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November/December 2004
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   EDITORIAL
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Kandy Unites for a Common Cause

In our highly politicized society where the motto is “Divided We Stand” it is nice to see an event that cuts across party lines and brings people together in a common endeavour. We refer to the meeting that Mayor Kesara Senanayake summoned to discuss the rehabilitation and conservation of the Kandy Lake that we report elsewhere in this edition of the newspaper. The lake is near and dear to all of us. It is the Lake more than anything else that allows us to boast that Kandy is one of the most beautiful cities in the world. It is probably not an exaggeration, but only if we are able to preserve it the way it is. The truth is we are not doing a particularly good job of it. Perhaps the Kandy Lake Project, the new car park and such other things that are planned for the city would be the beginning of a serious effort to do a better job.

Reverting back to the meeting on the lake, we are happy that it took place. As mentioned above it was on a very important issue for our city. But there are more reasons for our satisfaction. In our bitterly divided society the UNF mayor, his deputy and the councilors on their side have joined hands with their opposite numbers in the UPFA, Governor Monty Gopallawa who also traces his politics to the latter party, and district parliamentarians and other elected officials from all political hues to give leadership in unity for the project. As a concrete expression of that unity of purpose Governor Gopallawa announced a generous grant of Rs 65m from the UPFA government for the project.

The senior officials, especially the Director of Irrigation Mrs. Y G M C Godaliyadda, also have risen to the occasion. Engineer Godaliyadda was forthright in her explanation of the problems concerning the Kandy Lake. Without any hesitation she told the meeting that a variety of institutions and private individuals, among whom are some of the richest, most powerful, most prominent, most educated members of the Kandy citizenry were responsible for the pollution of the lake. Her figures showed that Rs 85m were available for the rehabilitation program. However, another R 144m at 1999 prices would be required to complete the work. Given inflation in the last five years, the figure probably is at least one-third more today. All the senior officials who spoke admitted that the job could not be properly done without an Environmental Impact Assessment (EIA) and that such an assessment would be done without delay. We urge them to deliver on that promise.

One other pint that needs a comment is Mrs. Godaliyadda's passing reference to the proposed sewerage project. Her point was that the long-term conservation of the Kandy Lake was inextricably linked to the construction of the Kandy sewerage system and purification plant. Like the battle of the sites for the Peradeniya University in the 1940s, this too is now mired in a battle of the sites. In the case of the university people were fighting to have it in their own area. Understandably in the case of the sewerage project people are fighting to have it in somebody else's area. But this issue must be resolved as quickly as possible.

Finally, and most importantly, in summoning this meeting Mayor Senanayake has done something that few public officials, elected or appointed, rarely if ever do, and that is consult the public on important issues. Parliamentarian Dimuthu Abeykoon was absolutely right to note that this should be the first of such consultations.

This newspaper firmly believes that democracy becomes meaningful only when the citizenry is given a chance to voice its opinion between elections. Mayor Senanayake has done exactly that in this instance. We would like to see this good habit being repeated not only on some what innocuous subjects such as the Kandy Lake but also on more controversial but equally important issues such as traffic new buildings in the town centre, and preservation of old buildings. May be the mayor, governor and others should have the next public meeting on the sewerage project. After all as the Director of Irrigation noted, without the sewerage project the Kandy Lake is doomed in the log run.


Railway Authority Must Not be Abolished

The Railway Unions, backed by the PA and the JVP when the latter two were in opposition in 2003 bitterly opposed Ranil Wickramasinghe's move to establish the Railway Authority. It was described as a “reactionary” move with a hidden agenda to privatize the railway. During the last general election the UPFA made a promise to abolish the Authority and make the Railway again function as a government department. Now the Unions are pressing the government to do what they promised. I suspect that the government is under orders from the World Bank and other donors not to do it. This is a stupid promise that the UPFA leadership made to win votes, and I hope they won't keep their promise for the sake of the country in general and the railway users in particular. As I show below even the railway workers would benefit from a well functioning Railway Authority.
To describe, as UPFA politicians did, the establishment of the Railway Authority as a “reactionary” move is hilarious to put it mildly. A “reactionary” move is one that opposes progress or reform. In that sense to assess whether creating the Railway Authority is reactionary or not, one must ask two questions. First, did the Sri Lanka Railways (SLR) do a good job of providing an efficient service to the country? Second, if not what needs to be done to reform the railway?


