• Controversy over releasing water to farmers creates divisions in Govt.
• Drought protests result in special security for Kanchana’s residence
• SLPP dissidents criticise 13A; Prasanna says SLPP Leader MR is for 13+
• RW asks SLPPers in Govt. and Opposition to discuss with MR and decide
• President’s call for proposals on implementing 13A splits Opposition
• Upcountry Tamils weigh in on implementing 13A; asks India to intervene
• SLPP MPs sign and hand over letter to RW seeking solutions for Aswesuma
• MR moves to unite divided SLPP factions by playing cricket in Nuwara Eliya
• Basil loyalist says SLPP candidate with a ‘three-letter name’ for Prez Polls
• Dullas initiates move to unite Opposition on key issues; starts talks with SLFP
• Dullas and Namal moving to lead Opposition politics while Sajith watches on

The Ranil Wickremesinghe Government that is grappling to fully resolve the economic crisis has now been hit with a double whammy due to the drought conditions that are once again creating a risk of a power crisis, water shortage, and food insecurity.

The Government’s handling of the drought conditions that have adversely impacted farmers in the deep south of the country, especially in the decision on whether or not to release water from Samanalawewa that is used for hydropower generation, yet again caused a clear division within the Wickremesinghe administration.

Several Government members including a Cabinet Minister openly criticised the Government’s initial decision to give priority to power generation and not release water for agriculture purposes, causing the destruction of thousands of acres of paddy land. 

Minister Roshan Ranasinghe’s comments even got him in trouble, with some Government members asking the President to act against him for violating the Cabinet’s collective responsibility. However, the President had instead explained Cabinet traditions to the Minister and warned him to be mindful in the future.

Deputy Speaker Ajith Rajapakse recently claimed that he was prepared to give up all his positions on behalf of the people if the Government failed to mediate in resolving their issues. He had told the media that he would take a political decision if no solution was given for the water issue of Walawa farmers.

It is in such a backdrop that President Wickremesinghe decided to make a statement in Parliament on Wednesday (9), where he spoke of various issues in the country, including the economic crisis, the 13th Amendment to the Constitution, the Anti-Corruption Bill, and the Provincial Councils law.

He reiterated the necessity of implementing the 13th Amendment in a way that suited the nation’s growth and future. It was stressed that achieving this required a consensus among all Parliament members through comprehensive and open-minded deliberations.

Wickremesinghe also advocated a departure from the traditional view of the Opposition merely criticising the Government and urged a more inclusive approach that involved considering Opposition viewpoints in decision-making, promoting a more balanced and collaborative political environment.

Following the President’s statement, Opposition and Samagi Jana Balawegaya (SJB) Leader Sajith Premadasa stated that the party would look at the President’s proposal in a positive manner and would give the party’s views on it.

However, an interesting incident took place when ruling Sri Lanka Podujana Peramuna (SLPP) dissident MPs Gevindu Cumaratunga and Ven. Athuraliye Rathana Thera claimed in the House that President Wickremesinghe did not have the mandate to implement the 13th Amendment as he was only completing the term of former President Gotabaya Rajapaksa (GR), who had not undertaken to implement the piece of legislation.

Chief Opposition Whip Minister Prasanna Ranatunga responded to Cumaratunga’s and Ven. Rathana Thera’s claim by saying that the SLPP had been formed by and followed the principles of its Leader, former President Mahinda Rajapaksa (MR). He claimed that MR and the SLPP stood for the devolution of power within a unitary state. 

“Our leader (MR) has even said he was willing to go beyond the 13th Amendment. There is nothing to hide about it. That’s the truth. I’m making this statement with his (MR’s) approval,” Ranatunga said.

President Wickremesinghe then asked all SLPPers – in the Government side and the Opposition – to meet with MR and reach a final decision on the 13th Amendment.

13A splits Opposition

However, the proposals sought by President Wickremesinghe from parliamentary party leaders on implementing the 13th Amendment have split the Opposition parties.

The main Opposition SJB and the Sri Lanka Freedom Party (SLFP) are to submit their proposals to the Presidential Secretariat this week while the Freedom People’s Congress (FPC) and the Janatha Vimukthi Peramuna (JVP)-led National People’s Power (NPP) have decided not to submit any proposals.

