Home Blog Page 555

Colombo Port Eastern Container Terminal: Progress, Challenges, and Delays

0

By: Staff Writer

March 10, Colombo (LNW): The Sri Lankan government has designated the Eastern Container Terminal (ECT) at Colombo Port as a special project, following approval from the Cabinet of Ministers on March 21 2024.

This decision aligns with a 2021 Cabinet resolution to develop the terminal in phases under the complete ownership of the Sri Lanka Ports Authority (SLPA). The construction contract has already been awarded, and work is currently in progress.

The procurement process for acquiring cranes has been successfully completed, ensuring that the necessary infrastructure is in place to enhance the terminal’s operational capacity. Additionally, various tax incentives granted to private terminal operators and service providers under the Strategic Development Act and Board of Investment Law will be extended to ECT.

Once completed, the terminal will feature a 1,400-meter-long jetty, enabling the simultaneous berthing of three large vessels.

A total of $585 million has been allocated for the terminal’s development, with China Engineering and Access Engineering appointed as construction contractors.

 ECT will be equipped with 12 gantry cranes and 40 transfer cranes, spanning a container yard of approximately 75 hectares. The terminal is designed to handle up to three million containers annually and will operate as a semi-automated facility incorporating digital technology.

Despite government commitments to commence operations by July, delays persist. Shipping lines and ship agents have raised concerns about inefficiencies at the port, particularly regarding inter-terminal trucking delays during peak hours.

This congestion has led to operational slowdowns, with approximately 30,000 containers currently awaiting transfer between terminals.

 If these delays are not addressed, shipping companies may opt for alternative routes, incurring additional costs due to extended waiting times.

The Chairman of the Ceylon Association of Shipping Agents (CASA), Shano Sabar, has emphasized the need for immediate intervention to improve port efficiency.

Infrastructure and Equipment Challenges

A significant contributing factor to delays is the deteriorating road conditions leading to the container yard. The port’s container movement rate has dropped to fewer than 20 moves per hour—well below the optimal 30 moves per hour.

 Addressing these infrastructure challenges is crucial for attracting higher shipping volumes to Colombo.

Another pressing issue is the shortage of essential equipment. The ECT, originally slated to be operational by mid-2024, has faced setbacks due to delays in acquiring necessary machinery. Previously awarded tenders were canceled by the current administration, further complicating the process.

One critical requirement for smooth operations is the use of straddle carriers, which transport containers between the quay and yard efficiently. Although tenders had been issued for twin-lift straddle carriers capable of handling two twenty-foot equivalent units (TEUs) simultaneously, they were later revoked.

Industry experts warn that alternative solutions, such as relying solely on prime movers instead of straddle carriers, may not be feasible and could result in severe logistical challenges. Authorities are now exploring cost-effective alternatives, including new procurement processes.

However, if the government proceeds with re-tendering and ordering straddle carriers now, it could take up to 14 months for them to be manufactured and delivered, potentially causing further delays.

The ongoing challenges in bringing ECT online pose a significant risk to Sri Lanka’s position as a key maritime hub. 

If the commissioning of the terminal is delayed further, international shipping lines may divert to competing ports, such as the Vizhinjam Port in southern India, which is managed by Adani Ports and also oversees the West Container International Terminal (WCIT).

Addressing these issues promptly is essential to ensure the successful completion and operation of the ECT, reinforcing Colombo’s status as a strategic port in the region.

Murali’s Ceylon Beverage pulls out of Rs 1,650 crore investment in Jammu and Kashmir

0

By: Staff Writer

March 10, Colombo (LNW): Sri Lankan cricket legend, one of the greatest spinners in the history Muttiah Muralitharan’s, Ceylon Beverage pulls out of Rs 1,650 crore investment in Jammu and Kashmir After waiting for some time, Muralitharan decided to shift the plant to Pune. He applied for backing out of the investment proposal on March 6, officials said.

After waiting for some time, Muralitharan decided to shift the plant to Pune. He applied for backing out of the investment proposal on March 6, officials said.

A day after the allotment of “free land” to former Sri Lankan cricketer Muttiah Muralitharan’s M/s Ceylon Beverage sparked controversy in Jammu and Kashmir, it was revealed that the company has pulled out from an over Rs 1,650 crore investment in Kat…

The withdrawal was due to the expiration of incentives under the 2021 National Sector Industrial Policy, which ended in September last year. On Saturday, opposition lawmakers in the J&K Assembly raised concerns over the 26-acre land allotment for Muralitharan’s beverage company in Kathua, questioning why land was given “free of cost” to outsiders when locals were denied land for housing under the Prime Minister’s Awas Yojana (PMAY).

Land has to be allotted as per the laid norms to any person whosoever apply for land for commercial purposes,” he said and alleged that no money had been charged from the cricketer’s company for the allotment.

However, official records show that the land was allotted at ₹64 lakh per acre, with an annual lease of ₹60,000 for the establishment of M/s Ceylon Beverage Can Pvt. Ltd, which is registered in Chennai and already operates a unit in Mysore.