Kandy Railway Station

The answer to the first question is simple. The CGR in recent decades has done an absolutely lousy job. Those of us who traveled on trains in the 1950s and 1960s recall clean trains running on time. But today in every respect the train service has deteriorated to an unbelievable degree. One would expect additional services with the growth of population and the opening of new regions such as the Mahaweli area. No such thing has happened. There has been an increase in commuter traffic in the Colombo metropolitan area but the main reason for that is the absurdly low fare structure that makes trains more attractive than buses. In general the trains, especially the long distance services, are not punctual; carriages are dirty, and most important the accident rate has risen sharply.

Although Finance Minister Sarath Amunugama did not mention the Railway among the five money-eating state agencies that he wanted to be rid of, SLR deserves to be in that company. In 2003, for example, its total income was Rs 1,321m and its total recurrent expenditure was Rs 3,383m resulting in an operating loss of Rs 2063m that the treasury had to provide from tax money. An additional Rs 1437m was given by the government to SLR for capital expenditure. Consider some of the implications of this situation. The main beneficiaries of this huge subsidy are Colombo railway commuters, by no means the poorest in our country. One can make a case in terms of social benefits for some subsidy to make city workers live in villages and travel to Colombo for work. If not many of them will try to move to Colombo leading to urban overcrowding. But such a subsidy should be decided more rationally. Certainly there is no case for a subsidy for long distance travel which the present fare structure provides.

The Central Bank (Annual Report 2003, p. 126) accurately attributes this sad state of affairs in SLR to “insufficient investment in track maintenance, lack of locomotives and compartments, weak signaling systems, management deficiencies, overstaffing and irrational fare policies …”

Not many members of the public may know that the legislation to establish the Railway Authority was passed in 1993 under the D B Wijetunga administration. But it did not come in to effect until it was gazetted in 2003 by the Wickramasinghe administration. But even that was only a half measure because section II of the Act relating to employees was not put into operation under union pressure.

The case for a Railway Authority is simple. The Railway as a government department has totally failed to perform despite several attempts at “reform.” The railway needs a flexible management to take some key decisions. For example, the SLR holds some of the most valuable real estate in Colombo and elsewhere. A good portion of it in Colombo is used as a yard for discarded rolling stock. Some of that land that is now wasted can and should be privatized and the funds that are raised should be used to capitalize the railway and embark on a major revitalization program. An independent railway authority under right management appointing government officials under a new title or appointing political henchmen is not right management - will be able to do a lot for the country, railways users and the employees.

Those who oppose Railway Authority fear that this is the first step to privatization. If a privatized railway can do better than SLR the country will benefit from it. But I doubt that. Privatization of British Rail has not produced very good results. Also the world over, railways generally run under some form of state control and with state subsides. This is true even of the US rail system Amtrak. Thus what is need for our country is a semi-autonomous agency such as the Railway Authority under dynamic and forward looking management.

The railway currently has about 16,500 permanent employees and about 1,000 casual employees. They oppose the Railway Authority because they probably feel insecure. This is the outdated attitude of government employees who get comparatively low salaries working in inefficient loss-making state enterprises. In reality they would be better off under a more efficient and expanded railway system. But they obviously prefer the present lethargic system that prevails in SLR. UPFA politicians supported them to gain a few votes. But now they are in a quandary. They promised the country a better railway but now they have to choose between the narrow and shortsighted self-interest of 17,000 union workers and the people of this country.

Sam S

 

 

 

   

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