STC achieves targets under accelerated program

by L. S. A. Wedaarachchi

The State Timber Corporation (STC) achieved the targets under its accelerated program based on the "Mahinda Chinthanaya" presented six months ago.

STC was earmarked by the UNP Government to be privatised. At present STC is considered a major player in housing construction and furniture industries.

The corporation saves valuable foreign exchange by supplying sleepers and transmission poles to the Railway Department and Ceylon Electricity Board (CEB).

Under the STC's accelerated program, the STC is expected to achieve short term, medium term and long term development targets aiming at self-sufficiency.

Due to overstaffing and mismanagement, STC was a liability to the treasury. During the last six months the financial situation of STC has changed for the better. Long awaited dues to the Forest Department were settled. Loopholes and shortcomings in the corporation were detected and corrupt practices eliminated. Action was taken and disciplinary inquiries are being conducted. All officers attached to an upcountry regional office have been transferred, they now face a disciplinary inquiry.

Explaining the transition to viability STC chairman S. A. Premaratna said that an annual target turnover of Rs. 2,200 million for this year (2006) can be achieved due to the visionary changes implemented by the STC board of management.

STC has an excess staff cadre of over 1,250 employees out of a workforce of 2,900. STC has implemented management development and productivity improvement programs to motivate its workforce.

According to the chairman, at present STC has been assigned for a nationally important program to supply two million plants for schoolchildren. The Ministry of Environment has already launched a project to plant four million trees with the participation of schoolchildren to mark the Environmental Day.

Under the guidance of the Minister of Agriculture Environment, Irrigation and Mahaweli Development Maithripala Sirisena, Polonnaruwa and Hambantota districts are being developed as model environmental friendly districts.

Efficient officers of the head office and in other regions have been hand picked to assist the environmental improvement projects," the chairman said.

"Cutting trees is not the only job of the STC. We are here to manage forest resource and improve the cultivation of valuable and rare trees," he said.

The foreign exchange saving on the supply of sleepers to the Railway Department is over Rs. 750 million.

The Railway Department attempted to lay concrete sleepers a few years ago but it was not successful.

The accelerated electrification projects handled by the Ceylon Electricity Board needs transmission poles. STC has extended its support by supplying transmission poles to the CEB for the success of its projects.

STC receives mature trees from the Forest Department under the forestry management plans. In addition a certain quantity of timber is being received from the lands owned by the government, government institutions, courts, Divisional Secretaries and Wildlife Department.