Sri Lankan beverages company Ceylon Beverage Can Pvt Ltd, promoted by Muttiah Muralitharan, will set up a full-fledged plant in Mummigatti off Dharwad in Karnataka, Deccan Herald (DH) reported in 2023 .

The Karnataka Industrial Area Development Board (KIADB) has allotted 16.70 acres of land at plot no 157, 2.64 acres on plot no 156 and 6.15 acres on plot no 158. Clearance has also been accorded for providing 3,000 kVA power by Hescom and 20 lakh litres of water per day.

The Sri Lankan company currently manufactures eight different sizes of slim, sleek and standard cans with a range of customer labels. It is setting up a plant in India owing to huge demand from this region.

In May 2023, Ceylon Beverage tied up with Reliance Consumer Products to manufacture the cans for Campa   soft drink.

Ceylon Beverages was established in 2020 and partners with several companies making mineral water, energy drinks, soft drinks and flavoured milk in cans. It has an hourly output of over 48,000 cans and 34,000 bottles. The company’s plant is equipped to fill 300 million cans per year.

Air quality in several cities recorded at slightly unhealthy levels

0

March 10, Colombo (LNW): The National Building Research Organisation (NBRO) has reported that the air quality in five major cities across Sri Lanka is currently at slightly unhealthy levels.

These cities include Galle, Ratnapura, Embilipitiya, Batticaloa, and Anuradhapura. The NBRO has cautioned residents in these areas to be aware of the air quality, particularly those with respiratory conditions or sensitivities to air pollution.

Elsewhere in Sri Lanka, the air quality has been observed to be at moderate levels, with no immediate health risks.

The NBRO forecasts an improvement in air quality for the five affected cities, expecting the levels to shift from slightly unhealthy to moderate within the next 24 hours.

In the coming days, the organisation has stated that the air quality across most of the country is anticipated to remain within the moderate to good range, ensuring safer conditions for the general public.

Suspect remanded for providing false information in “Ganemulla Sanjeewa” murder case

0

March 10, Colombo (LNW): A suspect arrested for allegedly misleading police and providing false information in relation to the Ganemulla Sanjeewa murder case has been remanded until March 24 by Colombo Additional Magistrate Harshana Kekunawela.

Lahiru Sampath Samaranda, a resident of Belideniya, Dikwella, was taken into custody by officers from the Colombo Crimes Division (CCD).

The CCD informed the court that Samaranda had misled the authorities by falsely claiming that Ishara Sewwandi, a key suspect in the murder case who remains at large, was hiding in a particular location in Dikwella.

This led the police on a wild goose chase, but further investigation revealed that the information provided by the suspect was completely fabricated.

As a result, Samaranda faces charges for his actions, which have hindered the ongoing investigation.

The court remanded him pending further proceedings, and authorities are continuing their efforts to track down Sewwandi, who remains on the run.

Postal TUs to strike on March 18 over unresolved sector issues

0

March 10, Colombo (LNW): Postal trade unions have declared their intention to launch a strike on March 18 in response to ongoing grievances that have yet to be addressed by authorities within the postal sector.

The decision to strike was announced by Manjula Jayasundara, Secretary of the Postal and Telecommunication Services Union, who confirmed that all major postal unions have united in their stance, citing the authorities’ failure to resolve long-standing issues affecting workers.

Among the primary concerns raised by the unions are problems with employee recruitment, appointments, promotions, and the lack of adequate salary increments.

These issues have been a source of frustration for postal workers, who have been advocating for better working conditions and fairer treatment for some time.

Jayasundara further revealed that the unions had previously engaged in discussions with the Postmaster General to find solutions to these challenges.

However, as no tangible measures or commitments were made to address the workers’ concerns, the unions have reluctantly decided to take more assertive action in the form of a strike.

The planned industrial action is expected to disrupt postal services across the country, as unions prepare to mobilise their members in protest.

The unions have warned that if their demands continue to be ignored, they may escalate their actions further in the coming weeks.

Ex-IGP Deshabandu Tennakoon seeks legal order to block arrest

0

March 10, Colombo (LNW): Former Inspector General of Police (IGP) Deshabandu Tennakoon has approached the Court of Appeal with a writ petition, seeking to prevent his imminent arrest.

Through his legal representatives, Tennakoon has requested an interim injunction to suspend the arrest warrant issued against him by the Matara Magistrate’s Court.

The arrest warrant was issued following Tennakoon’s alleged involvement in a shooting incident outside the W15 Hotel, located in the Pelena area of Weligama, Matara, on December 31, 2023.

The case has garnered significant public attention, with Tennakoon at the centre of investigations into the incident.

The petition was heard today by a two-judge bench at the Court of Appeal, consisting of Acting President Mohamed Lafar Tahir and Justice Sarath Dissanayake.

After reviewing the matter, the bench decided to postpone the hearing and scheduled it for further consideration on March 12.

The judges also directed that notices be served to the relevant respondents involved in the case before the next hearing.

