Rs 50 billion and counting

Ruwan Wijewardene on why the Defence Complex won't be completed until 2017 and why it will cost more than the Mahaweli Project:

State Minister for Defence, Ruwan Wijewardene in a candid interview with the Sunday Observer said although construction work of the Defence Complex in Pelawatte was temporarily halted, after discussions were held with the relevant authorities it was decided to continue with the project while construction procedure was being streamlined. He also said costs had skyrocketed threefold the original estimate and revealed that the project was now phased out.

by Dhaneshi Yatawara

Q: You recently said the Government will re-invite tenders for the Defence Complex construction in Pelawatte. What is the status of the construction of this project at present?

A:The Government is calling for tenders. Now we have to streamline the project following proper procedure. We are definitely going ahead with the project.

Previously, decisions were made in an ad hoc manner resulting in wastage. A lot of questions were raised over the old procurement procedure and also as to where all the money went.

That is why Prime Minister, Ranil Wickremesinghe and Finance Minister, Ravi Karunanayake intervened and temporarily halted the project. Later following discussions with the Secretaries of the Ministries of Finance and Defence, a decision was taken to go ahead with the project.

Q: Has the Government identified where the wastage was stemming from?

A: The wastage was due to ad hoc decisions made on procurement. There were no tender procedure and numerous ad hoc decisions had been taken. That is why a lot of wastage has come about.

Cabinet approval was given for Rs. 20 billion for the project but the cost is now around Rs. 42 billion, only for the first phase of the project. There are two more phases that have not started as yet.

Overall we are looking at a project that costs over Rs. 50 billion. It looks like the cost is going to be more than the Mahaweli Irrigation Project.

After selling the land where the Army Headquarters was located to Shangri La - CACTIC , the money was deposited in a private account by the former Defence Secretary. Being a government official this is a violation. According to government Financial Regulations, the money should have gone to the Treasury. Money was also released from that account and that too is not proper procedure.

Q : Are the project funds being transferred to the Treasury?

A: Yes the money is transferred to the Treasury.

Q: The Sunday Observer reported last week that the construction seems to have commenced, despite the previously given order to halt construction. How is the money being released?

A: It is through the Treasury. Initially the Finance Minister made a statement saying that the project was halted. Later the Prime Minister, Finance Minister, Secretaries to the ministries of Finance and Defence came to a decision to continue with the project.

We are phasing out construction of the project because of the high cost it has incurred.

The Government does not have the money to complete the project as scheduled. It will take a longer time. We are targeting early 2017 for the first phase to complete.

Q: Besides the Defence complex investigation there are several other fraudulent military procurement matters. What is happening to these?

A: The CID has been directed to conduct investigations, especially on Rakna Lanka and Avante Garde weapon procurement, maintaining floating armouries.

I think the report is due next week. It is being closely monitored by the President and the Prime Minister.

To streamline military procurement, what we first did was to change the Board of Directors of Lanka Logistics and Technologies Ltd. - a fully government owned entity under the purview of the Defence Ministry. A new Board will be appointed soon.

Q: During your visit to the North you intervened in the land issue in the Jaffna peninsula. You said that military camps will remain. The Northern Chief Minister responded belligerently over the issue. Don't you think your comment triggered chaos in the Northern Provincial Council?

A: After the elections, certain elements were spreading rumours saying that the Government was going to take all the Army camps from the North and downsize the number of troops. These rumours affected the Armed Forces.

My first visit to Jaffna was to meet the troops and ensure them that that was not so. What I saw during my visit was that to release lands to civilians, we did not need to remove the camps. The Army camps have enough space to operate. There is enough land surrounding Army camps, which are used for cultivation and farming by the troops, particularly in the Palali area.

What I told the then Northern Army Commander during discussions was the possibility of releasing these lands. Then he said they can release nearly 600 acres and can increase it up to 1000 acres.

On my return to Colombo I conveyed the message to the President and the Prime Minister.

I believe the Northern Provincial Council and the Chief Minister must have understood my message in a different way thinking we were not going to release lands as we said that we will not reduce the number of troops. What I actually said was that we can release lands without removing camps.

Q: How many service personnel do you need, according to security assessments, to make the North safe?

A: I think we have to reassess the situation. A policy has not been taken to downsize the existing number of troops in the North. This is an issue where the President and the Prime Minister need to look in to.

Q: Six years have passed since the war ended and no policy decision has been taken to do a security assessment. Today terrorism is no more. And the North should not have security threats. What is the delay?

A: There is no terrorism threat. But there are social issues especially related to robberies and alcoholism.

Q: But isn't that the responsibility of the Police?

A: Yes that is true. We need to wait until the Police is established. At the moment the Army is assisting the Police in their duties as the necessity arises. As soon as there is a fully fledged adequate police force, the Government will be in a position to phase out the number of service personnel.

Q: Isn't the Government bringing in various justification stories just to maintain a large number of troops in the North?

A: No. We don't seek any justifications to keep the security forces there. National security is paramount. We have to make decisions according to the requirement of national security. As of now we do need to reassess the situation.

Q: What will be the future of the Palali Air strip. Will it be operated for civil aviation or will it be only confined to military operations?

A: Right now the operations will continue as it is. There are future plans. The Government is keen on promoting tourism in the North and definitely there is a need for a domestic airport.

Prime Minister Ranil Wickremesinghe is concerned about developing tourism in the area as a part of the economic development plan. If the potential is there, the Government might consider even developing it as an international airport.

Q: Former President Mahinda Rajapaksa has complained about his security detail being reduced. Has the present Government taken such a decision? Has the entitled security level provided to the former President been reduced?

A: Well that is a decision taken by the Presidential Security Division coming under the Ministry of Public Order. I believe the entitled security is provided to the former President. But we have to see the real situation. I as the State Minister of Defence do not travel even with a back- up vehicle.

I travel in my own vehicle with one or two security guys. There is no need to surround yourself with back- up vehicles. There is no need at all as there are no terrorist threats.