645.6 billion in the first four months of 2023, compared to Rs. 1,155.2 billion in the same period of 2022.

Recurrent expenditure increased by 46.0 percent to Rs. 1,485.0 billion, while capital expenditure and net lending increased by 16.0 percent to Rs. 160.6 billion.

The upswing in expenditure was mainly due to the increased spending on interest payments, pensions and welfare programs.

Sri Lanka’s first electric car ‘Moksha’ hits the roads soon

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By: Staff Writer

Colombo (LNW): Creating automobile history, Ideal Motors will be launching Sri Lanka’s first electric car, ‘Moksha’ to the market in November 2023.

The mentor behind this historic project, Chairman Ideal Motors Nalain Welgama said that ‘Ideal Moksha’ is fitted with a 22.46 kWh Lithium battery that provides a range of up to 200 kilometres on a single charge by plugging into a 15-amp domestic charger overnight.

“We are also proud to announce that this battery too is made in Sri Lanka increasing the total value addition of the car to over 45%,” he said. The warranty available on the battery will be 5 years. Our island-wide aftermarket network will ensure

Moksha electric car battery being assembled in Sri Lanka.Moksha electric car battery being assembled in Sri Lanka. an unmatched level of service.”

Classified as a four-wheeled electric quadricycle, with a sitting capacity for four the ‘Ideal Moksha’ is to be priced under Rs. 4.5 million.

For the first time in history, this will also reverse Sri Lanka’s image as a motor vehicle import destination to an export destination opening up high FOREX earning business to the country.

“The current import ban on motor vehicles also encouraged us to invest more in this project and it proves the decision by the government was correct as it not only saved dollar drain for car imports but also accelerated a local home-grown car assembly industry.

“One does not think only of the local sales as we have already received export inquiries from Africa for ‘Ideal Moksha’ and exports would happen from the end of 2024. Our investment in R&D, ground-up preparations etc has cost us around Rs.100 million so far including the moulds.”Welgama said.

“We have built a separate brand new 30,000 Sq ft facility next to the Mahindra plant in Welipenna for this operation.

He said Our moksha will be lined out in the new manufacturing plant by ideal motors. This facility cost us Rs 250 million. The working capital requirements shall be Rs 500 million. We are looking at a total investment of Rs. 1 billion for our people’s electric car built locally,”

Drawing inspiration from the iconic Austin Mini Moke that took the world by storm, the Ideal Moksha is geared to be a game changer in the Sri Lankan market and the most practical solution in the current technology transition phase towards a sustainable, carbon-neutral future.

Sri Lanka’s first home-grown fully-electric car will be a fully air-conditioned vehicle with a push start and alloy wheels.

In addition, it will also have a 7-inch multimedia touchscreen display that comes with Apple CarPlay and Android Auto compatibility where the passengers could access information, favourite music, and maps.

“The Ideal Morksha is completely homegrown! We learnt the art of car making from our joint assembly plant in Welipenna from auto major Mahindra of India.”