India’s Adani says Sri Lanka wind project still on, power price under review

India’s Adani wind power projects in Sri Lanka are under review to re-evaluate already approved tariffs to ensure that the project terms align with the new government’s current priorities and energy policies, Adani Group said.

President Anura Kumara Disanayake during his election campaign promised to review proposed Adani’s wind power projects in Northern Mannar and Pooneryn.

His ruling National People’s Power (NPP) has said it wants to review the tariff which it considers expensive.

According to documents filed in court a cabinet decision on January 02, 2025 revoked a May 2026 decision on the Adani project proposal.

In May Sri Lanka said Cabinet approval has been given to pay 8.26 cents per unit to for the 484MW project, triggering a controversy over the price and court litigation by activists.

The cabinet also approved the appointment of a Project Committee and Cabinet Appointed Negotiating Committee to re-evaluate the proposal submitted by Adani Green Energy.

“The Sri Lankan Cabinet’s decision of 2 Jan 2025 to re-evaluate the tariff approved in May 2024 is part of a standard review process, particularly with a new government, to ensure that the terms align with their current priorities and energy policies,” an Adani Spokesman said in a statement.

“Adani remains committed to investing $1 billion in Sri Lanka’s green energy sector, driving renewable energy and economic growth.”

Adani’s projects have run into controversy after activists went to courts over possible impact on the environment and higher tariff.

The government has said it cannot make a final decision on the proposed deals by India’s Adani Group as there was an ongoing court case

Sri Lanka ex-President’s son arrested on fresh money laundering charges

Yoshitha Rajapaksa, the second son of former President Mahinda Rajapaksa, has been remanded until January 27, after being produced before the Colombo Additional Magistrate today (25).

He was arrested by CID officers in the Beliatta area earlier today and was produced before Aluthkade No. 5 Additional Magistrate Pavithra Sanjeevani today.

This was after recording a statement before the CID.

The arrest came after the Attorney General notified the CID on January 23, stating there were sufficient evidence for Yoshitha Rajapaksa to be named as a respondent in a land case valued at Rs. 34 million.

The case involves Yoshitha’s grandmother Daisy Forrest Wickremesinghe, also known as ‘Daisy Achchi’, at Sirimal Pedesa in Ratmalana.

The primary suspect in the case, which is still pending, is Daisy Forrest, who is also Yoshitha Rajapaksa’s grandmother.

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Sri Lanka goes ahead with Singapore Free Trade Agreement

Sri Lanka will go ahead with the free trade agreement with Singapore, on the basis of policy continuity, Deputy Finance Minister Harshana Suriyapperuma has said.

“This is a decision taken by previous governments,” Minister Suriyapperuma told the parliament’s Committee on Public Finance according to a published video.

“On that basis, and as part of the agreement has already been implemented, we decided to go ahead with it on a stand alone basis.”

The FTA envisages phased reduction of import duties and so-called para tariffs over 5 and 6 year periods.

Import duties have been lowered on two sets of goods (HS Codes) already.

The current items related to the first set of goods on which Port and Airport Levy is lowered.

Government members of the COPF had asked to study the matter, when it was previously taken up by the committee.

The decision was arrived at after a study, Deputy Industries Minister Chathuranga Abeysinghe said.

Sri Lanka had created access for a lot of goods under free trade deals but they were still not used by industry, he said.

COPF chairman Harsha de Silva said he supported the reduction of the PAL reduction was also in favour of creating a free trade area with Singapore.

The agreement was signed in 2018 but then President Maithreepala Sirisena had suspended the agreement during the so-called coup incident, de Silva said.

The economic credentials of the then so-called Yahapalana administration was blown to smithereens after the central bank triggered two stop-go cycles in the process of flexible inflation targeting and potential output targeting.

In the first inflation and stabilization crisis the rupee fell from 131 to 151 to the US dollar. In the second one the rupee fell from 152 to 182 to the US dollar.

On the day before the coup the rupee had fallen to 173 as money was printed through open market operations and dollar rupee swaps to cut rates.

Singapore does not have a policy rate to create forex shortages and therefore does not have to control trade or go to the International Monetary Fund after cutting rates.

Monetary Authority of Singapore is also has the Finance Minister as its Chairman. Successive finance ministers have believed in stability rather than ‘monetary accommodation’.

