<ul><li>Presidential grant of 2,056.73 acres in 2012</li><li>Challenges in securing investors for Baththalangunduwa and Uchchumunai</li><li>Deviations from tourism master plan recommendations</li></ul> Twelve islands in Kalpitiya, entrusted to the Sri Lanka Tourism Development Authority (SLTDA) as free grants, remain dormant in terms of tourism development even after more than a decade, a recent audit report by the National Audit Office (NAO) reveals.&nbsp;&nbsp;The total land area transferred by then President Mahinda Rajapaksa amounted to approximately 2,056.73 acres, designated as free grants under Section 2 of the Land Development Ordinance No.8 of 1947.According to the report, the SLTDA had proceeded to lease out portions of these lands to various companies.&nbsp;Specifically, one island in Kalpitiya had been leased to a company in 2010, three had been leased to another company in 2011, and an additional island had been leased to a different company in 2020.&nbsp;Furthermore, five islands had been leased to five separate companies, one of which overlapped with a company mentioned previously.However, the audit raised concerns regarding the selection process of two companies that had been leased lands in 2010 and 2011, as the method of selection for these companies lacked clarity.It is further revealed that a master plan had been prepared without specifying a precise time period for the development of Kalpitiya town and projects relating to two islands (Palliyawatta and Muthuwal), totalling 1,915.96 acres, which had neither been acquired nor assigned to the authority.&nbsp;Additionally, a master plan had been developed for eight islands in Kalpitiya, covering 1,845.48 acres, which had been assigned to the authority as free grants.As per the report findings, despite the transfer of lands to investors, the SLTDA had failed to provide essential infrastructure facilities outlined in the Kalpitiya master plan.&nbsp;These facilities include jetties and decks for tourists, water supply schemes, water storage facilities, centralised electrical power plants, water treatment plants, waste and solid garbage refinery machines, power generation plants (including solar and wind power plants), waterfront development, public area lighting, desalination plants, power transmission stations, information centres, and walkways.Furthermore, progress reports related to the action plan for the years 2020, 2021, and 2022 had revealed that funds of Rs. 3 million, Rs. 9.6 million, and Rs. 5 million, respectively, had been allocated within the Kalpitiya Island Resort project.&nbsp;The aim had been to develop a resort with unique features and increase the number of hotel rooms. However, as of 30 November 2022 – the audit date – these funds had not been utilised to fulfil the development objectives.As of the audited date of 30 September 2023, no development activities had commenced due to various issues. These issues included challenges related to occupants, obtaining approvals, non-submission of required documents by promoters to the Investor Relations Unit, and insufficient intervention by the SLTDA.Additionally, it has been revealed that master plans had been prepared by the authority for the development of Kalpitiya town.&nbsp;These plans had aimed to empower the local community, promote ethnic and religious harmony, implement strategic management plans, improve waste management and garbage treatment, enhance drainage systems, and develop infrastructure facilities.&nbsp;Furthermore, the plans had aimed to foster the development of cottage industries, fishing industries, salt production industries, and health services in coordination with State institutions such as the Urban Development Authority, Fisheries Ministry, and Department of Coast Conservation and Coastal Resource Management.&nbsp;However, despite the preparation of these plans, the related programmes had not been implemented.During the same period, a total of 457.44 acres from six islands in Kalpitiya, which had been granted to the SLTDA as free grants by the President in 2010, had experienced significant delays (spanning years 2009-’11) in being directed towards investment activities.In a directive outlined in letter No. MTCA/PLD/ 03/01/92 dated 18 January 2022, the Secretary to the Tourism Ministry had approved the necessity of obtaining a performance guarantee at the time of signing lease agreements with selected investors, both local and foreign, for the development of tourism projects on lands owned by the authority.&nbsp;However, these clauses had not been included in the agreement between the authority and Nucleus International Ltd. dated 20 April 2022, concerning Sinna Arichchalai Island. Furthermore, in the agreement finalised on 7 March 2022 between Samagi Hotel and Travels Ltd., a performance guarantee of Rs. 1 million had also not been obtained.When asked about the decade-long delay in commencing the projects, SLTDA Chairman Priantha Fernando explained to The Sunday Morning that after the completion of the Kalpitiya master plan, the lands had been vested with the SLTDA.&nbsp;With the exception of two islands, Baththalangunduwa and Uchchumunai, investors had been secured for most of the other islands as far back as 2012. However, various reasons have caused delays.&nbsp;For instance, in the case of one island, there has been a request for permission to construct water bungalows, which is still pending with relevant agencies. Although lease agreements have been signed and executed, developers are awaiting alignment with agencies and clearances to proceed.Fernando acknowledged the prolonged delay, stating that it had been over a decade. He noted that they had consistently referred the matter to the authorities and that it was now in the final stages. He expressed confidence that they would be able to push forward and obtain the necessary clearances soon.The SLTDA Chairman highlighted the dynamic nature of these islands, noting that their shapes continuously changed and that they may not withstand heavy loads. Despite the developer proceeding with plans, execution has been hindered due to changes in shapes and load-bearing factors, necessitating a reevaluation. The developer is requesting an alternative beachfront property in exchange, which has not been secured yet, thus stalling development efforts.Additionally, Fernando referred to two other investors, one Maldivian and one Indian, whose lease agreements had been signed around 2019. However, their projects were impacted by both the Easter Sunday attacks and the Covid outbreak, resulting in significant delays. While the SLTDA had provided extensions, no progress had been made. Ultimately, developments on two lands had been cancelled due to minimal progress.“This was long before my time; the agreements have been signed. It’s not one agency giving the clearance. The Environmental Impact Assessments (EIAs) have to be developed, which is why the developments are delayed.“For Baththalangunduwa and Uchchumunai, we were unable to find investors as both these islands cover a total of 1,000 acres and ideally should be developed as one resort. In both these islands, there are local communities. Whatever the agreement, a clause should be included that the residents will be provided a small township within the island as they cannot be shifted since their livelihood depends on the island.“Certain mistakes were made in the past which we cannot correct now. If you visit the original tourism master plan, the recommendations are for seven islands to be developed based on three studies. But subsequently, the SLTDA has gone ahead and called for proposals for 12 islands. That is one reason why we are having problems. The guidelines have not been followed.”