The SJB is to submit its proposals after discussing with the parliamentary group and the party’s legal team. The SLFP is to finalise the party’s proposals following a meeting of the party’s Central Committee. 

The ruling SLPP is to also submit its proposals this week since the party is currently in the process of discussing the matter.

Meanwhile, NPP MP Vijitha Herath has told the media that they will not submit any proposal to President Wickremesinghe as the NPP is not ready to fuel the President’s ‘underhand motive’.

FPC member and MP Prof. Charitha Herath has noted that they are not prepared to submit any proposal since even the Government has failed to arrive at a single stance in this regard. He has further remarked that they have observed a lack of genuineness in the Government’s actions.

Upcountry Tamils’ issues

Meanwhile, the upcountry Tamil community has also weighed in on the moves to implement the 13th Amendment, with the Tamil Progressive Alliance (TPA) calling on the Government of India to support Sri Lankan Tamils to win the rights and political privileges which they have been deprived of by almost all the previous governments.

The TPA has called for funds issued by India for the Tamil community in the plantation sector to be distributed without political interference.

TPA member and SJB MP V. Radhakrishnan has said, following a meeting with Indian High Commissioner Gopal Baglay, that the discussion mainly focused on the implementation of the 13th Amendment and the need to hold the Provincial Council Elections which has been postponed for several years. He urged the Indian Government to convince the Sri Lankan Government to be more accountable towards the Tamil community.

The MP also noted that the TPA highlighted the importance of holding the postponed elections, not only for the Provincial Councils, but also for the Local Government.

Discussing Police powers

Given the focus on the issue of devolving Police powers to the provinces under the 13th Amendment, Public Security Minister Tiran Alles held a discussion on the matter with a group of Tamil National Alliance (TNA) parliamentarians.

Alles, it is learnt, had focused on the possibility of solving the problems faced by the people in the Northern and Eastern Provinces without Police powers.

The Minister had inquired into the reasons for the MPs to request Police powers. The TNA MPs had reportedly explained the necessity for the decentralisation of powers by taking examples from other parts of the world and the problems faced by the Tamil community in the north and the east. 

Alles had then explained the possibility of solving such problems without granting Police powers. However, when the TNA members had pointed out that devolution of power had been done in a very progressive manner even in developed countries such as the UK and India, and that the same methods could be used in Sri Lanka, Alles had said that the political and social cultures of such countries and Sri Lanka were completely different.

Alles had inquired about the need of the Tamil community and politicians to implement the 13th Amendment. The legislators had noted that the need to implement the 13th Amendment was because the people in the north and the east had to pay a lot and travel long distances to come to Colombo in order to implement the decisions taken by the regional committees and that there was a problem with the implementation of decisions by some provincial governors. 

The TNA members had also said that nothing new should be added to the matters regarding the granting of Police powers mentioned in the 13th Amendment, but that there was a need to appoint the Provincial Police Commission in addition to the National Police Commission.

The TNA was represented by M.A. Sumanthiran, Shanakiyan Rasamanickam, Dharmalingam Sithadthan, Charles Nirmalanathan, and Selvam Adaikkalanathan.

Alles was accompanied by Public Security Ministry Secretary Viyani Gunathilaka and several other officials at the ministry. IGP Chandana D. Wickramaratne, SDIG in charge of the Western Province Deshabandu Tennakoon, and several other senior Police officials had also attended the meeting.

Drought woes

However, the implementation of the 13th Amendment was pushed to the backburner for the most part of last week due to issues related to the ongoing drought weather conditions.

Agriculture Minister Mahinda Amaraweera, who had submitted a proposal a few weeks back seeking the release of water from Samanalawewa to irrigate paddy lands, once again submitted a similar proposal to a meeting of Cabinet Ministers on Monday (7).

The initial proposal was shot down by some members in the Cabinet, claiming that releasing water from a hydropower-generating reservoir could result in a power crisis, resulting in the purchase of costly emergency power.

However, given divisions within the Government and Parliament over the matter, the Wickremesinghe Government had to give priority to the agriculture sector.

Amaraweera last week noted that a discussion on the issue had been held with the President at length on the night of 5 August, and that what had been discussed at the meeting had been included in the proposal submitted on Monday.

