Cabinet DECISIONS

Agricultural Cooperation MoU with Israel

A Memorandum of Understanding (MoU) will be signed with Israel for Agricultural Cooperation on a proposal by Minister Mahinda Yapa Abeywardene.

Israel is the country which has achieved a highest agricultural development amidst a non-conducive climatic pattern.

The MoU will facilitate capacity building and transfer of know how and exchange of technical and scientific knowledge between the two countries.

Increased salary, allowances employees

The 2011 Budget proposed a five percent special allowance of the monthly salary to all employees and a provision of Rs 600 cost of living allowance for non-staff grade employees.

The cost of living allowance of Rs 600 for staff-grade officers will be effective from July 2011.

It also proposed a CoL allowance of Rs 300 to pensioners.

The Cabinet on a proposal by President as Finance Minister decided to issue the Circular for the implementation of these provision in respect of all staff in the public service, Public Corporations, Statutory Boards and Foreign funded projects.

Urban Development Act

The Government intends to increase the total investment during the next 10 years to exceed 40 percent and as such facilities have to be provided to encourage private and foreign investments by 30 percent.

One percent of construction cost, other than for construction of houses, has to be paid to the Urban Development Authority. Cabinet approval was granted to do away with the one percent payment and repeal the relevant Gazette 1538/24 dated February 27, 2008 with the intention of promoting investment.

Relief for resettled families

The Moragahakanda and Kaluganga development projects were inaugurated in 2007 to remedy the severe water shortage for agriculture in the North Central Province and to provide drinking water to the people in Anuradhapura, Polonnaruwa, Trincomalee and Matale Districts.

Construction activities related to Kaluganga Reservoir is in progress. Due to the construction of these reservoirs, about 2,378 affected families have to be resettled. According to the resettlement plan, it is proposed to allocate 0.60 hectares of irrigated land and 0.20 hectares of homestead for a family to be resettlement.

Cabinet on a proposal by Minister Nimal Siripala de Silva granted approval to implement this resettlement project.

The cost of Rs 111.8 million estimated for the project will be managed within the Medium Term Budgetary Framework 2011.

Name change

The Cabinet decided to change the names of all public enterprises that begin as Ceylon with the word Sri Lanka.

Cabinet authorized the Finance and Planning Ministry to take this matter with the Legal Draftsman and to prepare legislation in a single Bill to change the names all such Statutory Boards and public corporations.

Accordingly institutions such as Ceylon Electricity Board will be known as Sri Lanka Electricity Board.

Scholarships to foreign students

The Cabinet gave its approval in principle to provide 100 scholarships to foreign students in the country on a proposal by Higher Education Minister S B Dissanayake.

A policy framework and an action plan is to be prepared by the Ministry.

Formal disciplinary inquiry

The Cabinet accepted the recommendation of the Sub-Committee on Establishment Matters to recover at least 25 percent of the cost of the disciplinary inquiries or Rs 30,000 whichever is less to be recovered in not more than 24 installments when an accused public officer is found guilty.

This will be in addition to other punishment imposed as disciplinary order.

Infrastructure facilities

The Government has observed that the lack of space for academic activities and also non-availability of basic facilities in the Wayamba University to retain qualified academic staff is affecting the quality of study programs in the University.Cabinet approval was granted to a proposal by Higher Education Minister S B Dissanayake for the construction of the following:

Four storied building stage II of the Faculty of Agriculture and Plantation Management at Makandura - total cost Rs 125 million.

Provision of hostel facilities for the students at Makandura (two hostels) and Kuliyapitiya (one hostel) - total cost Rs 69 million for each hostel.

Provision of hostel facilities for the Academic Bachelor Staff at Makandura and Kuliyapitiya - total cost Rs 49 million for each hostel.

Railway Bridges reconstruction

On a proposal by Transport Minister Kumara Welgama, Cabinet approval was granted for the supply of six railway bridges and other items from M/s Transurb Technical for Wellawatta, Dehiwala Double Line, Angulana, Navatkuli, Polgahawela and Narahenpita.

The total cost to be incurred for this is Euro Million 4,800,223.00 of which Euro Million 3,981,178.70 will be provided under Belgium assistance.