COLOMBO: Reacting to signals from the Sri Lankan government that it is opting out of the May 2019 trilateral Memorandum of Cooperation (MOC) between Sri Lanka, India and Japan to build and run the East Container Terminal (ECT) at the Colombo Port, the Indian High Commission said on Monday that it expects all parties to adhere to the MOC.
“ I would like to reiterate the expectation of the Government of India for the expeditious implementation of the trilateral Memorandum of Cooperation (MOC) signed in May 2019 among the Governments of India, Japan and Sri Lanka for the development of ECT with participation from these three countries,” a statement issued by the spokesman of the High Commission said.
“The commitment of Government of Sri Lanka in this regard has been conveyed several times in the recent past, including at the leadership level. The Sri Lankan cabinet also took a decision three months ago to implement the project with foreign investors. All sides should continue to abide by the existing understandings and commitment,” the spokesman added.
When asked if India would accept a reported suggestion from a government minister Dr.Nalaka Godahewa, that foreign entities could build the West Container Terminal (WCT) instead of completing and running the ECT, the spokesman said that the Indian mission had not been informed about any such proposal.
Last weekend, Dr. Godahewa, who is the State Minister for Urban Development and Coast Conservation and is a key member of the think tank Viyathmaga close to President Gotabaya Rajapaksa, said that he and Dr.Priyath Bandhu Wickrama had talked with the protesting port workers’ unions and that he agreed with them that the government should develop the East Container Terminal on its own.
Godahewa pointed out that this was in the election manifesto of the ruling Sri Lanka Podujana Peramuna (SLPP).
The unions had been insisting that the ECT should not be given to any foreign entity. They pointed out that the ruling party had mentioned it in its election manifesto. The unions were backed by leading Buddhist monks as well as a number of political parties both within the ruling coalition and outside.
After meeting the unions, Dr. Godahewa met President Gotabaya on the same day and briefed him about the “sensible and positive nature” of the union’s proposals. Dr. Godahewa highlighted that unions’ proposals were aligned with the President’s pre-poll Vistas of Prosperity and Splendour policy statement.
“According to our policy, we were of the view that the ETC should be developed by the Government, and it is the same today, too. But we are also not against foreign investments. Our stand is that we need local and foreign investment for the rapid development of our country. Accordingly, the President’s policy statement clearly mentions that the Government will invite foreign investments for the development of the Colombo Port, other than East Container Terminal.”
“We want everyone to not misunderstand and interpret our position as being against foreign investment in other development projects. On the ECT issue, we are very clear that it should be developed by our Government.”
Dr. Godahewa told The Island daily that as per the original Asian Development Bank’s proposal, the government was to develop the ECT on its own. However in May 2019, the previous government had agreed to let India and Japan participate in it albeit as minority stakeholders. Dr. Godahewa said that the government could engage those (foreign investors) interested in investing in the proposed West Container Terminal and added that President Gotabaya and the trade unions were on the same page as regards that.
According to Shipping expert and CEO of Shippers’ Academy, Rohan Maskarola, it makes no sense to prevent India or any other country from participating in the development of the ECT while inviting foreign entities to build the West Container Terminal, if keeping national assets in Sri Lankan hands is the goal.
Source : The Citizen