The Cabinet of Ministers decided to release water from Samanalawewa for cultivation and Power and Energy Minister Kanchana Wijesekera has said that power generation at Samanalawewa Reservoir would end this week (16).

Special security

However, the controversy over releasing water to farmers had resulted in special security being provided to Wijesekera’s home in Matara.

Police teams were reportedly deployed at the residence following an intelligence warning that farmers demanding water for their crops were likely to surround the Minister’s house.

All access roads to Wijesekara’s home had been barricaded and all users of the road had been searched.

Namal gets tough

Meanwhile, SLPP Parliamentarian Namal Rajapaksa last week urged President Wickremesinghe and his Cabinet to announce the Government’s programme to provide relief to people affected by the drought and those in need of water for cultivation.

Addressing a party meeting, he had said that people had been hit by the prolonged dry spell.

“We appointed this President. Therefore, we should question him and his Cabinet about the programme to provide relief to these people. Farmers in the Eastern, Southern, North Central, and North Western Provinces have been affected,” he said.

He had also asked Opposition Leader Premadasa and JVP Leader Anura Kumara Dissanayake to stand up for joint efforts to address the issues rather than indulging in typical politics.

“We are politically divided. Yet, we have to face natural challenges together. As such, we need to work out a plan for water management, power generation, and development of agro-productivity,” Namal had said.

However, once the decision was made to release water, Namal had thanked the President. He had expressed his pleasure at the quick response received from the Government to the calls by SLPP members to provide water to the farmers.

He had further thanked all Government and Opposition members who had joined in the call for relief for the farmers, regardless of party affiliations.

According to Namal, there needs to be a proper evaluation done on the impact of the drought and a proper mechanism put in place to manage the situation. 

Letter to RW

Meanwhile, President Wickremesinghe had last week received a letter that was signed by a group of SLPP MPs.

Wickremesinghe had retired to his office in Parliament on Wednesday (9) after making his special statement in the House. Once he was in the room, SLPP MP Jagath Kumara had arrived at the President’s office with a letter.

It is learnt that over 50 SLPP MPs had signed the letter that had called on the President to address issues related to the Government’s new social welfare scheme – Aswesuma. The letter had explained the issues faced by the public as a result of the new scheme.

Jagath Kumara had also explained the issues to the President while handing over the letter. 

After listening to the details, Wickremesinghe had said that he would respond to the matters raised by the SLPP MPs after reading and studying the contents of the letter.

Focus on polls

Be that as it may, despite the multiple issues faced by the country, the political circles continue to be focused on the next Presidential Election and the possible candidates.

The three key figures identified at the moment are President Wickremesinghe, Opposition Leader Premadasa, and JVP Leader Dissanayake.

Wickremesinghe, who has garnered the support of some SLPPers, had said during a recent event in Colombo that despite the criticisms, he had accepted the job and that there was a chance of turning the economy around faster. 

“I must thank everyone in the political system who rallied around, not because they like me – I don’t think there are very many who personally like me. But certainly they knew the job had to be done,” Wickremesinghe had added.

However, SLPP MP Ranjith Bandara has made a public statement that the SLPP would field its own candidate at the next Presidential Election.

He further noted that the party’s candidate would have a name consisting of three letters (in Sinhala). When a journalist questioned Bandara as to the identity of the SLPP candidate whose name has three letters, since there were several party members with such names, the MP said that he had already made references to the candidate. “I have already said that we will be led by the best person and that he will be introduced with much pomp and pageantry (sak pimbala, bera vayala).”

Udayanga’s prediction

Bandara’s statement on the SLPP candidate at the next Presidential Election was backed by a prediction made by a relative of the Rajapaksa family – Sri Lanka’s former Ambassador to Russia Udayanga Weeratunga.

Weeratunga had said during an interview with an online outlet that President Wickremesinghe would not contest the next Presidential Election since he understood the importance of receiving the SLPP’s support for him at the polls. According to the former envoy, the SLPP would field its own candidate and Wickremesinghe would therefore not receive the support of the SLPP.

Given Weeratunga’s close affiliation to SLPP National Organiser Basil Rajapaksa, many in the political circles believe that such statements would not be made without Basil’s knowledge.

