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DECISIONS TAKEN BY THE CABINET OF MINISTERS AT ITS MEETING HELD ON 04-07-2017

cabinet01.    Construction of the headquarters of the Civil Security Department (Subject No 06 of the agenda)



The proposal made by H.E. the President Maithripala Sirisena, in his capacity as the Minister of Defence, to obtain allocations of Rs. 42 million for the construction of the above new Headquarters in a new land of 01 acres at Moratuwa which is currently located in a rented building at Bambalapitiya with the labour contribution of Civil Security Department, was approved by the Cabinet of Ministers.


02.    Construction of detention centres to be used in disaster situations in the 25 districts (Subject No 13 of the agenda)


Currently schools and religious places of worship are mainly used as detention centres in disaster situations and use of school buildings effect badly on educational activities of children and they do not have ample facilities to be operated as relief centres. Accordingly, it has been proposed to construct common detention centres which can be used in any disaster situation.


According to a proposal made by Hon. Anura Priyadarshana Yapa, Minister of Disaster Management, the cabinet has decided to construct 100 detention centres that can facilitate 100-200 detainees covering all the 25 districts within the period of 2018-2020 and to prepare a method to utilize these buildings and resources in a fruitful manner in times which they are not used as detention centres.


03.    Macro – Public Finance Framework for preparation of budget 2018 (Subject No 14 of the agenda)



Budget 2018 is to be prepared on Performance based Budgeting. The above Macro – Public Finance Framework 2018-2020 aims to gain following targets in 2020.



(i).     Increase public income from 16.5% of GDP

(ii).    Recurrent expenditure to be 14.8% of the GDP
(iii).    Public investment to be 5.3% of GDP
(iv).   Reduce budget deficit to 3.5% of GDP
(v).    Reduce public debt to 70% of GDP




Accordingly, the proposal made by Hon. Mangala Samaraweera, Minister of Finance and Mass Media, to prepare budget 2018 based on Performance based budgeting according to midterm budget framework 2018-2020 and to determine budget limits for line ministries considering priority programmes of the government, was approved by the Cabinet of Ministers.



04.    Construction of Sports Hotel in National High Altitude Sports Training Centre (Subject No 19 of the agenda)



  It has been planned to construct a Sports Hotel in line with the construction of the above training centre and the proposal made by Hon. Patali Champika Ranawaka, Minister of Megapolis and Western Development, to transfer a land of 01 acre 01 rood and 23.69 perches which is owned by UDA located at Badulla Road, Nuwara Eliya, to the Ministry of Sports on the above purpose, was approved by the Cabinet of Ministers.



05.    Transfer of Ruwanpura Urban Children's Park constructed in Ratnapura New Town as a free grant to Ratnapura Municipal Council (Subject No 20 of the agenda)



Above children's park is built in a land of 01 acre 01 rood and 16.30 perches owned by the UDA. The proposal made by Hon. Patali Champika Ranawaka, Minister of Megapolis and Western Development, to transfer the above park to Ratnapura Municipal Council as a free grant for maintaining its tasks, was approved by the Cabinet of Ministers.



06.    Conducting an environmental impact assessment for construction of a Industrial Estate of Aquaculture in Mannar District (Subject No 21 of the agenda)



Above estate is proposed to be constructed in a land of 1491 hectares located adjacent to Wedithalathivu Sanctuary in Mannar District. Considering the proposal made by Hon. Mahinda Amaraweera, Minister of Fisheries and Aquatic Resources Development, and recommendations of the Cabinet Committee on Economic Management, the cabinet of Ministers has decided to instruct relevant officials to conduct a feasibility study and environmental impact assessment as its first step.



07.    Providing incentives for Desiccated Coconut Industrialists (Subject No 22 of the agenda)



Due to the drought prevailed from the beginning of 2017 the Coconut harvest as reduced and coconut price in domestic market has increased causing about a 25% reduction in export of desiccated coconut. Accordingly, the proposal made by Hon. Navin Dissanayake, Minister of Plantation Industries, to grant reliefs to these exporters who face difficulties in this situation using Rs. 50 million from the Coconut Mills Development Fund of the Coconut Development Authority, was approved by the Cabinet of Ministers.



08.    Researches for fruitful bio control of pests and diseases in tea cultivation (Subject No 23 of the agenda)



The proposal made by Hon. Navin Dissanayake, Minister of Plantation Industries, to sign a MoU between Tea Research Institute of Sri Lanka and Synkromax Biotech (Pvt) Ltd of India on the above matter, was approved by the Cabinet of Ministers.



09.    Importation of sheep for developing sheep farming in Sri Lanka (Subject No 26 of the agenda)



Sheep farming is done at farms of NLDB and private farms on Northern and North-western provinces but no improved categories have been developed since 1980.



Accordingly, the proposal made by Hon. P. Harrison, Minister of Rural Economic Affairs, to import 25 male sheep and 100 female sheep using Rs. 10 million which is allocated for 2017 following the proper procurement procedure, was approved by the Cabinet of Ministers.



