By: Staff Writer

April 29, Colombo (LNW): Sri Lanka’s efforts to attract and leverage international investment into exploration and commercialisation two blocks adding to over 5,000 square kilometres with potential oil and gas resources in the Mannar Basin have once again been gridlocked by legal challenges in the Court of Appeal.

According to the latest developments in the CA (Writ) Application No: 392/2023, the court found that a prima facie case has been established by the Petitioner, Serendive Energy.

Accordingly, the court issued orders restraining the 1st to 36th Respondents and/or its servants or agents from granting to any 3rd party other than the Petitioner the rights to offshore exploration of blocks M1 and C1, until a final determination is reached in the case.

Serendive Energy, which has a strategic alliance partnership with a large Indian conglomerate commenced pursuit of legal remedies following a recent effort in 2023 to reverse exploration block award that had previously been made to the company.

Serendive Energy first participated in an open international tender (SL 2019-02) in 2019, and was awarded the blocks, Mannar Basin M1 and Cauvery Basin C1 in May 2021. This decision took place following evaluations conducted by the Petroleum Development Authority and headed at the time by former Chairman Saliya Wickramasuriya and current Chairman Surath Ovitigama, who have long served among the nation’s leading domain experts on oil and gas.

As stated in the 2021 Ministry of Power and Energy Annual Report, “International competitive bids were called for in the year 2019 for the exploration and production of oil and gas of Mannar Block M1 and Cauvery Block C1 and the bid evaluation process had been concluded in May 2021.”

“Negotiations had been held by the Government of Sri Lanka throughout the year 2021 with Serendive Energy Ltd. for separate petroleum resources agreements in respect of M1 and C1 blocks, and about 90% of the negotiations have been concluded. The final petroleum resources agreement is expected to be entered into during the first half of the year 2022.”

While the awarding of blocks to Serendive Energy was hailed at the time as critical forward after many previous false starts, all activity on exploration grinded to a halt during the country’s economic crisis and the ‘Aragalaya’, following which attempts were subsequently made to reverse the award. The Petitioners submitted that such measures amount to a direct contravention of the 2003 Petroleum Act. 

The effort to attract international players to invest in Sri Lanka’s Oil and Gas exploration industry which ground to a halt in 1984 with the civil war recommenced in 2003 with the opening up of tenders for exploration to international local and global investors via the Petroleum Resources Act, No.26 of 2003.

By: Staff Writer

April 29, Colombo (LNW): Sri Lanka will be completely reversing the ban on oil palm cultivation and its importation in an effort to ensure the flourishing of grassroots economies via the expanding cultivation for the benefit of plantation companies and smallholders alike, informed official sources confirmed.

The government has been delaying the recommendations of an expert committee report on how to permit oil palm cultivation in identified Mahaweli areas and other areas, without deciding for nearly five months.

According to the Agriculture and Plantation Industries Ministry, the ministry forwarded the report to the secretary to the Cabinet of Ministers on January 12.

In November 2022, the Cabinet of Ministers decided to appoint an expert committee to explore the possibility of permitting oil palm cultivation in identified Mahaweli areas and specified other areas, which include the Regional Plantation Companies (RPCs).

The committee was headed by an additional secretary to the ministry and was made up of experts from of the Plantation Industries Ministry, Mahaweli Authority, Irrigation Department and Coconut Research Institute.

The extensive report provides instructions and directions, if the government decides to lift the ban on oil palm in these specified areas. A ministry official noted that it’s up to the Cabinet of Ministers, chaired by the president, to make a decision

Former Finance Minister Ravi Karunanayake said that the government will remove palm oil prohibition in 2024 correcting the previous policy decision taken by the previous Gotabaya Rajapaksa regime in April 2021.

Mr. Rajapaksa  who was the then President ordered the ban on the importation of Palm Oil into Sri Lanka and its cultivation directing to up root the existing oil palm cultivations locally in 2021.

Mr. Karunanayake noted that he would talk to President Ranil Wickremesinghe and make sure that the ban is lifted while permitting palm oil cultivation in the country once again following consultations with experts in the industry.

