November 12, 2018

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    Decisions taken by the Cabinet at its Meeting held on 2014-09-18

    September 18, 2014

    01.    Establishment of a Human Heart Valve Bank - it is estimated that approximately 2500 to3000 children are born with congenital heart defects in Sri Lanka annually and around 2000 of them need corrective surgery. The current practice in Sri Lanka is to use imported bovine grafts (Tissue valves) which cost about Rs. 300,000/- per graft which is borne by the Government. With the rapid advancement in healthcare offered to children with heart diseases in Sri Lanka, the establishment of a Human Heart Valve Bank to provide cardiac valves and tissues necessary for valve replacement and repair of some of the congenital and acquired heart diseases has become a priority. The process of establishing a Human Heart Valve Bank had been initiated through the Children's Heart Project of Sri Lanka and the Oxford Tissue Bank has already agreed to provide the necessary technical support and advice for the purpose. The proposal made by Hon. Maithripala Sirisena, Minister of Health, to establish a Human Heart Valve Bank at the Lady Ridgeway Hospital in Colombo at a cost of about Rs. 30 million, was approved by the Cabinet.

    02. Agreement on Establishment of Inter-Governmental Commission on Trade, Economic, Scientific and Technical Cooperation between the Government of the Democratic Socialist Republic of Sri Lanka and the Government of the Russian Federation - the two way trade between Sri Lanka and Russia has been increasing over the years. Sri Lanka's exports to Russia have increased from US $11.6 million in 2001 to US $279.91 million in 2013while Sri Lanka's imports from Russia have increased from US $3.7 million to US $145.85 million during the same period. The proposal made by Hon. Rishad Bathiudeen, Ministry of Industry and Commerce, to enter into an Agreement on establishment of the Inter-governmental Commission on Trade, Economic, Scientific and Technical Cooperation, to enhance cooperation between the two countries in the said fields, was approved by the Cabinet.


    03. Provision of Seed Paddy to Farmers who suffered cultivation losses due to Drought - due to the prolonged drought conditions prevailing from the beginning of this year, crop cultivation in many parts of the country has been affected and it has been observed that farmers experience difficulties in procuring seed paddy in sufficient quantities to commence cultivation for the next Maha Season. The proposal made by Hon. Mahinda Yapa Abeywardena, Minister of Agriculture, to purchase seed paddy by the Department of Agriculture, from seed paddy producing farmers as well as from private sector seed paddy producers to meet the shortfall of the supply and distribute same among the drought affected farmers on cost recovery basis, was approved by the Cabinet. 


    04. Divineguma National Development Programme - Phase VI - 2014 - Supply of Vegetable Seeds and Fruit Plants - the proposal made by Hon. Mahinda Yapa Abeywardena, Minister of Agriculture, to procure vegetable seed pouches, fruit plants and other agricultural crop plants for the Divineguma National Development Programme, from nurseries of the Department of Agriculture and private owned nurseries registered with the Department of Agriculture at rates approved by the Department, was approved by the Cabinet. 


    05. Cost variations of the Contracts for the Reconstruction of Rallway Lines in the Northern Province of Sri Lanka under the Indian Line of Credit Agreement - reconstruction work of the Omanthai - Pallai and Madawachchiya - Madhu Road railway line has been completed and the train services have been restored. Presently, Madhu Road - Talaimannar railway track and the Signal and Telecommunication services are under construction. The proposal made by Hon. Kumara Welgama, Minister of Transport, to revise the original cost estimates of the above, was approved by the Cabinet. 


    06. Bilateral Air Service Consultations between Sri Lanka and Azerbaijan - the proposal made by Hon. Piyankara Jayaratna, Minister of Civil Aviation, to sign the above Air Services Agreement between the Government of Sri Lanka and the Government of the Republic of Azerbaijan, was approved by the Cabinet.


    07. Transfer of land owned by Janatha Estate Development Board in Pallai, Jaffna to the Coconut Cultivation Board - the proposal made by Hon. A.P. Jagath Pushpakumara, Minister of Coconut Development and Janatha Estate Development, to vest the land of about 600 acres in extent, adjoining the Tharmakerni Model Coconut Park, Pallai, Jaffna, belonging to the Janatha Estate Development Board, with the Coconut Cultivation Board, to establish a Model Coconut Park and for related activities, was approved by the Cabinet. 


    08. Thambuttegama Water Supply Scheme - Plant & Design-build Contract for the Civil and M&E Works - this project is to enhance the pipe borne water supply coverage for safe drinking water to 42 Grama Niladhari Divisions in Thalawa, Thambuttegama and Galnewa Divisional Secretaries' Divisions. The proposal made by Hon. Dinesh Gunawardena, Minister of Water Supply and Drainage, to implement the above water supply project and to award the contract as recommended by the Standing Cabinet Appointed Procurement Committee (SCAPe), was approved by the Cabinet. 


    09. Kiriibbanwewa Water Supply Project and Badalkumbura - Alupotha Water Supply Project - the proposal made by Hon. Dinesh Gunawardena, Minister of Water Supply and Drainage, to invite technical and financial proposals for the implementation of the Kiriibbanwewa Water Supply Project and Badalkumbura - Alupotha Water Supply Project, to appoint the Project Committee to evaluate such proposals to be received and to submit the recommendations of the Standing Cabinet Appointed Procurement Committee (SCAPC) to the Cabinet for consideration, was approved by the Cabinet. 


