The Moragahakanda – Kaluganga Agricultural Development Project was started in the year 2008. It has been identified that in the implementation of this project 1,747 families belonging to 12 Grama Niladhari Divisions in the Na-ula Divisional Secretariat Division, and 907 families belonging to 11 Grama Niladhari Divisions in the Laggala Pallegama Divisional Secretariat Division will get affected.

However, due to the delay inf implementing the project by 8 years the undermentioned problems have resulted.

• As a result of new marriages that had taken place among the affected families, 224 new families have got added to    the number of affected families
• The newly added families refusing to settle down in the Medirigiriya area are leaving the present area
• 345 families which agreed to go to Medirigiriya area for resettlement now refusing to go for resettlement in the        Medirigiriya area (2007)
• It has become necessary to provide alternative lands to the newly added families and the families that refuse to go    for resettlement in the Medirigiriya area

Accordingly, the Cabinet of Ministers approved a proposal made by the Ministry of Mahaweli Development and Environment to acquire land from the relevant area as well as from lands belonging to State Plantation Companies and allocate them to the affected families, to provide compensation to the relevant affected families for the lands belonging to them, and to provide assistance to these families to construct houses in the alternative lands.