Exchange rate appreciation is used to keep inflation close to zero and avoid social unrest.

Indira ceding Katchatheevu to Sri Lanka strategic move: Congress

Tamil Nadu Congress Committee (TNCC) president K Selvaperunthagai on Thursday criticised BJP president K Annamalai for his remarks against former Prime Minister Indira Gandhi for giving Katchatheevu to Sri Lanka.

In a statement, Selvaperunthagai defended Indira Gandhi, saying Katchatheevu was given to Sri Lanka as “strategic step”.

The island covers an area of 285 acres, which is not fit for human habitation, he said, adding in the same agreement, the fishermen of Tamil Nadu were given the right to fish in the Wage Bank in Kanniyakumari south, which is under the control of Sri Lanka government, to compensate Katchatheevu.

Further questioning Annamalai, Selvaperunthagai asked what the BJP had done for stopping Sri Lanka from arresting 530 Tamil Nadu fishermen and auctioning 73 of their boats.

Source: New Indian Express

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PAC to recommend to TN govt. to facilitate return of refugees in Mandapam camp to Sri Lanka

India’s Public Accounts Committee chairperson K. Selvaperunthagai said on Thursday that the committee would recommend to the State government to facilitate the return of refugees who wish to go back to Sri Lanka.

The committee members, including MLAs J. Mohamed Shahnawaz, Agri Krishnamurthy, C.V.M.P. Ezhilarasan, S. Chandran, Kadarbatcha Muthuramalingam, S. Murugesan and R.M. Karumanickam, District Collector Simranjeet Singh Kahlon, Additional Collector (Development) Veer Pratap Singh, DRO R. Govindrajulu, Wildlife Warden R. Murugan, District Forest Officer Hemalatha, Paramakudi sub-collector Abilasha Kaur and Legislative Assembly Joint Secretary Revathy visited the Mandapam Rehabilitation Camp, Mandapam Rehabilitation Centre, sea turtle hatchery process, and government high school at Mandapam Camp.

The refugees, who came here from the island nation following economic crisis, had been provided shelter by the State government since the last two or three years. Around 280 people, including women and children, lived there.

Following representations to the PAC chairperson, Mr. Selvaperunthagai, who is the Tamil Nadu Congress Committee president, told presspersons that they would recommend to the government to take steps for safe return of the refugees to Sri Lanka as per the law.

Later, the panel visited the school at the Mandapam Camp and enquired with the children about the infrastructure facilities. When a few members of the public sought certain facilities, the committee promised to take it up with the government.

Arichalmunai beach

Following a large number of tourist arrivals at the Arichalmunai beach, the PAC members said they would recommend to the government to sanction funds with which additional mobile phone towers, assistance counter for the visitors, health centre, better toilets, and street lights could be provided.

The committee members interacted with the district officials at the Ramanathapuram Collectorate when eight subjects were discussed.

Mr. Selvaperunthagai said since 2021, the promises made by the DMK had been fulfilled. The officials explained to the committee the housing projects and other development work completed in the district. “We are immensely satisfied with the performance of the Ramanathapuram district administration in taking the government’s programmes to the people,” he lauded.

The objective of the government was to not only provide welfare assistance, but also to give them adequate infrastructure, he added.

Source: The Hindu

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AKD Government revokes contentious 500 MW Adani wind power contract

The Cabinet of Ministers chaired by President Anura Kumara Dissanayake has revoked a decision made by his predecessor Ranil Wickremesinghe in June last year to award a controversial 484 MW of wind power plants in Mannar and Pooneryn to Adani Green Energy SL Ltd.

The project was challenged on multiple grounds, including the arbitrary and excessive price of US cents 8.26 per kilowatt hour at a time when local bidders were offering prices as low as 4.88 cents.

Many environmental organisations, including the Wildlife and Nature Protection Society and Environmental Foundation Ltd., opposed the project owing to deficiencies in the Environmental Impact Assessment and because Mannar is a critical habitat for migratory birds. The local community, represented by the Bishop of Mannar too, vehemently opposed the project because of the harm to local industries and livelihoods.

In the course of his election campaign, the present President pledged to cancel the deal and call for international tenders to develop wind power in Sri Lanka.

