The Sri Lanka Ports Authority (SLPA) has had no chairman, vice chairman or board of directors for the past one month and unions fear Ports and Shipping Minister Arjuna Ranatunga wants his younger brother appointed to the topmost position. A union leader said he had no problem with Mr. Ranatunga but “if they bring family [...]

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SLPA headless; union claims Arjuna trying to appoint brother

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The Sri Lanka Ports Authority (SLPA) has had no chairman, vice chairman or board of directors for the past one month and unions fear Ports and Shipping Minister Arjuna Ranatunga wants his younger brother appointed to the topmost position.
A union leader said he had no problem with Mr. Ranatunga but “if they bring family members into the SLPA they are setting the stage for corruption, not development”. Minister Ranatunga was unavailable for comment on this and other allegations. A message sent separately to his media secretary received no response.

Before the August 17 parliamentary elections, Minister Ranatunga (who held the same portfolio under the interim Government) requested the SLPA chairman, vice chairman and board members to give him signed letters of resignation. He assured them the letters would be used only if necessary.

On September 8, the minister faxed them notes stating that he had accepted their resignations. There was no prior warning. Nobody has been appointed to their vacated seats. It is understood, however, that the minister has handed over a list to President Maithripala Sirisena and it contains, among others, Dammika Ranatunga’s name.

President Sirisena said last month that a committee must approve appointments to state institutions. While ministers could nominate their candidates, it will be this body that makes the final decision. At present, the SLPA is run by an additional secretary as acting chairperson. The unions also claimed Minister Ranatunga wanted control over activities of the Authority and had transferred many responsibilities to his Ministry office.

Several projects are in a state of limbo due to the changes that have taken place at the SLPA. The East Container Terminal at the Colombo Port was one-third completed under the previous Government. The SLPA signed an agreement for equipment with a Chinese company but the deal has been suspended—despite manufacturing already having started—with the Minister saying he wants quotations from another company. Equipment was commissioned for the Hambatota Port. That, too, is pending. The Chinese company has so far billed the SLPA US$ 15 million.

Several cabinet approvals were secured during the past few months. One is to call for expressions of interest from companies wishing to form a joint venture with SLPA to carry out vehicle transshipment. The other was to start a joint venture for a bunkering and oil terminal. Cabinet had also cleared an initiative for SLPA to start a joint venture with an international company to run the East Container Terminal. All three processes are stalled.

“If there are development programmes, the Minister must help them go forward,” said Chandrasiri Lokugamage, head of the All Ceylon General Ports Employees’ Union. “Even where the Colombo Port City is concerned, there must be clarity on what is happening and how we will pay back the loans we have taken to build the East Container Terminal.”

Mr. Lokugamage said there was much concern and disillusionment among port workers. “There’s no discussion about these matters,” he complained. “The running of ports is a serious business. The Minister does not know how to handle this subject.”

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