The association of palm oil growers has informed the former finance minister that palm oil cultivation could generate more foreign exchange revenue than the entire income from tea and rubber.

According to them, an acre of palm oil cultivation can generate an average of Rs.100,000 a month. At present, Sri Lanka consumes 220,000 metric tons of palm oil of which only 12 percent is produced locally.

Palm oil provides livelihood opportunities for a large number of farmers and also for the Sri Lankan farmers and workers in remote rural areas where work is hard to find.

Palm oil is used by Sri Lankans in almost every aspect of life; from toothpaste to shampoo to soap to lipstick to confectionery – palm oil is an integral component. It is in 50 percent of all consumer products and vital for industrial applications several industrialists pointed out.

1. President Ranil Wickremesinghe joins the annual “Kithsiri Mela” New Year festival held at the Deans Road: This festival was organised for the 28th time by United National Party (UNP) Colombo Central Organiser Mr. Kithsiri Rajapakse, along with Maradana – Suduwella Sports Club.
   
2. The SLFP, led by Nimal Siripala de Silva, meets with Indian High Commissioner Santosh Jha to distance themselves from remarks attributed to former Chairman Maithripala Sirisena regarding Indian involvement in the Easter Sunday attacks: Sirisena’s recent controversial statements have complicated the party’s internal dynamics, with divisions emerging: The SLFP faction opposing Sirisena clarifies their stance to the Indian envoy, emphasising the importance of cordial relations with India amidst ongoing legal disputes within the party.
   
3. NPP Leader MP Anura Kumara Dissanayake warns of potential collusion among rival political factions to thwart the NPP from gaining power in the upcoming presidential election: points out unresolved issues surrounding the 2019 Easter Sunday attacks and suggests that figures like former Presidents Chandrika Bandaranaike Kumaratunga and Mahinda Rajapaksa, along with President Ranil Wickremesinghe, may unite against the NPP: adds despite shared policy goals, personal conflicts between Wickremesinghe and Sajith Premadasa could pose challenges for this coalition: proposes potential election dates and urged supporters to actively engage in advocating for NPP perspectives: also raises questions about the Easter Sunday attacks and called for clarity on related matters to address ongoing instability in Sri Lanka.
   
4. Multiple political parties are gearing up to celebrate International Labour Day on May 1st this year: The UNP will rally at Maligawatta, the SJB at Chatham Street and Talawakelle, the SLPP at Campbell Park, and the SLFP at Gampaha Municipal Council Grounds: The NPP will hold nationwide rallies under the theme “Rata Hadana Visandumata Jana Balaya Eka Pelata” (The Power of the People Aligns to Build the Country): In Colombo, the march starts at 2 pm from BRC Ground, with the rally at 3 pm at CWW Kannangara Mawatha. Jaffna, Matara, and Anuradhapura will also host rallies.
   
5. The Central Bank is optimistic about the nation’s stability, citing the potential for economic recovery supported by IMF reforms: Inflation is expected to stay around 5%, and various sectors are projected to rebound, including tourism and remittances: Fiscal consolidation and reforms are deemed crucial for sustained progress amid challenges like climate change and geopolitical tensions.
   
6. Sri Lanka’s apparel industry hit a milestone, surpassing $1 billion in revenue in Q1’24: March exports, totalling $418 million, were driven by growth in European and UK markets: While exports to the US slightly declined, those to the EU and UK grew: Overall, Q1 exports saw a slight dip of 0.69% compared to the previous year, totalling $1.174 billion: Despite challenges, the industry aims for a $4.5 billion revenue target in 2024.
   
7. The Indian Coast Guard seizes a Pakistani boat off the Porbandar coast, Gujarat, intercepting 86 kilograms of suspected heroin valued at INR 602 crore: The narcotics were destined for Sri Lanka via Tamil Nadu: Fourteen crew members were arrested in a joint operation with the Anti-Terrorist Squad and the Narcotics Control Bureau.
   