Consistent with that pledge, on 30 December the Cabinet decided “To revoke the cabinet decision dated 2024-05-06 numbered CP No. 24/0850/621/047 submitted by the then Minister of Power and Energy on ‘Proposal of Adani Green Energy SL Limited for the Development of 484 MW of Wind Power Plants in Mannar and Pooneryn.”

Biodiversity scientist Rohan Pethiyagoda, who for the last year fought tirelessly against the proposal award told the Daily FT: “Everyone interested in environmental integrity and financial transparency will celebrate the fact that President Dissanayake has delivered on his promise to defeat this conspiracy to defraud the people of Sri Lanka.”

“Personally, I am delighted by this decision. But it is not enough. The Government must now release all the related files to the Bribery Commission and request a full investigation as to how this scam was perpetrated in the first place. Who was the mastermind behind it? Remember, the last Government agreed to buy electricity from Adani at a rate that was 70% higher than the locally tendered price. Into whose pockets was that 70% going? It added up to billions of dollars,” he said.

Commenting on the culture shift brought about by the NPP Government, Pethiyagoda said: “The degree of transparency we are now seeing is unprecedented. There was no song and dance from the NPP about this hugely consequential Cabinet decision. Instead, the attorney general routinely filed it in court as part of a 174-page submission that reads like something out of Wikileaks. This is a huge victory for environmental and social justice. Much kudos to AKD.”

Pethiyagoda also told the Daily FT that by the same decision, the Cabinet has appointed a new Project Committee and Procurement Committee to make recommendations regarding Adani’s proposal, but that that committee would be constrained by the President’s election pledge to invite international bids for the project. “It could be that the President is under pressure to give this project to an Indian company,” he said, “in which case it is likely that bids will be restricted to companies incorporated in India. Then, Adani too can compete in an open and transparent manner.”

President Reveals High Rent Costs of Former Presidents’ Residences

Sri Lankan President Anura Kumara Dissanayake revealed the high costs associated with the residences of former Presidents, emphasizing the need for significant reforms.

He said that it was estimated that Mahinda Rajapaksa’s house in Wijerama, which sits on an acre and 13 perches of land, is worth Rs. 350 million, with a monthly rent of Rs. 4.6 million.

Similarly, Chandrika Kumaratunga’s house, which is over 9,000 square feet and includes additional space for security personnel and office use, totals over 15,000 square feet and has a monthly rent of Rs. 2 million.

Maithripala Sirisena currently resides in a smaller house with a monthly rent of Rs. 900,000.

He expressed gratitude to Former President Ranil Wickremesinghe, who, after leaving office, did not take a government house and returned to his own home. Hema Premadasa also returned her government house following public scrutiny. A committee was formed to investigate the matter, resulting in Gotabaya Rajapaksa returning his house. However, three former Presidents—Chandrika Kumaratunga, Maithripala Sirisena, and Mahinda Rajapaksa—still retain their government houses.

In a bold move to promote political ethics and transparency, President Dissanayake announced the abolition of pensions for Members of Parliament (MPs) and former Presidents.

He stated that these changes would be introduced to Parliament very soon.

Additionally, vehicle permits for MPs will no longer be issued. Instead, MPs will be provided with a government vehicle during their term, which must be returned upon completion of their service.

The President clarified that this decision is not a personal vendetta but a fulfillment of the mandate given by the people.

President Dissanayake emphasized the need for political ethics, stating that he would not require a house or security after his retirement. He called for a political culture where leaders use only what is necessary while in office and make sacrifices for the country’s betterment.

Regarding the Presidential residences, the government is evaluating all properties to determine how they can be used for economic benefits. Proposals include converting the Presidential residence in Nuwara Eliya into a hotel and using the one in Jaffna for an IT university. The aim is to utilize these properties in ways that benefit the economy and society.

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Faceoff in India returns over Katchatheevu island issue

India’s BJP President K Annamalai on Wednesday lashed out at the Congress and its ally, the ruling DMK in the state, over the ceding of the Katchatheevu islet to Sri Lanka in the 1970s, questioning the TNCC chief over his recent statement that the move was a “strategic maneuver” by then Prime Minister Indira Gandhi.

On his ‘X’ account, Annamalali tagged a video clip of Tamil Nadu Congress Committee President K Selvaperunthagai purportedly saying the ceding was a “strategic maneuver” by India Gandhi.