Tourism industry: Twelve islands in Kalpitiya stagnant

<ul><li>Local processing will cost $ 1 per visa: SLIEOA&nbsp;</li><li>Govt. looks at continuing with VFS Global’s operations; talks with TU on Wed.</li></ul> A total of 100 Sri Lanka Air Force (SLAF) officials have been trained to act as border controllers in the event of immigration and emigration officials refusing to perform their duties at the Bandaranaike International Airport (BIA), The Sunday Morning reliably learns.Sources told The Sunday Morning that operations of VFS Global would continue without change as per a Cabinet decision to entrust local visa handling to a third-party company.The official Sri Lankan eVisa website notes Sri Lanka’s transition from the Electronic Travel Authorisation (ETA) system to the new eVisa scheme, exclusively operated by IVS-GBS and VFS Global.&nbsp;On Wednesday (1), a video went viral on social media showing a disgruntled passenger whose partner had been denied a visa.Addressing recent allegations regarding visa issuance, Presidential Secretariat International Affairs Director Dinouk Colombage denied the claims.“The recent allegations that the visa approval process for foreigners has been handed over to a private company are completely false,” he stated.Colombage clarified that, as per a Cabinet decision last year, VFS Global had been selected to process on-arrival visa applications before handing them over to an on-duty immigration officer at the airport for final approval.VFS Global operates in over 150 countries worldwide. Sri Lankans obtaining visas for numerous countries, including the UK and Australia, must be processed by VFS.Meanwhile, the Sri Lanka Immigration and Emigration Officers’ Association (SLIEOA) expressed willingness to handle visa processing for an additional payment as low as $ 1.SLIEOA Secretary K.P. Manawadu questioned the delegation of visa operations to VFS Global, which charged $ 18.50 per visa, when their officers were willing to provide the service at a significantly lower cost.Manawadu noted that SLIEOA officers had been handling on-arrival visa processing operations since 2012 without issues or additional fees. He also questioned the rationale behind outsourcing to VFS Global when the SLIEOA could provide the service at a lower cost.Regarding the change, Manawadu stated that they had not been officially briefed and that VFS had started online services on 17 April and on-arrival services at the BIA on 1 May. However, SLIEOA officers have now resumed operations at the BIA as VFS has temporarily stepped away.“We have now been asked to come in for a discussion with the department on Wednesday (8),” Manawadu added. “As far as we know, there wasn’t an issue with the previous ETA system. We ensured its smooth operation in December 2023 too during the peak tourism season.”However, a senior immigration officer who wished to remain anonymous stated that protests had been lodged in early April against the decision, as officials had not been informed before its launch.“We are not against VFS or any private company, but before handing over the operation they should have informed the officials and conducted a trial period to evaluate the pros and cons,” the officer stressed.Attempts by The Sunday Morning to contact Immigration and Emigration Controller General Harsha Ilukpitiya, Public Security Minister Tiran Alles, and Public Security Ministry Secretary Viyani Gunathilaka regarding the procurement process proved futile.Responding to the allegations, the Indian High Commission in Colombo last week clarified that VFS Global was not an Indian company.