Dullas’ alliance talks

It is in such a backdrop that the FPC, led by G.L. Peiris and Dullas Alahapperuma, has commenced discussions with parties in the parliamentary Opposition to unite the Opposition and form a broad Opposition coalition to stand against what is being termed as the ‘suppressive’ action of the Government.

The FPC on Wednesday (9) held a discussion with the SLFP at the latter’s party headquarters. The focus of the discussion had been democracy, economy, and supremacy of the law and how the parties could work together on issues related to these areas.

Alahapperuma said that other parties in the Opposition too would be consulted regarding these issues. “We will speak to the SJB, NPP, and all other parties to reach a consensus on the three key areas that require attention at the moment. Politically we might have different ideas, but we need to be united at least on key issues,” he said, following the meeting with the SLFP. Alahapperuma added that no other topics, other than the areas marked for discussion, were taken up at the meeting.

Following the discussion, SLFP Leader Maithripala Sirisena noted that there was no agreement to form an alliance, but a discussion and exchange of ideas among political parties. He further said that the SLFP had already held a similar discussion with the Communist Party of Sri Lanka.

As to whether the SLFP would continue with the alliance formed with the FPC during the call for nominations for the delayed Local Government Polls, Sirisena was evasive and said: “Let’s see what happens.”

However, an interesting incident had taken place when Sirisena and Alahapperuma and co. had arrived at the SLFP Headquarters.

Sirisena had arrived in his Benz car to the headquarters and the security personnel at the gate had recognised the vehicle and had immediately opened the gate. The double cab vehicle that was transporting the FPC members including Alahapperuma for the discussion had been following Sirisena’s Benz.

However, the security at the entrance to the SLFP Headquarters had closed the gate, preventing the double cab from entering the premises. The double cab had been driven by SLPP dissident and FPC member MP Thilak Rajapakshe. Alahapperuma had then rolled down the shutter and told the security personnel: “It’s us. I think you could not recognise us since we are all in this vehicle.” The gates to the SLFP Headquarters had been opened immediately by the security after apologising to the group of parliamentarians.

Namal, Dullas vs. Sajith

While Alahapperuma and the FPC have taken the lead in holding discussions with Opposition political parties to form a broad consensus on several key issues, there are now questions over the role of the Joint Opposition Coalition that was formed several months back under the leadership of Opposition and SJB Leader Premadasa.

Premadasa even held a meeting with heads of media institutions to inform of the formation of the Opposition Coalition and the areas of focus. The coalition had even formed an Executive Committee that had held several meetings and discussions on several issues.

However, it is now unclear whether Alahapperuma is now taking the lead in the Opposition by taking over the role thus far played by Premadasa.

Be that as it may, SLPP’s Namal Rajapaksa is also playing a lead role in taking up issues faced by the public and criticising the Government while his party continues to remain as the main coalition partner of the Wickremesinghe Government. 

President Wickremesinghe had even recently told Namal in jest during a wedding to not to try and oust the Opposition Leader.

MR takes the lead

However, SLPP Leader MR last week returned to the fold by attending a cricket tournament in Nuwara Eliya. This was seen as a move by MR to address the divisions within the SLPP and to unite its members once again.

MR was the Chief Guest at the SLPP’s Mahinda Rajapaksa Challenge Trophy Cricket Tournament yesterday (12) that saw associations and committees affiliated to the SLPP competing for the trophy.

After arriving at the venue, MR was greeted by senior SLPPers. MR had then told all of them that he too wanted to bat as well.

MR then made his way to the ground accompanied by SLPPers, including ministers, and batted for a while and also hit a ‘four’.

All SLPPers were seen gathering around MR and cheering him on.

Meanwhile, SLPP General Secretary Sagara Kariyawasam has said that although certain parliamentarians representing the SLPP will form and join separate parliamentary groups, the party’s vote base will remain unchanged.

“There are reports that certain groups are going to form alliances. We have no objection to it. If they can get together and win the people’s hearts, let them do it. However, we are confident of one thing. That is that certain MPs may go here and there and form and join various groups, but the SLPP’s vote base will not change,” he had told the media last week.

Meanwhile, MP Bandara noted that while there had been several so-called alliances being formed, none of them had been able to present a clear ideology.

