Government revamps Vehicle Emission Testing
The Vehicular Emission Test (VET) Trust Fund and the Vehicle Emission Testing programme in Sri Lanka are undergoing significant structural and regulatory transitions. It is being integrated into the Treasury in accordance with the provisions of the Public Financial Management Act No. 44 of 2024, the VETTF, a Finance Ministry official told the Sunday Times Business
Independent financial assets of the fund were mandated for transfer to the Treasury to ensure greater fiscal oversight, he said.
However the fund continues to support Department of Motor Traffic (DMT) initiatives, such as air quality monitoring and public awareness programmes.
The current administrative structure is expected to remain in place until 2028, after which a new, more efficient model for emission control is planned.
Sri Lanka is moving toward stricter, revamped, and modernised emission testing regulations, according to Transport Minister Bimal Rathnayake.
Despite reports of corruption at some testing centres and false certificate issuance, the minister of transport has emphasised in a statement that these tests are essential and will continue.
New regulations are being introduced for stricter, mandatory inspections of buses and vans traveling over 100 km, requiring certificates within 48 hours of a trip.
However several environmentalists argue that moving the VETTF into the Treasury’s Consolidated Fund may dilute its impact and reduce funding for independent air quality monitoring initiatives.
Emission testing remains a legal requirement for obtaining annual vehicle revenue licences for all provinces as a mandatory compliance, according to DMT regulations.
Current contracts with private testing providers (such as LAUGFS Eco Sri and CleanCo/DriveGreen) are set to expire by the end of 2026.
The government has announced that new agreements will be signed under enhanced regulations to eliminate historical malpractices and fraudulent certifications.
The DMT and Sri Lanka Police continue to conduct random roadside emission tests and raids to identify high-polluting vehicles.
Effective January 1, 2026, monthly quality inspections have been proposed for passenger transport vehicles to ensure higher environmental standards.
A new circular issued in February 2026 mandates annual fuel efficiency testing and stricter logbook inspections for all state-owned vehicles. To bridge the gap during restructuring, the Department of Motor Traffic (DMT) and Sri Lanka Police have increased random roadside inspections, which some owners perceive as a shift away from standard testing centre operations.
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