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In Parliament on Thursday
Budget Debate Committee stageday - 6th Day
Votes of the Ministry of Housing and Urban Development

'Big difference between UNP housing programmes and governments'

By Walter Nanayakkara and Lishanthie Siriwardena

Parliament met at 9.30 a.m. Thursday 26, November 1998, with Speaker K. B. Ratnayake in the chair.

Speaker announced to House that he endorsed the Certificate on the Inland Revenue (Amendment) Bill.

After presentation of reports, papers, petitions and after Ministers answered oral questions the House sat in committee to consider the votes of the Ministry of Housing and Urban Development.

Imitiaz Bakeer Marikar (UNP - Kalutara District moved a cut of Rs. 10 from the votes of the Ministry of Housing and Urban Development.

He said Deputy Minister of Finance in his Budget speech said there were 150,000 shanty dwellers in the entire island and 55,000 out of that number lived in the city of Colombo.

The Minister also mentioned of a joint stock company with BOI status and a transfer to the company a total area of nearly 500 hectares on which the shanty dwellers live, after shifting them to alternative sites.

I see some danger in this programme. The Minister set apart Rs. 100 million for the clearance of the shanties.

You are going to obtain money for the project by selling the land occupied by shanty dwellers to the proposed joint stock company for urban development activities.

I don't see any sense shifting the people living in shanties to areas at the whims and fancies of politicians. The proposed relocation will upset the lives of the people involved who had earned their living in the city for so long.

The Rs. 100 million will not be sufficient to build more than 200 houses.

You have completely politicised the housing programme. The Minister has given strict orders to officers to stick to the quotas set out for members of the ruling party and the members of the provincial and divisional administrations.

Government is taking steps to prosecute holders of housing units in government housing schemes who are unable to pay back their dues.

I appeal you to write off the dues from the beneficiaries of Samurdhi or Janasaviya poverty alleviation scheme who are unable to pay their debts.

I finally request the government to draw up its housing programmes keeping the poorer sections of the community.

Nimal Siripala de Silva (Minister of Health and Indegenous Medicine) said: We were able to identify the needs of the Greater Colombo region and present a scheme for its development. Seventeen cities were developed without political bias. We will develop 53 more cities likewise. Shanty dwellers will be given better houses and we have provided water where facilities were lacking. We have completed all procedures and will present the contracts for Kaluganga River Valley Development Project. We have started many water schemes for the benefit of the people.

The overall urban development has been given prominence by our government.

A housing scheme for lawyers will be built, like in Gunasinghepura. We have received international grants as a result of the trust placed in our government by international donor agencies.

M. H. Mohamed (UNP, Colombo District) said: The shanty dwellers in Wanatamulla are facing severe hardships to obtain water facilities. They have to pay 15,000 to obtain water. There are large number of unoccupied houses in Maligawatta.

The Minister should ensure that no political authority is misused to plunder land. The canal system in Colombo have to cleared and developed.

I have worked to alleviate the problems of the people of Borella, that is why I have always got their support. I thank the minister for assuring that the new scheme will not force people out of their houses unless they are willing to do so.

Bennet Cooray (PA, Colombo District) said: There are around 55,000 shanties in Colombo whatever the UNP says. So we have now planned for multistory housing schemes for these people.

The state sector has to be strengthened, it should be devoid of tender procedures as some institutions like the State Engineering Corporation that function under the ministry now resort to tender procedures.

The incentives given to large scale housing projects is commendable.

We have provided houses without political bias. Thousand houses are being built in Kolonnawa. Privatisation puts many people out of jobs and gives concessions to many, housing and allied fields should remain in the hands of the state. A water project costing 303 million in Kolonnawa is being finalised. Please take action against inefficient officials who stand in the way of your progressive development.

Reginald Perera, (UNPNational List) said: It was the Housing Ministry in 1977 under President Premadasa as Minister of Housing and Construction introduced the state sponsored housing programme.

It is open to question whether the Ministry under the present leadership is upto the mark today.

When the UNP launched its Gam Udawa programme the then opposition rediculed it. But the programme contributed immensely to improve the country's housing stock.

The reason for the failure of the Housing Ministry was the haphazard transfer of efficient officials on political grounds.

You promised to the people that you will write off all their dues to the Housing Department when they came into power. You came into power. Now you are pressing the poor occupants of the houses to pay back their dues. They now face prosecution.

This is the way you are acting today.

You are going to construct houses in Manning Town. The cost of a house is Rs. 4 million. Who can pay such large sums?

The Minister of Housing of course will have no problem. We know that he sold 65 perches of his land to government for a sum of Rs. 51.8 million.

You must bring down the price of cement, in order to encourage ordinary people to build houses.

The government was boasting that it had built many roads. I don't know what these roads are. Would some government member tell me what the roads are?