Visa operations controversy: SLAF officials trained as border controllers

<ul><li>Govt. to send a letter expressing commitment to resume negotiations with Japan</li><li>Japan commends progress; ready to resume yen-denominated loans for development&nbsp;</li></ul> Japanese Foreign Minister Yoko Kamikawa has informed President Ranil Wickremesinghe that Japan is willing to resume yen-denominated loans for development projects in Sri Lanka, including the controversial Light Rail Transit (LRT) project and the Bandaranaike International Airport (BIA) expansion project, The Sunday Morning learns.Kamikawa arrived in Sri Lanka yesterday (4) on a one-day official visit.&nbsp;During the meeting between President Wickremesinghe and Minister Kamikawa yesterday at the Presidential Secretariat, Japan’s willingness to resume support for development projects in Sri Lanka had been communicated to the Sri Lankan side.Highly-placed sources told The Sunday Morning that the Japanese side had also asked the Sri Lankan Government to send a letter to the Japanese Government saying that Sri Lanka was committed to opening negotiations with Japan on economic cooperation, which will lead to the exchange of notes.&nbsp;It is also learnt that the relevant letter will be sent by the Sri Lankan Government to Japan sometime this coming week.The controversial LRT project resulted in the souring of relations between Sri Lanka and Japan when former President Gotabaya Rajapaksa and his Government unilaterally cancelled the project, which was restored by President Wickremesinghe in rebuilding ties with Japan.Minister Kamikawa had also expressed that Japan was happy that the Sri Lankan Government was looking at the International Monetary Fund (IMF) agreement being made into law to ensure commitment to complete it.Sri Lanka and Japan are to also cooperate in the areas of women’s empowerment and gender equality.Minister Kamikawa also met with Prime Minister Dinesh Gunawardena and Foreign Affairs Minister Ali Sabry during her visit.

Japan-Sri Lanka relations: Japan willing to resume LRT, BIA expansion

<ul><li>Aim to prevent impact on Ella-Wellawaya Road</li></ul> The National Building Research Organisation (NBRO) has commenced the installation of horizontal drains to release trapped water and ensure ground stability in an area allegedly prone to landslides due to water pressure from the release of water to the Uma Oya tunnel.Speaking to The Sunday Morning, NBRO Director General (DG) Dr. Asiri Karunawardena said that the NBRO had identified significant ground disturbances and was taking steps to address the situation.“We have initiated a geophysical investigation to comprehend the subsurface profile, water levels, and affected areas. Additionally, as a temporary measure to alleviate water pressure, we are installing horizontal drains to release trapped water, ensuring ground stability.&nbsp;“This action is crucial in preventing potential failures that could impact the Ella-Wellawaya Road downstream. Our priority is to uphold road safety and prevent further damage,” he stated.Dr. Karunawardena said that NBRO experts – including technical engineers, geologists, and environmental specialists – had visited the area to conduct a walkover survey and analysed aerial photographs and maps before concluding that the area was an old landslide zone.“This area experienced a landslide long ago and the current debris we see is from that event. This indicates that the area remains unstable. In such areas, water levels and seepage are common.&nbsp;“In 2019, we observed minor land instability, but after heavy rains in 2023, this instability was reactivated. As a result, we now observe extensive ground disturbances.&nbsp;“The primary suspect for this phenomenon is the effect of the groundwater table and water pressure. Residents in the area believe that changes in water pressure and levels may be linked to the filling of the Uma Oya tunnel,” he explained.Furthermore, the NBRO DG emphasised on the geological challenges in proving the residents’ claims, as there was scant evidence to support them.

