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Sri Lanka faces challenges in mega project implementation

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More than 300 contracts connected to 35 mega projects were suspended last year, and Rs. 2.3 billion was demanded as compensation by contractors for just nine of them, the Finance Ministry’s Project Management and Monitoring Department (PMMD) says, adding there is a probability that claims will also be submitted over another 22.

A total of 37 projects achieved no physical progress during the last quarter of 2023, according to the PMMD’s latest report released last month.

Among them are 17 projects out of 33 for which foreign disbursements were stopped.  Implementation delays are reported in 41 other projects owing to the poor performance of contractors. As this issue prevails in about 20 percent of total projects, it is important to consider the performance of contractors as a criterion for the renewal of their registration to resolve the repetition of this issue, the report states.

The PMMD’s latest data come amidst strong words in the International Monetary Fund’s (IMF) Governance Diagnostic Assessment, which pointed to recurrent problems in how successive Sri Lankan governments carried out mega projects.

Citing the PMMD’s 2022 fourth-quarter report, the multilateral lender notes that the most common issue affecting implementation is the delay in receiving allocation and imprest, “which proves that projects have commenced without appropriate budgetary allocations in the annual budget.” Another was the delay in land acquisition, it states, “again showing that projects are initiated without actually being ready”.

There are also procurement-related matters, the absence of performance indicators and outputs and the poor performance of contracts. And the Ministry of Finance “lacks basic information on projects, including the expected revenues and the potential cost of early termination given the limited data provided on projects and problems accessing necessary data”.

The PMMD’s new report says that delays have been a common practice, with “no evidence reported on actions taken against the responsible parties who have not taken appropriate steps for time management in projects, resulting in the failure of economic plans formulated based on the expected benefits of projects”.

The time period agreed upon for delivering outputs in an astounding 99 projects had lapsed at the end of last year while 20 of them obtained extensions beyond four years. Thirteen projects have not met even 25 percent of the expected target, even after more than half the project period, the PMMD notes.

For the first time, the PMMD has identified 30 projects that faced major implementation delays, including the Irrigation Ministry’s Uma Oya Multipurpose Development Project, which was inaugurated this week after ten extensions.

Another flagged project is the Irrigation Ministry’s Asian Development Bank-funded Mahaweli Water Security Investment Programme, the scope of which was drastically reduced by withdrawing 11 out of 21 packages owing to failure to execute them within the planned timeframe as well as the inability to begin new contracts in a restricted financial situation.

“The most complex tunnel construction package, which is currently ongoing and achieved about 20% progress, should be completed within 18 months and the balance loan amount of USD 159 million should be disbursed during this period Otherwise, that loan amount will be cancelled without any use.” the PMMD warns.

(sundaytimes.lk)

(Except for the headline, this story, originally published by sundaytimes.lk has not been edited by SLM staff)

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Body of undergrad who went missing at Port City beach, found (Update)

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The body of the undergraduate who had gone missing at the Port City beach, has been found.

The body was found during a search by divers.


(Previous News on 27th June 2025 at 10.06 am)

Undergrad goes missing at Port City beach while snorkeling

A 24-year-old university student from Asgiriya, Gampaha, has gone missing yesterday morning (June 26) while swimming in the sea off the Colombo Port City beach.

According to the police, the student, a resident of Gampaha, was part of a group of students from the Universities of Colombo and Moratuwa who had visited the artificial beach and engaged in snorkelling.

The student failed to resurface, prompting a complaint to the Colombo Port Police.

Lifeguards later recovered the snorkeling gear believed to be belonging to the missing student.

A joint search operation involving Navy divers from the Colombo Port and Rangala Navy Division is currently underway. Further investigations are underway by the Colombo Port Police.

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Missing NPP members of Weligama PS, resurface (Update)

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The 2 NPP members of the Weligama Pradeshiya Sabha, who had gone missing earlier today (June 27), have been found at the Unawatuna beach in Galle.

According to police, they are unharmed.


(Previous News on 27th June 2025 at 12:15 pm)

2 NPP members at Weligama PS go missing (Video)

Tensions erupted at the Weligama Pradeshiya Sabha today (June 27) after 02 National Peoples’ Power (NPP) members were reportedly abducted.

The incident had occurred just before a scheduled vote to elect a new chairman.

The members, who were en route to attend the session, have reportedly gone missing, prompting the suspension of proceedings.

It has been proposed to proceed the council session if the missing members arrive.

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SL squad named for ODI series against Bangladesh

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The Sri Lanka Cricket Selection Committee has selected the following 16-member Sri Lanka squad to play in the upcoming ODI series vs. Bangladesh. 

The ODI series will be played on the 2nd, 5th, and 8th of July. 

The first two ODIs will be played at the RPICS, Colombo, before the series moves to the PICs, Pallekele, for the final game.

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