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SJB opposes selling ‘strategically important’ SOEs

SJB opposes selling ‘strategically important’ SOEs

09 May 2023

Samagi Jana Balawegaya (SJB) opposed selling of “strategically important State Owned Enterprises (SOEs), however, demanded the breaking of monopoly by the same SOEs. 

Speaking at a media conference held at the office of the Leader of Opposition on Sunday (7) SJB Parliamentarian Eran Wickramaratne said that SJB opposes the sale or privatization of the strategically important SoEs such as Ceylon Electricity Board (CEB) and Petroleum Corporation but insists that the monopoly now enjoyed by such SoEs be brought to an end with private sector participation on a competitive market system. The reason for it is, so far attention was paid to ensure the employees’ interest, but no government paid its attention to consumer interests.

“SJB is for restructuring of SoEs. But what are the principles followed? If a State organization is involved in manufacturing goods and providing services priority should be given to provide quality product with an efficient and competitive atmosphere to the consumers. Second priority is to protect the rights of employees. Restructuring  should be made under a transparent process,” revealed Wikramaratne articulating the SJP policy on SoE restructuring.

He further said that people do complain that even if there is a surplus of employees in the Government institutions, they cannot get a service done without paying bribes. 

“We cannot simply reject these allegations as there is no smoke without fire. Most of the SoEs are inefficient and loss making. Now the government has been talking of restructuring them,” he added. 

He also mentioned that amongst several Expressways that were constructed in the country except one all other projects have been awarded to known persons or companies without following proper procurement procedures of competitive bidding process. Under this context, the people of this country have suspicions of the actions of this Government as it has handled major development projects not for the country but to kickback.

Parliamentarian Wickramaratne also assured that the main opposition was ready with plans and strategies to implement projects for the wellbeing of the people no sooner it comes to office after an election due shortly. 

“People of this country are eagerly awaiting to oust this government which has no mandate or even proper plan to implement for the country,” he noted. 

In the recent past the present government has had discussions with a US firm to bring in investment in the energy sector. But it appeared to be a mysterious deal as no transparency was seen in the transaction.

“When we take SriLankan Airline, it runs losses to more than 400 billion rupees. People of this country maintain this loss making airline with their direct and indirect tax money. SriLankan Airlines has under its wing two other sectors that are making profit. Now plans are afoot to privatize those two profit making organizations namely ground handling and SriLankan catering services leaving behind the airline to make further loss,” he said. 

In 2019 a report was prepared as to how the Srilankan Airline should be restructured. President’s expert committee on restructuring Sri Lankan Airline headed by Eran Wickramaratne that included Dr. Harsha de Silva and the present CBSL Governor Dr. Nadalal Weerasinghe and a few others, recommended that the two other entities that are making profits be made joint corporate bodies of the SriLankan Airline in order to minimize the losses incurred by the Airline. But, the MP said that SJB opposes any effort on the part of this government to split the organisation into three and sell the two profit making institutions separately, making the Srilankan airline incur further losses, he explained.

Referring to a recent speech of the President in Parliament, he said that the President implied that if the stock market is to be closed, it could be liquidated. Country’s Head of State should not make such a statement even for humour. After the statement of the President, Nestlé has decided to withdraw from the stock market after 40 years of investment.

At a time when the investments of other foreign companies should be attracted to the stock market and FDI, if foreign companies withdraw because of such statements, Eran Wickramaratne asked whether this government does not need any foreign investments in this country or is it a ploy to bring in foreign selected investment that would benefit individuals with commissions. 



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