10.    Essential welfare and livelihood development for women and children affected by floods and landslides (Subject No 30 of the agenda)



The Ministry of Finance and Mass Media has granted Rs. 75 million to Ministry of Women and Child Affairs, and other public institutions, NGOs and private institutions have provided reliefs on the above purpose.



According to a proposal made by Hon. Chandrani Bandara, Minister of Women and Child Affairs, the Cabinet of Ministers has decided to prepare a sustainable method and a mechanism for assuring continuous financial assistance for providing reliefs for women and children.



11.    World Postal Day Celebrations 2017 - Polonnaruwa (Subject No 31 of the agenda)



To mark the 143rd world postal day its national celebration will be held at Polonnaruwa under the patronage of H.E. the President on 09 October 2017 at Polonnaruwa. Programmes including renovation of 34 post and sub post offices, holding of blood donation campaigns and social services projects in divisional level, and to hold a appreciation programme for about 25000 postal staff, will be held in line with the celebrations. Above information was presented to the Cabinet of Ministers by Hon. M.H.A. Haleem, Minister of Post, Postal Services and Muslim Religious Affairs.



12.    Allocation of a land for a combined solid waste management project implemented by Chilaw Urban Council and Chilaw and Arachchikattuwa Pradeshiya Sabhas (Subject No 32 of the agenda)



The proposal made by Hon. Faizer Mustafa, Minister of Provincial Councils and Local Government, to transfer a land of 05 acres called Manaweriya Watta in Karukkuliya Grama Niladhari Division which is owned by Land Reforms Commission to the Chilaw Urban Council on a 30 year lease basis to implement the above solid waste management project, was approved by the Cabinet of Ministers.



13.    Transfer a land to Sri Lanka Police for construction of Bulathsinhala Police Station (Subject No 33 of the agenda)



The proposal made by Hon. Sagala Ratnayake, Minister of Law and Order and Southern Development, to transfer a land of about 04 acres owned by Horana Plantation Company located in Bulathsinhala Grama Niladhari Division, to construct a permanent building for the Bulathsinhala Police Station, was approved by the Cabinet of Ministers.



14.    Commencement of a Tamil medium secondary school in Mathugama (Subject No 36 of the agenda)



There are about 18 Tamil medium primary schools in Mathugama area and they have to go to schools in Horana or Kalutara for their secondary education while students who follow AL in maths and science streams in Tamil medium should go to schools in Beruwala or Darganagar zones. Hence it is essential to commence a Tamil Medium Secondary School in Mathugama area.



Considering a joint proposal made by Mano Ganeshan, Minister of National Coexistence, Dialogue and Official Languages, and Hon. Mahinda Samarasinghe, Minister of Ports and Shipping, the Cabinet of Ministers has decided to allocate a land of 05 acres owned by Namunukula Plantation Company to commence a Tamil medium secondary school in Mathugama area.



15.    Improvement of water pipe system in line with Orugodawatta – Ambathale Road Development Project (Subject No 40 of the agenda)



The Uni Credit Bank of Austria has agreed to provide 85% of the cost of above project and the rest 15% will be provide by the People's Bank. Accordingly, the proposal made by Hon. Prime Minister Ranil Wickremesinghe, in his capacity as the Minister of National Policies and Economic Affairs, to enter in to relevant loan agreements, was approved by the Cabinet of Ministers.



16.    Construction of a seventeen storied office building and four factories in lieu of buildings affected by Elevated Highway Project funded by Asian Development Bank (Subject No 43 of the agenda)



The proposal made by Hon. Lakshman Kiriella, Minister of Higher Education and Highways, to implement above constructions, was approved by the Cabinet of Ministers.



17.    Award of contracts for construction of buildings in universities (Subject No 44 of the agenda)



The proposal made by Hon. Lakshman Kiriella, Minister of Higher Education and Highways, to award contracts for following 08 scopes of work in 06 universities as recommended by TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



    Building for Bio System Technology Education and for English Language Learning Centre at Sri Lanka Eastern University

    Quarters for the staff of University of Sabaragamuwa
    Building complex for Department of Technology Education of the Faculty of Applied Sciences at the Eastern University of Sri Lanka
    Extension of the western building of the Faculty of Management and Finance at the University of Colombo
    Extension of main library building and construction ofg a building fopr the Faculty of Engineering at the University of Peradeniya
    Building for the Faculty of Medicine at the University of Wayamba



18.    Implementation of university infrastructure development projects (Subject No 45 of the agenda)



The proposal made by Hon. Lakshman Kiriella, Minister of Higher Education and Highways, to implement 14 infrastructure development projects in universities at a cost of Rs. 7640.23 million  within the period of 2018-2020 at the universities of Peradeniya, Rajarata, Sri Jayewardenepura, Sabaragamuwa, Jaffna, Wayamba, and the Open University, was approved by the Cabinet of Ministers.