Could the Hon'ble Minister tell me what his ministry built after annexing the fortfolio, Urban Development.

Minister Indika Gunawardane: I will tell you later.

S. Rajaratnam (CWC Kandy District) said: The ministry provided roofing sheets and other building material to the homeless in Kandy, to put up houses.

Plantation workers live outside Kandy and they should be provided with such facilities.

Officials have refused to give land from the Pallegala estate to plantation workers though the land was earmarked for them. The alienation of this land should be expedited.

The way you are implementing the housing programme for plantation workers will not help you to solve the housing problem in plantation sector for another 300 years. You are more concentrating big housing schemes for the rich.

Digana water supply has been stopped. A water tank must be constructed in Digana.

I would also ask the Ministry to expedite the construction of the Pussella housing scheme.

Sarath Kongahage (UNP, National List) said: It is President Ranasinghe Premadasa who was responsible for the International Shelter Day.

There is a big difference between the UNP's housing policy and that of this government. You criticised our fund raising programme for construction of houses.

You are giving concessions to big housing contractors. But what are you giving to the poor. You have failed to give the bag of cement at a reasonable price.

H. M. Weerasinghe (PA, Digamadulla District) said: The second Gam Udawa was started in Ampara. The then government took over the Ampara public playground to hold the Gam Udawa celebration. Today what have you done.

Water still remains the main problem of Ampara.

We are planning to build two housing programmes in Ampara.

There were three UNP MPs in Parliament.

H. R. Wimalasiri (UNP, Matara District): During the UNP time housing was regarded as a service by the government. Today the government has transformed it into a business.

You charge money for setting poor people in their lands. Under numerous housing schemes initiated by the government they charge from the people. On some occasions around 25,000 are charged from the people settled in houses built by the ministry. During the time of President Premadasa the houses were built for the needy and provided free of charge. I request the minister to revert back to this previous system.

Jayatissa Ranaweera (PA - Ratnapura District) said: Government's housing programme for the 55,000 shanty families should not be construed as a subtle scheme to rob Mayor Karu Jayasuriya's votes.

During the past four years 480 houses have been built in my electorate. During the UNP's 17 year rule in the same area only 367 houses were built. These include the houses built under a Gam Udawa programme. We will be able to build about 800 houses during the next two years.

We will also provide drinking water to all the villages in the Ratnapura district by the year 2000.

Eight towns will be developed by the Ministry under its Urban Development Programme. These eight towns include Embilipitiya.

Vajira Abeywardane (UNP Galle District) said: No government speaker found it fit to speak without referring to the UNP's 17 year rule.

I will tell you that the UNP came into power in 1977 to change a society in which cement was issued only on permits. Cement was so scarce that no one can purchase even to build a tomb, without a permit.

We changed that society of scarcities. Don't forget that.

In my electorate in the Galle District the officers of Kaluwella Urban Development Authority are afraid even to touch a letter sent to them by us in the opposition.

You have politicised the whole housing setup despite your claims that there is no political, religious or other distinction in your Ministry.

I would give this House a bold undertaking that you will give houses to all homeless without looking at their political leanings.

E. A. Samarasinghe (P.A. Matara District) said: We have done many things during our first four years. The UNP failed to do it in 17 years. The People's Alliance Government could have moved faster if not for the road blocks created by the 17 year UNP rule.

The Housing Ministry has undertaken the largest ever water supply scheme of the entire fifty years past.

For the first time in history under the present Ministry a scientific servey of the Colombo City has been undertaken by the Ministry.

Gamini Rajapakse (UNP - Kandy District) said: The Kundasale water supply scheme was held up in 1980s while it was about to start off. Funds had been obtained.

I thank the present Minister for reviving this programme. The present Minister too had to face some problems from some of the government's party members.

The greater Kandy water supply scheme is the only strategy that can solve the water problem of the Kandy district.

I hope the Minister would try to obtain funds at the next aid group meeting.

Tissa Attanayake (UNP - Kandy District) said: I want to ask the Minister whether the proposed National Physical Planning Authority will become another redundant organisation like the Southern Development Authority which yielded no result despite high expenditure that has been incurred.

The Building Materials Corporation is selling cement imported by private traders. That is one of the reasons for its losses. A sum of Rs. 32 million is due from the Corporation to banks against interest on loans obtained in 1990.

The Housing Authority has initiated a scheme, to retire its experienced staff and to recruit novices in place.

The stalled lowcost housing schemes should be implemented once again.

What is the next plan for the presidential palace? Is it true that it will go ahead with the area of land to be acquired or cut back originally planned.

Amal Senadhilankara (PA, Colombo district) said: The solution to housing and land shortage in and around Colombo will be these multistoreyed housing schemes. The centuries old sewerage systems will be rebuilt to suit the present day.