Uma Oya Project: Horizontal drain installation to mitigate landslide risks

The Japanese Government yesterday (4) announced that it would offer Sri Lanka a vessel equipped for underwater surveys, which would aid in capacity-building to conduct hydrographic research and chart Sri Lanka’s maritime domain.The announcement was made by visiting Japanese Foreign Minister Yoko Kamikawa last afternoon during a meeting with her counterpart, Foreign Minister Ali Sabry.During her speech, the visiting Japanese Foreign Minister stated: “Japan and Sri Lanka are both island nations surrounded by the sea. Japan intends to further strengthen cooperation with Sri Lanka in the maritime domain in order to realise a ‘free and open’ Indo-Pacific. In this regard, based on a request from Sri Lanka, I have conveyed to Minister Sabry that Japan will offer a vessel equipped with sonar to be used for compiling maritime charts.”The announcement comes in the wake of Sri Lanka’s pursuit to improve its sovereign capacity for marine research in terms of hydrography and oceanography, following a spate of visits by Chinese Marine Scientific Research (MSR) vessels to Sri Lankan waters for joint surveys, which caused diplomatic tension with India, the US, and other nations that are concerned about Chinese naval activity in the Indian Ocean.Concerns have been raised on who has control and access to the data generated from such surveys, due to the possible military application which can be derived from them.&nbsp;&nbsp;&nbsp;It is learnt that the Government had decided to robustly pursue sovereign capacity building for hydrography and marine science research since early 2023. The Sunday Morning earlier reported that several countries were in discussion to assist Sri Lanka in capacity building aimed at improving the island’s maritime mapping and domain awareness.Responding to a question, State Minister of Defence Premitha Bandara Tennakoon acknowledged that Sri Lanka had been in discussion with Japan on capacity-building since last year and thanked the Japanese Government for its generous assistance.“Sri Lanka has prioritised its sovereign capacity-building for hydrography and marine science. Following a study of our requirement, President Wickremesinghe requested assistance from Japan during the Japanese Foreign Minister’s visit last July. We are thankful for Japan’s generous assistance to Sri Lanka in this matter,” Tennakoon told The Sunday Morning, adding that, as an island nation, Sri Lanka must have better capacity to survey its waters, conduct research, and have better situational awareness of its maritime domain.&nbsp;As of now, Sri Lanka lacks modern seagoing hydrographic and oceanographic capacity and lacks a suitably-equipped vessel capable of engaging in such missions.&nbsp;&nbsp;

Marine research and mapping: Japan to boost SL sovereign capacity with vessel

<ul><li>New tariffs in June</li></ul>The Ceylon Electricity Board (CEB) is currently drafting a proposal for the revision of electricity tariffs, expected to be submitted to the Public Utilities Commission of Sri Lanka (PUCSL) this month and implemented in June, according to sources.Power and Energy Ministry Secretary Dr. Sulakshana Jayawardena told The Sunday Morning that once the proposal was submitted, the PUCSL would determine the tariffs based on data provided by the CEB.When asked whether the new tariffs would come into effect from 1 June, the Secretary stressed that it was difficult to comment since the process was still ongoing.&nbsp;“We don’t know whether the tariffs will come into effect exactly from 1 June, but the CEB is currently preparing a proposal calculating its expenses,” he said.He cautioned that the exact implementation date in June was uncertain as the process was still underway.Originally planned for 1 January, the tariff revision was postponed to February and then to March, with the aim of accommodating a significant 18% tariff reduction.The CEB has reportedly adjusted its financial strategy, deferring essential renovations and projects to achieve this reduction.In October 2023, various sectors faced tariff increases, with the domestic and religious sectors seeing an 18% rise, industries and hotels experiencing a 12% increase, and the general purpose and Government buildings sectors witnessing a significant 24% surge.Following public consultations by the PUCSL in March, the CEB is reviewing its capital expenditure for asset rehabilitation to explore further relief in electricity tariffs.Responding to demands for additional tariff reductions, the board is reconsidering its spending on asset rehabilitation, potentially delaying it until the next fiscal year or beyond.This revision follows the third electricity tariff revision on 21 October 2023, which resulted in an 18% increase in tariffs.

