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SUMMARY OF CABINET DECISIONS - SEPTEMBER 4, 2008


Over 15 million copies of text books on 188 categories to be distributed free among school children

Cabinet granted approval to a memorandum submitted by the Minister of Education, Susil Premajayantha to get 15,214,500 copies of textbooks on 188 subject categories printed in the year 2008 as per the requirements for the next school year.

Accordingly the task of getting these books printed was awarded to 32 printing institutes. The total value of the books is Rs. 1,395,820,757.


Kuwait to finance Kalu Ganga Development Project

Cabinet granted approval to a memorandum submitted by President Mahinda Rajapaksa in his capacity as Minister of Finance and Planning to enter into an agreement with the Kuwait Fund for Arab Economic Development to obtain a loan amounting to 10 million Kuwait Dinars (approximately US$ 37m) to finance the Kalu Ganga Development Project.

The project will be implemented by the Mahaweli Authority under the supervision of the Ministry of Agriculture and Agrarian Services.

The project consists of 5 key components: a dam of 67m in height and 546m in length on the Kalu Ganga at Pallegama, a 9.8km long transfer canal followed by a 3.2km long tunnel to transfer water from Pallegama to Moragahakanda., a second tunnel of 7.2km length from Bowatenna Reservoir to Lenadora, upgrading of the Hurulu Wewa Feeder Canal (33km), Yan Oya Canal (7.4km) and Eru Wewa Canal (7km) and environmental impact mitigation and enhancement measures including reforestation and wildlife protection.

Convention Centre for Peradeniya University

Cabinet granted approval to a memorandum submitted by the Minister of Higher Education, Prof. Wiswa Warnapala to award the construction of a convention centre for the University of Peradeniya to the State Engineering Corporation at a total cost of Rs. 328 million including a VAT component on 'Design and Build' basis.

The proposed convention centre will include a convention hall, large and medium size lecture theatres, an art gallery and a museum. It will provide space for additional lecture rooms, examination halls, tutorial and seminar rooms and would also be able to hold annual research sessions, congresses of post graduate institutions, public conferences and seminar as well as the annual convocation of the university.

Vehicle emission testing to be instituted

Cabinet granted approval to a memorandum submitted by the Minister of Transport, Dullas Alahapperuma to transfer Rs. 20 million from the budget head for acquiring capital assets to the budget head for emission testing in order to meet the initial expenditure of the Vehicle Emission Testing (VET) Programme.

Accordingly a VET Fund will be created to credit income received by the Motor Traffic Department from testing and to incur expenditure for training, awareness and allied activities for the programme.

This fund will be administered by a board of trustees comprising of the Secretary to the Treasury or Deputy Secretary to the Treasury as the Chairman, the Secretary, Ministry of Transport, Secretary, Ministry of Environment and the Commissioner of Motor Traffic.

A project office and cadre will be created within the Department of Motor Traffic while suitable staff for the initial implementation activities will be recruited.

Registration of Persons Act to be amended

Cabinet granted approval to a memorandum submitted by the Minister of Internal Administration, Ratnasiri Wickramanayake to amend the Registration of Persons Act No. 32 of 1968.

This amendment has been necessitated by the conversion of the issuance of National Identity Cards (NICs) from a manual to a computerized process and the introduction of new features to the NIC, which will make certain existing provisions in the Act redundant while requiring new provisions.

It was also noted that the Act has never been amended and that the penalties stipulated for various offences in the Act do not serve as effective deterrents in today's context.

Accordingly, the amendments identified will be submitted to Legal Draftsman for necessary action.

State Engineering Corporation to build civil works on Thondamanaru Barrage

Cabinet granted approval to a memorandum submitted by the Ministry of Construction and Engineering Services, Dr. Rajitha Senaratne to award the construction of civil works connected to the installation of gates for the Thondamanaru Barrage to the State Engineering Corporation for a contract sum approved by the Standing Technical Committee of the ministry amounting to Rs. 45,855,965 and to make an advance payment of 30% of this sum in order to complete the work before the onset of the North-East monsoon.

The Thondamanaru Barrage was constructed and commissioned in 1955 in order to convert the Vadamarachchy Lagoon into a fresh water lake. The gates have since been damaged and need to be replaced.

Vehicles for High Court Judges

Cabinet approved a memorandum submitted by the Minister of Justice and Law Reforms, Amarasiri Dodangoda to purchase 27 Toyota Corolla 1600cc motor cars from Toyota Lanka (Pvt) Ltd., for a total price of Rs. 153,765,000 inclusive of VAT.

These vehicles will be for the use of High Court Judges.

A head office for the Ceylon Petroleum Corporation

Cabinet granted approval to a memorandum submitted by the Minister of Petroleum and Petroleum Resources Development, A.H.M. Fowzie to award the tender for the construction of a head office for the Ceylon Petroleum Corporation to M/s. Tudawe Brothers Ltd., at Rs. 1,449,397,427.64 with VAT.

Cabinet also approved the allocation of 10% of the tender figure for physical contingencies and 15% of the tender figure for price contingencies.

Implementation of Broadland Hydro Power Project

Cabinet granted approval to a memorandum submitted by the Minister of Power and Energy, W.D.J. Seneviratne for the implementation of the "Broadland" Hydro Power Project which will add 35 MW to the national grid.

The Broadland site has been identified as a potential hydro power site by the Ceylon Electricity Board (CEB) when the Master plan for electricity supply Lanka was being developed in 1989.

Accordingly, the Central Engineering Consultancy Bureau will provide consultancy services to CEB as the engineer of the CEB for the entire duration of the project implementation phase.

The Treasury has appointed a Project Committee and a Cabinet Appointed Negotiating Committee has been appointed for evaluation and negotiation of the proposals.

The Treasury will provide a sum of Rs. 575 million in the budget of the Ministry for the implementation of the project.

Accordingly Rs.100m in the 2009, Rs.150m in the 2010, Rs. 200m in 2011 and 125m in 2012 will be allocated in the respective budgets.


Anusha Palpita
Director of Government Information