The one million housing programme by the UNP was only a dream. There are probably several thousand houses that were built under this programme. We will keep to practical targets. We will not hoodwink the opposition like the UNP. We will not give political favours to anyone.

S. Selvaraja (TULF, Batticaloa district) said: The Ministry of Housing and the Rehabilitation Ministry should revise the amount paid for building houses as this is hardly sufficient to build houses.

The housing development officials had to work under great difficulty in the North and East. But they have not received risk allowance.

The people of Batticaloa are facing a crisis without drinking water. The Housing Ministry together with the Irrigation Ministry should take measures to make use of the natural water resources in the area.

D. M. Seneviratna (PA, Ratnapura district) said: the UNP who steered the country on a capitalist economic system now opposes the endeavours of the PA government that is continuing the same policies with a human face.

The UNP government indulged in extravagent exposes for opening ceremonies and many other celebrations. The 'Gam Udawa' celebrations incurred unnecessary expenses, during the UNP time.

It is this UNP that points the finger at us like innocents. All the laudable endeavours of the housing ministry comes under fire unnecessarily with misleading facts put forward by the UNP.

Suranimala Rajapaksa (UNP, Gampaha district) said the government has allowed valuable land to be sold to millionaire businessmen. Is the ministry totally committed to the development of cities and meeting the housing needs? They seem to be on a politically motivated path. The Urban Development Authority is best with political manipulations.

Expensive housing schemes for upper classes are not the solution to the urgent housing needs of the country.

Chandrasiri Gajadeera, (Deputy Minister of Vocational Training and Rural Industries) said:Has the previous member who spoke seen the budget? We have a target of 10,000 houses next year.

The PA government has paid attention to the needs of the poor. The plantation workers, who were forgetten by the UNP, will benefit from the housing schemes of our government.

The UNP government in its 17 year rule never thought of things now they scream and rave about.

Our government has given priority to the water problems of the masses. The Housing Ministry has taken over a scheme to develop water systems in rural areas.

A. Adaikalanathan (DPLF, Wanni district) said in districts of Mannar and Vavuniya they have a drinking water problem. There are water springs that can be tapped to solve the water problems of the communities living in these areas.

The building construction officers are not found in Mannar, nor are the NHDA officials present in the Mannar district.

In the Wanni district you have done whatever you could and the people are thankful.

Nanda Gunasena (PA, Galle district) said the people of Ahangama are grateful for providing drinking water facilities to the area.

Thirty two 'Janaudawa' villages have been initiated by the minister in the Galle district.

Areas like Habaraduwa and Unawatuna will be the next to benefit from a project to develop the water system to the area that has even been a setback to the development of the tourist industry in the area upto now.

V. G. Jinadasa (UNP - Matale district) said: the efforts of the UNP government to provide water to the people of the south cannot be matched by the PA government. I hope the minister will assist those no longer benefitting from the 'Sevana' programme.

The housing loans and other assistance are subject to political favouritism.

Upali Gunaratna (PA, Gampaha district) said one reason for people of Dompe to vote for the PA was due to half built housing programmes of the UNP.

Today the people of Dompe are recipients of millions of rupees for housing and water schemes.

A new city with all facilities will come up to provide employment to many in Dompe. The road to Dompe will be clear, steady and firm.

Ranjith Maddumabandara (UNP, Moneragala dist.) said in 1977 there were about 1.5 million homeless persons in the country. During the UNP period from 1977 to 94, we built homes for hundreds of thousands of people.

According to the report presented to the House by the Housing Ministry only 724 houses have been built during the whole of the four years of your rule.

The UNP built 30 Udakala housing villages, 15 model housing projects, 10 ordinary housing schemes. We also built 10,000 houses in the Moneragala district.

The Common Amenities Board is in the process of being dissolved. Employers are being retrenched but no compensation is being paid. You sold the Common Amenities Board bus and purchased three cars for higher officials. Why did you buy vehicles for officers of a board which is to be closed down.

When rubble is available in Matara, rubble had been transported to Matara from Colombo at Rs. 3000 a cube. This is how a government which is accusing the UNP of fraud is behaving.

A. M. D. Rajan (C.W.C. Colombo district) said staff members of plantation companies must leave the estates when they retire. With their EPF moneys they cannot afford to buy a home. The government must amend the relevant laws to enable them to live in their official quarters after retirement.

The problems of the plantation workers living in lines have not been addressed adequately. Please supply roofing sheets to persons who have put up huts in Hetewatta in Rakwana. Lack of proper roof has exposed the inmates both to rain and sun.

P. Chandrasekeran, Deputy Minister of Estate Infrastructure Development said in many estates we have started housing schemes. The idea is to build a house for each family. We are constructing about 50 houses in each estate. In all 8260 houses have been built. Houses are given without any political bias.