19.    Construction of Accident and Intensive Care Unit and Accident Wards, Theatres and Intensive care unit of the Gampola Base Hospital (Subject No 46 and 47 of the agenda)



Above hospital with 350 beds also acts as a teaching hospital for medical students in the University of Peradeniya. Accordingly, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to award the contract for above tasks to the lowest responsible bidder i.e. M/s Electro Metal Pressings (Pvt) Ltd, as recommended by the TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



20.    Construction of Hostels for Nurses of the Sri Jayewardenepura General Hospital (Subject No 48 of the agenda)



There is a staff of about 750 nurses at the above hospital and only 200 out of them have been provided hostel facilities and bids have been called to build a new hostel for providing accommodation for another 300 nurses. Accordingly, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to award the contract for above task to the lowest responsible bidder i.e. M/s Sripalie Contractors (Pvt) Ltd, as recommended by the TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



21.    Construction of Accident and Intensive Care Unit of the Anuradhapura Teaching Hospital (Subject No 49 of the agenda)



There are 09 contractors who have presented bids for the above project. Accordingly, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to award the contract for above tasks to the lowest responsible bidder i.e. M/s Electro Metal Pressings (Pvt) Ltd, as recommended by the TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



22.    Construction of Accident and Intensive Care Unit of the Kandy Teaching Hospital (Subject No 50 of the agenda)



    There are 11 contractors who have presented bids for the above project. Accordingly, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to award the contract for above tasks to the lowest responsible bidder i.e. M/s Link Engineering (Pvt) Ltd, as recommended by the TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



23.    Construct the 10 storied building being constructed for the Ministry of Health Nutrition and Indigenous Medicine as a 16 storied building (Subject No 51 of the agenda)



Contract of constructing above building was awarded to CECB at a cost of Rs. 3896.55 million by the cabinet and constructions are underway. As it is not enough to room all the sections of the ministry, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to construct the building as a 16 storied building and to increase its cost to Rs. 5979.29 million and award the construction as agreed earlier to the CECB, was approved by the Cabinet of Ministers.



24.    Construction of National Strokes Unit at Colombo East Base Hospital, Mulleriyawa (Subject No 52 of the agenda)



There are 09 contractors who have presented bids for the above project. Accordingly, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to award the contract for above task to the lowest responsible bidder i.e. M/s RN Constructions (Pvt) Ltd, as recommended by the TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



25.    Construction of a Cardiology Unit at the Batticaloa Teaching Hospital (Subject No 53 of the agenda)



Patients have to be transferred to other hospitals due to the absence of a Cardiology Unit in the above hospital which provides treatments for numerous patients Batticaloa and adjacent districts. Hence building the above unit is considered essential.



    There are 13 contractors who have presented bids for the above project. Accordingly, the proposal made by Hon. (Dr.) Rajitha Senarathne, Minister of Health Nutrition and Indigenous Medicine, to award the contract for above task to the lowest responsible bidder i.e. M/s Ancheneye Constructions (Pvt) Ltd, as recommended by the TEC and Standing Cabinet Appointed Procurement Committee, was approved by the Cabinet of Ministers.



26.    Obtaining a loan of USD 75 million from the International Development Agency for a Financial Sector Modernization Project (Subject No 59 of the agenda)



According to the approval obtained earlier discussions have been held on the above matter and the then interest rate of 3.20% has been changed to 3.36%, and accordingly, the proposal made by Hon. Prime Minister Ranil Wickremesinghe, in his capacity as the Minister of National Policies and Economic Affairs, to sign relevant loan agreements with IDA for obtaining SDR of 55.4 million which is equal to USD 75 million, was approved by the Cabinet of Ministers.



27.    MoU between Lakshman Kadiragamar Institute of International Relations and Strategic Studies in Sri Lanka and Bangladesh Institute of International and Strategic Studies (Subject No 62 of the agenda)



The proposal made by Hon. Ravi Karunanayake, Minister of Foreign Affairs, to sign the above MoU during the official visit of H.E. the President in Bangladesh to be done in the near future for exchange benefits between the two countries in the relevant field, was approved by the Cabinet of Ministers.



28.    MoU between Bandaranaike International Diplomatic Training Institute and Foreign Services Academy of Bangladesh (Subject No 63 of the agenda)



The proposal made by Hon. Ravi Karunanayake, Minister of Foreign Affairs, to sign the above MoU during the official visit of H.E. the President in Bangladesh to be done in the near future for exchange benefits between the two countries in the relevant field, was approved by the Cabinet of Ministers.



29.    Transfer the land which Kothmale Mahaweli Maha Seya is being built to Mahaweli Cultural Foundation Trust (Subject No 64 of the agenda)


The above trust has been established to gain various objectives including completion and maintenance of Mahaweli Maha Seya.  Accordingly, H.E. the President Maithripala Sirisena, has informed that steps have been taken to grant the above land of 40 acres 03 roods and 31.6 perches to the said trust with the recommendations of the Department of Archaeology.



30.    MoU between Sri Lanka and Bangladesh on Information and Communication Technology Field and related industries (Subject No 66 of the agenda)




The proposal made by Hon. Harin Fernando, Minister of Telecommunication and Digital Infrastructure, to sign the above MoU during the official visit of H.E. the President in Bangladesh to be done in the near future for exchange benefits between the two countries in the relevant field, was approved by the Cabinet of Ministers.

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