Electricity tariff: CEB to submit proposal to PUCSL this month

The prevailing warm weather will likely end in two weeks, with the monsoon expected sometime after mid-May, the Department of Meteorology reveals.&nbsp;&nbsp;Speaking to The Sunday Morning, Department of Meteorology Director (Weather Forecasting and Decision Support) A.L.K. Wijemannage said: “With the commencement of the southwestern monsoon rains, the prevailing warm weather will dissipate. In about two weeks from now these warm conditions will fully disappear.”Issuing a Heat Index Advisory for yesterday (4), the Department of Meteorology warned that the Heat Index was expected to increase up to ‘Extreme Caution’ levels at some places in the Northern, North Central, and Eastern Provinces.It added that the heat was also expected to increase up to ‘Caution’ levels at some places in the Western, Sabaragamuwa, Southern, and North Western Provinces and in the Monaragala District.&nbsp;Wijemannage said that the monsoon season would commence mid this month: “We’re currently in the tail end of the intermonsoon period, which will typically end in a couple of weeks – around 15 May. While we are unable to provide a precise date for the activation of the southwestern monsoon, it will happen sometime between 15-25 May, although it could also happen earlier than this.&nbsp;“Nevertheless, on around 7,8, and 9 May, higher rainfall is likely, especially in the Western, Sabaragamuwa, and Southern Provinces, with higher chances of lightning as well.”He noted that they were expecting above-normal rains during the upcoming southwestern monsoon. Accordingly, heavier rains are expected especially for the island’s southwestern region, including the Southern, Western, and Sabaragamuwa Provinces as well as the western slopes of the central hills of the Central Province.&nbsp;Further, he noted that this monsoon period was likely to bring rains to many other parts of the island, including the hydro catchment areas, which would also receive considerable rainfall.&nbsp;As of Friday (3), according to the Mahaweli Authority, a low level of active/effective storage was recorded for major hydropower reservoirs Kotmale and Castlereagh, while the storage capacities of Samanalawewa, Maussakelle, Victoria, and Randenigala stood at 55.6%, 22.6%, 29.2%, and 86.9%, respectively.

Warm spell likely to end in two weeks

The Medical Supplies Division (MSD) yesterday (4) confirmed that the National Hospital of Sri Lanka (NHSL) had sufficient stocks of medicines and medical equipment to carry out its operations.&nbsp;Speaking to The Sunday Morning, Deputy Director General (Medical Services) Dr. G. Wijesuriya stressed that the MSD had distributed sufficient stocks to each and every hospital around the country, including the NHSL, and therefore there could be no major shortage at the hospital.He also stated that pharmaceutical stocks had improved and that stocks were low for less than 100 medicinal drugs.Dr. Wijesuriya further said that a discussion had been held at the NHSL on Wednesday (1) regarding the current pharmaceutical shortage.“At this discussion, the NHSL’s directors told us that they had enough pharmaceuticals in supply to continue their service,” he stated. “Save for one or two items, such as Peracetic Acid (PAA), they have a decent supply.”Speaking to The Sunday Morning, Government Medical Officers’ Association (GMOA) Media Spokesman Dr. Chamil Wijesinghe said that while the shortage was prevalent, it had greatly reduced and that the number of out-of-stock pharmaceuticals had dropped to 58.“Compared to the situation around six to eight months back, things have improved,” he said, emphasising that the number of pharmaceuticals out of stock was below 100 for the first time in years.Dr. Wijesinghe said that the majority of these pharmaceuticals were high-end pharmaceuticals and rarely used. “We can’t say it’s a victory or an achievement, but it is a good phase. Things are heading in a positive direction,” he added, noting that coordination was important in establishing and increasing the efficiency of the procurement system.Nevertheless, NHSL health workers alleged that the shortages had prevailed for the past several years. “Except for a few items, all other items are in short supply on a daily basis,” a health worker who wished to remain anonymous told The Sunday Morning.&nbsp;Attempts to contact NHSL Deputy Director General Dr. Kumara Wickramasinghe were futile.&nbsp;

Pharmaceutical shortage: MSD confirms sufficient medical supply

The Indo-Sri Lanka ferry service will resume operations on 13 May through a private company, The Sunday Morning learns.&nbsp;A spokesperson at the Indian High Commission in Sri Lanka told The Sunday Morning that the ferry service from India to Sri Lanka was scheduled to restart operations on 13 May, after a pause due to the northeastern monsoon rains at the end of last year.The Shipping Corporation of India handled the ferry service during the previous effort in October 2023 – an Indian Government-led initiative.&nbsp;“While that was paused, we were looking to change it to a commercial operation. A private company will run this route, named the ‘IndSri’ ferry, and the Government is supporting it from Nagapattinam.”Sri Lanka Ports Authority (SLPA) Vice Chairman G.U.K. Algewattage said that they would facilitate it from the Sri Lankan side.&nbsp;The revival of the 19th century Indo-Lankan ferry has been a longstanding conversation for both sides of the Palk Strait. However, issues such as low clientele and high costs have delayed these attempts.

Tourism industry: Twelve islands in Kalpitiya stagnant

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