8. The Ceylon Teachers Service Union plans to take trade union action to address salary disparities in the education sector: intends to conduct a token strike involving deans and teachers from various educational institutions to draw attention to the issue: Union Secretary Dhammika Mirihana highlights the lack of allowances for these educators, leading to unfair treatment.
   
9. Sri Lanka makes a partial payment of $35 million out of a $250 million debt owed to Iran for oil purchases from 2012: Initially delayed due to sanctions on Iran, Sri Lanka opts for a barter deal, exchanging tea for oil: As of February, $35 million has been settled, with another $10 million expected soon: Delays in the tea-for-oil arrangement arose from economic challenges in Sri Lanka.
   
10. Sri Lankan para athletes excel at the World Para Athletic Grand Prix in Morocco, with Janani Dhananjana and Samitha Dulan securing gold medals and Anil Jayalath and Pradeep Somasiri winning silver medals: The event, crucial for Paralympics qualification, showcases Sri Lanka’s talent, with Dhananjana, Dulan, and others aiming for spots in the Paris Paralympics: With strong performances and personal bests, the Sri Lankan team is on track to secure multiple qualifications, boosting hopes for future competitions like the Para World Championship.

April 29, Colombo (LNW): The Indian Coast Guard (ICG) intercepted a Pakistani boat off the Porbandar coast in Gujarat, seizing 86 kilograms of suspected heroin valued at INR 602 crore destined for Sri Lanka via Tamil Nadu, a report by The Indian Express revealed.

Fourteen crew members were arrested in the operation conducted jointly with the Anti-Terrorist Squad (ATS) and the Narcotics Control Bureau (NCB) on Sunday (28).

The seizure follows intelligence received by ATS Superintendent of Police KK Patel, indicating the transit of narcotics by Haji Aslam alias Babu Balock, a Pakistani drug operative, according to report.

The vessel named ‘Alraza’ was reportedly dispatched from Karachi to deliver heroin and methamphetamine near the International Maritime Boundary Line (IMBL) off Porbandar.

Upon identification of the suspicious vessel 180 nautical miles off Porbandar, the ICG and Gujarat ATS attempted to board it for inspection.

However, the crew resisted, prompting the use of force to stop their escape.

One crew member sustained a bullet injury during the operation.

All 14 accused, residents of Lasbela in Pakistan’s Balochistan, including the boat’s master Nazir Hussain Azam Khan, who were on the ship en route to Sri Lanka, are being brought to Porbandar for further investigation.

Khan, aged 62, received medical attention for his injury and is currently stable.

This operation follows another successful interception earlier in the week, where the NCB and ATS seized mephedrone and chemical drugs worth INR 300 crore from laboratories in Rajasthan and Gujarat.

April 29, Colombo (LNW): Multiple political parties have commenced preparations to celebrate the International Labour Day (May Day) on the 1st of May this year.

The United National Party (UNP) will hold its rally at Maligawatta, featuring the presence of President Ranil Wickremesinghe, announced Party General Secretary Palitha Range Bandara.

The Samagi Jana Balawegaya’s (SJB) May Day rallies will take place at Chatham Street, Pettah, and Talawakelle, according to MP Tissa Attanayake.

MP Sanjeewa Edirimanne disclosed that the Sri Lanka Podujana Peramuna’s (SLPP) rally will be held at Campbell Park, Borella.

The Sri Lanka Freedom Party’s (SLFP) rally is scheduled at the Municipal Council Grounds in Gampaha, with a senior member noting the expected attendance of all party members.

Under the theme “Rata Hadana Visandumata Jana Balaya Eka Pelata” (The Power of the People Aligns to Build the Country), the National People’s Power (NPP) will organise May Day rallies nationwide.

In Colombo, the May Day March will commence at 2 pm from the BRC Ground, followed by the rally at 3 pm at the CWW Kannangara Mawatha.

Jaffna’s May Day Rally is set for 10 am at the Nanda Selva Theatre, while in Matara, the march will start at 2 pm from Rahula Junction, followed by a rally at Matara Beach Park at 3.30 pm.

Lastly, the Anuradhapura May Day Rally will be held at the Anuradhapura Public Stadium at 3.30 pm.