He further stated that the SLPP’s symbol – the flower bud (pohottuwa) – was a national symbol that had been accepted by the people. Hence, he said that the SLPP would contest any national-level election under the ‘pohottuwa’ symbol.

Turning to SLPP

While Bandara made such a statement about the SLPP’s plans for the next elections, United National Party (UNP) member and Sabaragamuwa Province Governor Navin Disanayake has said that Wickremesinghe would be the President of the country for the next 10 years.

Disanayake had also said that Wickremesinghe could receive the support of the ‘pohottuwa’ (SLPP) if the ‘aliyaas’ (elephants – UNP) were not going to support him.

Ketagoda’s bill blocked

Meanwhile, one of the SLPP’s key moves to regain control of the party by getting its electoral organisers and Local Government members back on track was blocked with the announcement of the Supreme Court determination on the bill presented by SLPP MP Jayantha Ketagoda to enable the reconvening of the now defunct Local Government bodies without holding the delayed Local Government Elections.

Speaker Mahinda Yapa Abeywardena told the House that the court had deemed it necessary to pass three bills titled ‘Pradeshiya Sabhas (Amendment),’ ‘Urban Councils (Amendment),’ and ‘Municipal Councils (Amendment)’ by a special majority in Parliament and approved by the people at a referendum. The court determination was in respect of the three bills which had been challenged at the Supreme Court in terms of Article 121(1) of the Constitution. 

Accordingly, the Supreme Court has determined that Clause 2 of all these three bills is inconsistent with Articles 1, 12(1), 82, 83, and 104B of the Constitution, and therefore, it is necessary to pass these bills by a special majority in Parliament and for them to be approved by the people at a referendum by virtue of the provisions of Article 83 of the Constitution.

Economic woes

Apart from the political scene, the country’s economy is yet to reach its perceived level of stability.

The inflation rate which dropped to single digits for the first time in months in July may still face headwinds from rising water, food, and energy prices, analysts have predicted.

However, analysts have warned that the country needs to focus on reducing losses at State enterprises and to pass on energy prices as per International Monetary Fund (IMF) conditions which may boost inflation.

“The high base effect issue will finish off in the next two months and beyond that we might actually see a slight upward push in inflation with the currency depreciation and possibly a bit of food inflation coming into play,” First Capital Chief Research and Strategy Officer Dimantha Mathew had said. 

“There could be some volatility in the last quarter and inflation could end the year at the 6-8% range.”

Also, while Sri Lanka’s currency has appreciated about 10% this year, analysts have expressed concerns that it could come under pressure from stronger import demand in the last quarter.

Meanwhile, Central Bank of Sri Lanka (CBSL) Governor Dr. Nandalal Weerasinghe has said that the monetary policy transmission to the real economy in Sri Lanka is still incomplete.

He had noted that he would like to see private sector interest rates come down further and at a faster pace, adding that domestic debt restructuring was the most important focus for the debt-laden country in the near term.

Meanwhile, an international think tank had said that Sri Lanka’s Domestic Debt Optimisation (DDO) was more about appeasing international creditors in an attempt to unlock external debt relief, rather than actually contributing to reducing the debt burden itself.

Accordingly, a report by the Australian-based independent think tank Lowy Institute has stated that Sri Lanka had brought in domestic debt restructuring to appease its external creditors rather than to reduce the overall debt burden and that imposing losses on domestic creditors essentially imposes losses on the country itself.

Indian debt

More than $ 1 billion worth of credit that India lent to Sri Lanka during the economic crisis period will be undergoing restructuring as a part of the Extended Fund Facility (EFF) of the IMF, a top official at the EXIM Bank of India has said.

Speaking to The Economic Times, EXIM Bank of India Deputy Managing Director N. Ramesh said that over $ 1 billion, which Sri Lanka had utilised from the several Lines of Credit extended by India, would undergo some form of restructuring.

He said that the debt was part of the Line of Credit that the Government of India had extended to Sri Lanka over the years for undertaking various projects, primarily related to infrastructure building associated with roads, energy, water, and housing projects, among others. India’s current exposure to Sri Lanka is about $ 3 billion.

The Deputy Managing Director of EXIM Bank India told The Economic Times that the nature of the restructuring of debt owed to India by Sri Lanka was yet to be firmed up, outlining that much would depend on the final contours decided by the IMF.