Election officials convene to discuss nomination process for LG Polls

0

March 10, Colombo (LNW): In preparation for the upcoming local government elections, a meeting was convened by the National Election Commission, where District Returning Officers, Deputy Returning Officers, and Assistant Returning Officers were called in to review critical aspects of the electoral process.

Saman Sri Ratnayake, the Commissioner General of Elections, led the discussions and provided key insights into the procedures for accepting nominations, a vital step in the election process.

During the meeting, which took place yesterday, Ratnayake emphasised the importance of ensuring that all nominations are processed smoothly and in accordance with the law.

The gathering was part of the Commission’s efforts to ensure that the elections proceed without issue, with officials being briefed on the latest guidelines and the necessary preparations for handling nomination submissions.

Six Police teams deployed to locate ex-IGP Deshabandu Tennakoon

0

March 10, Colombo (LNW): Six dedicated police teams have been assigned the task of apprehending former Inspector General of Police (IGP) Deshabandu Tennakoon, who is currently evading arrest, Public Security Minister Ananda Wijepala confirmed.

Accordingly, investigations into the matter are progressing, and law enforcement agencies are working tirelessly to locate the former top police officer.

A warrant for Tennakoon’s arrest was issued by the Matara Magistrate’s Court on February 28, following his alleged involvement in a shooting incident that occurred outside a hotel in Pelena, Matara, on December 31, 2023.

In the wake of the incident, authorities also imposed a foreign travel ban on Tennakoon, preventing him from leaving the country as investigations continue.

Deputy Minister of Public Security, Attorney-at-Law Sunil Watagala, reiterated the government’s commitment to enforcing the law without exception. He warned that any individual, regardless of their position or past service, who attempts to evade justice will face legal consequences, including the seizure of their assets.

Related Stories:

CoPF rejects proposed cigarette excise duty hike, approves increase on liquor

0

March 10, Colombo (LNW): The Parliamentary Committee on Public Finance (COPF) has rejected a proposal from the Ministry of Finance to raise the Excise Duty on cigarettes, citing a lack of sufficient evidence to justify the increase.

The Committee discussed the matter during a recent meeting, reviewing the Order under Section 3 of the Excise (Special Provisions) Act, No. 13 of 1989, and the Excise Notification No. 01/2025, which proposed a 5.9 per cent hike in excise duties on several goods, including cigarettes, tobacco products, motor vehicles, and aerated beverages.

Finance Ministry officials presented their case, explaining that the proposed increase was part of a broader adjustment to the excise duties on various products. They also highlighted a similar 5.9 per cent rise in the excise duty on alcoholic beverages, in line with the government’s efforts to increase fiscal revenue.

However, COPF Chairman MP Harsha de Silva expressed concerns about approving the hike on cigarettes without clear, robust data to support its potential impact.

De Silva pointed out that previous studies on cigarette excise revenue suggested that such increases had inadvertently led to a reduction in government income, while simultaneously boosting profits for certain tobacco manufacturers.

He stressed the importance of ensuring that any changes in taxation would actually contribute positively to government revenue rather than simply benefiting private companies.

Given the concerns raised, the Committee decided to defer the decision on the cigarette excise duty increase. It was agreed that further clarification would be sought from the Ministry of Finance before the proposal could be reconsidered at the next meeting.

The Committee also called for more detailed data to justify the proposed tax increase on cigarettes.

On the other hand, the proposal to raise excise duties on alcoholic beverages was approved without issue. During the discussions, some MPs voiced concerns that the increase in liquor taxes could push consumers towards the illicit liquor market.

In response, Finance Ministry officials assured that the authorities are actively cracking down on illegal liquor production and distribution, with raids being carried out regularly.

Officials also reported a 22 per cent increase in liquor production over the past two months, with corresponding revenue growth of 23 per cent. To address the potential for increased consumption of illicit alcohol, plans are reportedly underway to introduce a new category of legal liquor aimed at curbing illegal trade.

Ex-Speaker Chamal Rajapaksa to contest LG Polls

0

March 10, Colombo (LNW): Former Speaker Chamal Rajapaksa has confirmed that he will be running for a seat in the upcoming Local Government Elections, representing the Sri Lanka Podujana Peramuna (SLPP) in the Hambantota District.

Speaking to reporters, Rajapaksa stated that the party intends to field a mix of youthful candidates across the district, aiming to bring fresh perspectives to local governance.

Rajapaksa emphasised that while young candidates would be a focal point of the party’s strategy, there would also be representation from women and senior individuals, himself included.

He expressed his belief that a diverse candidate pool would ensure a well-rounded approach to addressing the needs of the community.

In his statement, Rajapaksa acknowledged the unpredictable nature of politics, noting that one can rise to the top or fall to the bottom.

He explained that, despite his prior experience and leadership role, he is ready to start afresh at the grassroots level, underlining his commitment to serving the people of Hambantota.

However, Rajapaksa chose not to disclose which specific local government body he plans to contest, leaving some uncertainty around his precise political intentions.