    10. Greater Colombo Waste Water Management Project (GCWMP) funded by Asian Development Bank - Additional Work under Design, Supervision and Management Consultancy (DSC) Contract for Design and Supervision Consultant - the Government of Sri Lanka has received a loan of US$ 116.63 Million from the Asian Development Bank for the Greater Colombo Waste Water Management Project to improve the urban environment by rehabilitating the sewerage system and thereby enhance the public health facilities of the residents of the Greater Colombo area. The proposal made by Hon. A.L.M Athaullah, Minister of Local Government and Provincial Councils, to award the additional consultancy work of the above as recommended by the Cabinet Appointed Consultancy Procurement Committee (CACPC), was approved by the Cabinet. 


    11. Nagamu Purawara 2014 - Third Phase Renovation of Multi-storeyed Housing Schemes and installing Infrastructure Facilities - the Government has allocated Rs. 1878 Million to the National Housing Development Authority for the modernization of Multi-storeyed Housing Schemes and provision of infrastructure facilities. It is expected to carry out renovation work of the following 12 housing schemes under the 3rd phase of "Nagarnu Purawara": 


    Saunders Place Housing Scheme                                            57 houses;
    Anderson Housing Scheme                                                    816 house;
    117 Watta - Elvitigala Housing Scheme for low income earners  32 houses;
    Kandawalawatta Housing Scheme     72 houses;
    Mayura Place Housing Scheme Wellawatta      -                        24 houses;
    Torrington New Housing Scheme - Phase IV   --                      48 houses;
    797 Watta Housing Scheme (Phase II) -                                 116 houses;
    Vipulasena Mawatha Housing Scheme, Shops and Office complex - 52 houses and 20 shops
    Restoring drain system, Mahawatta –                                     20 houses
     St Anthony's Housing Scheme,  Kollupitiya  -                         64 houses;
    Mattegoda Housing Scheme -                                                1122 houses; and
    Ranpokunagama Housing Scheme -
    Completing the remaining work of the sewage treatment plant  - 322 houses

     

    12. Supply of Medical Equipment to the Medical Faculties of Rajarata and Eastern Universities and the Faculty of Allied Health Sciences of the University of Peradeniya - the Faculty of Medicine and Allied Health Sciences of the University of Rajarata, the Faculty of Healthcare Sciences of the Eastern University and the Faculty of Allied Health Sciences of the University of Peradeniya are newly established faculties and it is proposed to uplift their standards in keeping with the other National Universities of the country by the provision of the required equipment and accessories for teaching and learning activities. The proposal made by Hon. S.B. Dissanayake, Minister of Higher Education on the recommendation of the Cabinet Appointed Procurement Committee (CAPC), to proceed with the related activities, was approved by the Cabinet.


    13. Project for Relocation and Development of the Institute of Technology - University of Moratuwa - objectives of this project are to resolve the issues between the University students and the students of the Institute of Technology, established within the University of Moratuwa, and to develop the National Diploma Technology Programme which enjoys higher national and international demand and to expand it enabling an increase in the student intake. It is also proposed to accommodate the students from the technology stream expected to enter universities from 2015, by implementing this project. The proposal made by Hon. S.B. Dissanayake, Minister of Higher Education on the recommendation of the Cabinet Appointed Procurement Committee (CAPC), to proceed with the related activities, was approved by the Cabinet. 


    14. Provision of Infrastructure Facilities for the Universities to facilitate the additional intake of students for 2013 - the proposal made by Hon. S.B. Dissanayake, Minister of Higher Education, to award the contract for the construction of a five storied new building for Lecture Halls, Reading Rooms and Multipurpose Auditorium for the University of Colombo School of Computing, to the lowest evaluated responsive bidder as recommended by the Standing Cabinet Appointed Procurement Committee (SCAPC), was approved by the Cabinet. 


    15. Implementation of Towns East of Colombo District Water Supply Project Package 1 and Bentota Water Supply Project - Cabinet approval has already been granted for the implementation of 34 Water Supply Projects at a cost of Rs. 10.095 billion with financial assistance from Local Banks. The proposal made by H.E. the President, in his capacity as the Minister of Finance and Planning, to authorize the Water Supply and Drainage Board, to proceed with the activities relating to the loan arrangements for the implementation of the following Water Supply Projects, was approved by the Cabinet. 


    * Towns East of Colombo District Water Supply Project Package 1; and
    * Bentota Water Supply Project


    16. Appropriation Bill for the Financial Year 2015 - the General Treasury has conducted Budget discussions with Ministries, Provincial Councils and other stakeholders and accordingly budgetary provisions have been made taking into consideration of the total resources available in the medium term 2015-2017, giving priority for timely completion of ongoing development activities and new development projects identified for implementation during the medium term, based on the priorities identified during the above discussions. Within the medium term 2015-2017, the total estimated revenue of the Government for, 2015 is Rs.1,713 billion and total Government expenditure for 2015 is estimated to be Rs.3,053 billion. The expected fiscal targets to be achieved in 2015 under the medium term 20 15-20 17 are as follows: 

     

                                                                                         2014    2015    2016    2017

                *            Public Investment (% of GDP)          6.0       6.5       6.5       6.5

                *            Budget Deficit (% of GDP)               5.2       4.4       3.6       3.0

                *           Total Public Debt (% of GDP)           75.0     71.0     68.0     65.0

                *           Economic Growth Rate                      7.8       8.2       8.3       8.4

                 *          Inflation                                              6.0       5.5       5.0       5.0

    The proposal made by H.E. the President, in his capacity as the Minister of Finance and Planning, to proceed with the related activities, was approved by the Cabinet.

     

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