A Housing Welfare Fund has been set up and loans will be given to estate workers to build their houses.

From next year the plantation housing programme will be further improved.

A coordinating officer has been appointed to supervise the building programme in the Uva, Sabaragamuwa and Central provinces.

Joseph Michael Perera (UNP Gampaha district) said new shops are being constructed in Ragama. I want to know who are building these shops. Who have authorised the constructions.

Felix Perera: We have obtained the permission of President?

Joseph Michael Perera: This is a state land. Who has approved the building plans and who are building them. People are being charged sums upto Rs. 50,000.

Who is building houses on the road reservation at Kapuwatta junction. Has enyone approved this. Why is the local authorities and the police silent about the unauthorised construction.

T. B. Ekanayaka (PA, Kurunegala district) said a programme to provide lowintrest housing loans for Samurdhi recipients is now in operation.

This government operates its housing schemes without the extravagent advertising slogans used by the previous government.

The areas in the Kurunegala district will receive the benefit of water schemes.

The sacred city programmes in the Kurunegala district will develop facilities for pilgrims.

I request the minister to give same consideration to the housing scheme for Members of Parliament as well.

Dilan Perera (PA, Badulla district) said the PA government continued the work done by the UNP. It is the policy of the government to work for the benefit of many without a party bias.

I request the ministry to set up a housing scheme for lawyers in Badulla.

The Mahiyangana - sacred city programme and the city development programme will take off when the necessary funds are allocated.

The provincial media personnel should be given housing facilities as the recent approved scheme for media personnel appear to be confined to Colombo.

The ministry should also provide relief assistance to political victims of the previous government.

Mahinda Wijesekara (Deputy Minister of Housing and Urban Development) said urban development is a difficult task that has been imposed on the ministry.

The ministry took over bankrupt corporations that functioned under the UNP government. These institutions have not been closed but continue to function under the ministry.

The housing problem is greater than ever. The difficult task is to meet the demand but we will not give unrealistic figures like the previous government. Our capabilities are stretched to the limit in our goal to build 50,000 houses this year. We have so far built 40,000. It is fair for the UNP to say that we have not done anything quoting wrong figures.

The funds are scarce, land is scarce, we are trying to maximise these limited resources by coordinating with affiliated institutions. We have given housing loans at concessionary rates to the poor?

If we receive the necessary means we can build 500 'Janaudana' villages next year.

A project costing Rs. 800 million from Japan was arranged. The officials visited the country to finalise this agreement. The opposition distorted facts trying to prove otherwise.

The lowincome sections of the population have received our highest attention.

The minister has given the go ahead to build housing complexes for lawyers in each district.

Sarath Gunawardana (UNP, Galle district) said the one million housing programme received international acclaim. You promised to give prominence to building houses for coast line dwellers and urban shanty dwellers. This is yet to became a reality.

Inspite of areas like Unawatuna in the Galle district don't have water. The government has given misleading facts about most of the projects in the Galle district.

Indika Gunawardane, Minister of Housing and Urban Development winding up debate said during the 1997 June reshuffle the Ministry of Housing and Urban Development was created and I was appointed Ministerincharge of the new ministry.

This was a decision taken by the President with great expectation.

The President appointed a task force to prepare an urban development plan for the entire country. The report is now with the ministry and the recommendations are being studied at the ministerial level.

The task force identified the areas to which urban development should expand.

After Colombo, urban development has become necessary in the Gampaha district where shanties are rampant and other problems associated with human settlements were growing.

I thank Mayor of Colombo Karu Jayasuriya for his cooperation in all stages of planning and implementation of the urban development plan for Colombo.

I also thank other members of the UNP who extended the cooperation in this task.

There will be urban development plans for cities of the South, North and other parts of the country.

We have dispatched competent town planners to the provincial towns for the purpose of drawing up plans for the development of urban areas.

The Colombo waste water disposal project and the Beira Lake restoration project are now under operation.

The third, water supply and sanitation programme funded by the Asian Development Bank will come into peration shortly.

Rural water supply project, funded by the World Bank will be extended to six more districts.

We need Rs. 4500 million for our overall water supply scheme. I have asked for an allocation of Rs. 900 million per year for five years. But out of this only Rs. 400 million has been received. This is somewhat higher than the allocation are received annually earlier.

There is an increase in the sale of building material including cement and steel during the past four years.

We have set up a special fund to help local contractors in entering into contract. Rs. 100 million has been allocated for this fund.

We have also given extended tax relief to the construction sector.

We are constructing housing schemes comprising 25 houses each in the estates in the Baddegama electorate. We have made allocation to build houses in a series of other rural areas.

The votes were passed.


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