“He constantly repeats this to emphasise how Indians should be thankful to Smt Indira Gandhi. The DMK & Congress have, for the last 4 decades, led to the loss of lives of our fishermen and put the lives of Tamil Fishermen at risk through their unilateral decision-making by gifting away Katchatheevu to Sri Lanka without even tabling this decision in the Parliament for discussion in 1974,” Annamalai said.

Prime Minister Narendra Modi has been working tirelessly to safeguard the nation’s sovereignty and has bridged the gap in infrastructure in Jammu & Kashmir and the Northeastern region, “which remained neglected during the Congress regime.”

“And here we have Congress boasting with pride that gifting away a critical island that belonged to India was Smt Indira Gandhi’s strategic maneuver. Does Thiru @SPK_TNCC realise that Congress & DMK’s strategic maneuver has cost the lives of our fishermen, many losing their livelihood due to constant arrest & loss of shipping vessels,” he asked.

“Is the Congress party not ashamed for trying to justify a haphazard decision? Is TN CM Thiru @mkstalin avl also of the same opinion as his Congress counterpart ,” the BJP leader added.

Source: PTI

MP Archchuna ‘frustrated’, withdraws support for ruling party

Jaffna District Independent MP Dr. Ramanathan Archchuna declared today (23) in Parliament that he will no longer support the ruling party, citing a violation of his parliamentary privileges.

Dr. Archchuna expressed his frustration, stating that it took 36 days for him to be given an opportunity to speak in Parliament. He further noted that he had hoped the government would address this issue fairly, but no action was taken.

In response, Leader of the House, Minister Bimal Ratnayake, clarified that it is the responsibility of the opposition—not the government—to allocate time for opposition MPs to speak. Minister Ratnayake added that he had informed the Speaker on multiple occasions regarding the matter and assured that the government is committed to safeguarding the MP’s right to speak.

Countering these remarks, opposition MP Gayantha Karunathilaka stated that the opposition had already taken measures to ensure a fair allocation of time for all its members to speak in Parliament.

He emphasized that arrangements had been made in consultation with opposition MPs and that if Dr. Archchuna agreed to the proposed schedule, he could be accommodated accordingly.

However, commenting further, MP Archchuna said: “I was elected as an ordinary MP this time. Before that, I was a doctor. Have there been any complaints about my behavior in the media before? Has there been a single case against me before entering politics? Why haven’t I been given time? Why are you pressuring me calling me a ‘Tiger’ again and again? If I am a ‘Tiger’, arrest me. Or shoot me….”

“If they kill me, the government must be held accountable,” he declared.

Govt looks to India in Trincomalee, turns to China in Hambantota in oil refinery push By Kelum Bandra

Hot on the heels of signing an agreement with China’s Sinopec for an oil refinery in Hambantota, the government is planning to establish a similar facility in Trincomalee with the help of India if willing, a Minister said yesterday.

During the visit of President Anura Kumara Dissanayake to China recently, the agreement was signed for an investment of US $ 3.7 billion with Sinopec which is a leading petroleum and petrochemical company in the world.

Delivering remarks to the press, Foreign Affairs Minister Vijitha Herath said yesterday that it would be an oil refinery project primarily meant for the export market, and a landmass of 500 acres adjacent to the Hambantota port would be earmarked for it.

Referring to the proposed multi- product petroleum pipeline between Sri Lanka and India, the Minister said the two sides had agreed to discuss such a project. However, he said the government is planning for an oil refinery in Trincomalee in eastern Sri Lanka, and will do it with India if it is ready for such cooperation. The United Arab Emirates (UAE) is also expected to play a role in this project, according to the joint statement.

Already, in the joint statement signed between India and Sri Lanka after the President’s last month visit to New Delhi, the development of Trincomalee Tank Farms as a regional energy and industrial hub has been envisaged.

The government has already decided to develop the Trincomalee oil tank farm through Trinco Petroleum Terminal Ltd which is a joint venture between Lanka Indian Oil Company and Ceylon Petroleum Corporation (CPC).

Out of 99 tanks in Trincomalee, 14 are run by LIOC. According to the agreement signed during the time of Mr. Udaya Gammanpila as the Subject Minister of the Gotabaya Rajapaksa government, the CPC is required to develop 35 tanks and the remaining 50 tanks jointly by the CPC and LIOC through this venture.

Energy Minister Kumara Jayakodi recently promised to press ahead with this project.

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