Budget : Committee Stage — 17th Day

Votes of the Ministry of Co-operative Development

I will keep co-operatives free of politics
-Minister

Ravindra Samaraweera (UNP-Badulla district) moved a cut of Rs. 10 from the votes of the Ministry Co-operative Development.

By the UNP amending the Co-operative Societies Law of 1972, we gave back to the Co-operative societies their rights taken away by the 1972 Act.

Co-operative societies were functioning very efficiently when we were defeated in 1994.

The "Co-op Fed" was set by our government in 1989. It was established by late Lalith Athulathmudali. The last President of this society at the time of our defeat was Mr. Mahipala Herath MP for Kegalle district.

Today the President of the Co-op. Fed is a former Co-ordinating Secretary to the Prime Minister Sirimavo Bandaranaike. He is abusing the post he was holding sometime back.

This new president is not obeying anyone. He acts in contravention of circulars and regulations.

He has increased his salary on his own, from Rs. 7500 to Rs. 12,000.

There is corruption and wastage in the premier Co-operative society.

This president has appointed a co-operative inspector who had been sacked, as the General Manager with a salary of Rs. 12,000.

Sometime back this president went to China to purchase cement. He took his general manager and an outsider called Sahesha. Sahesha was taken as economic advisor.

Sahesha owns a company by the name of T. B. Sahesha and Co. Ltd. The President of "Co-op. Fed" issued cement to this private company and obtained cheques to the value of Rs. 75,000 and Rs. 45,000. The society still owes several lakhs of rupees from this private company.

The President Mr. Dharmasena is holding executive posts in several co-operative societies and the Salt Co-operation.

Today the society is running on an over-draft obtained from the People’s Bank. This person has now written to the Commissioner of Co-operatives asking him to increase his salary to Rs. 20,000.

This person got down two shipments of cement from China in a questionable manner.

Maheepala Herath (PA-Kegalle district) said: Co-operative societies have been an integral part of rural development. Co-op. Fed. Institution is a giant in this sector that was co-ordinated with the countrywide multipurpose co-operative stores. It is unfortunate that this institution is facing difficulties. The co-operative transport services and banks have been integrated to the rural economy. The co-operative system should be protected by the government. I propose that an act should be formulated to protect the co-operatives. The rice mills, co-operative stores that are so vital to the rural population should be protected.

Reggie Ranatunga, Deputy Minister of Ports Development, Rehabilitation and Reconstruction said: The removal of BTT from the co-operative society transaction proved to be a great fillip to co-operatives.

Co-operative system is not necessarily an organisation confined to trade. It could operate successfully and with greater benefit to the people in the agriculture, transport and other sectors.

We must examine whether co-operative societies specially in the rural areas could be involved in transport services. Perhaps we may have to support co-ops to obtain loans from Banks.

Guidelines should be framed and issued to co-operatives with regard to purchases of goods. Lack of such guidelines makes it possible for managers of co-operatives to make purchase from places where they get a commission. Substandard goods find their ways to co-op stalls as a result of the lack of such guidelines.

P. Selvarasa (TULF-Batticaloa district) said: The co-operatives in the North and East are unable to pay the salaries of their workers. The co-operatives are mostly doling out Samurdhi benefits.

Appointments to co-operatives have not been done as stipulated. These does not seem to be an equitable policy in appointing trainee graduates to co-operative societies in the North and East.

Heenmahattaya Liyanage (PA-Ratnapura district) said: Co-operatives are essential to rural farmers who seek a fair deal for their produce.

The government is utilising co-operatives to enhance the Samurdhi programme. We also appreciate the programme to establish co-operative villages. I wish to bring to your attention the corrupt practices of an individual in the Ratnapura Co-operative Society, who dragged this particular Society to ruin. He should be dealt with immediately.

Senarath Sugathadasa (PA-Kurunegala district) who made his maiden speech in Parliament said: I am honoured to contribute to this debate. I also wish to thank the people of my electorate who gave me an opportunity to become a member of this assembly.

In the field of co-operatives the name of Vincent Subasinghe in our electorate will never be forgotten. The work done by people like him to develop the rural economy was quashed by the advent of the harsh open economic system in 1977. The Co-operatives were reduced to stores selling onions and dhal. Co-operatives have now been rejuvenated to become an active part of the rural economy. These are positive developments and I also wish to appeal to the Minister to take action against corrupt elements in co-operative societies who have caused considerable ruin to this sector.

Dharmadasa Banda (UNP-Moneragala district) said: Thirty co-operative employees were discontinued at the Bibile Co-operative Society. Some of these removals were arbitrary. The Provincial Co-op Commissioner who investigated into these dismissals had ordered their reinstatement. Some of them have been re-instated and others still on the road. Even the employees taken in are not given any work.

The Bibile Co-op. Society has a rice mill. But they are not purchasing paddy.

S. Sivathasan (EPDP-Jaffna district) said: The Cooperative buildings which were monuments to Mr. Weerasingham who was a leading figure in the Jaffna’s Co-operative Movement have been badly damaged and should be restored.

The Northern Co-operative Movement should be re-established.

S. Sathasivam (CWC-Nuwara Eliya district) said: The transfer of houses occupied by plantation workers over many years is moving very slowly. This whole affair must be handed over to co-operatives.

Last week the UNP blocked a vote for the development of the estate sector. This is a racist act. This act has given a communal turn to the event. There cannot be peace if this sort of thing continues to happen.

T. Adaikalanathan (DPLF-Wanni district) said: The development of co-operatives you have mentioned in your report is still to reach the periphery. If you enhance the resources in the co-operatives in Vavuniya the people would benefit. They will be able to sell their produce with ease.

The co-operative society in Vavuniya doesn’t have stores and lack basic facilities to carry out their work. The board of Directors should have an employee included as well.

A. H. M. Azwer (UNP-National List) said: The Association of Co-operative Inspectors has written to the Minister asking for a salary increase. But there has been no response. I appeal the Minister to take up this matter.

In Sammanthurai Co-operative elections have not been held. Please clean the Puttalam Co-operative. Don’t forget Puttalam district when your implement the Co-operative Villages Scheme.

Amarasiri Dodangoda, Minister of Vocational Training and Rural Industries said: The Co-operative Movement has the answers to most of the day to day problems of the people. It can play a very important role in all sectors of the economy.

We must give due peace to education of co-operative system if the co-operative system is to survive the changes in the next millenniums.

Co-operative Movement must go into all sectors of the economy including banking. Co-operative system should be strengthened financially, administratively and backed by modern legislation.

D. P. Wickremasinghe, Minister of Co-operative Development; I thank the opening speaker for the opposition for the details of corruption he laid before this house. I will take action against such corrupt practices as highlighted by the member.

I wish to emphasise once again that this ministry is devoid of political preferences and I will keep the co-operatives free from politics. If the ministry is beset with corruption I will not hesitate to resign.

The votes were passed.

Votes of the Ministry of Transport and Highways

Imtiaz Bakeer Marker (UNP, Kalutara district)

Appointment letters have not been given to the workers of the peoplised bus service. I request the minister to regulate EPF payments of these employees.

Jathika Sevaka Sangamaya has complained in a letter to the minister against political transfers of some of their members in these peoplised bus depots. The union has given a list of their members, some of them are union leaders. I will table the list of workers in the Matugama, Alutgama depots who were transferred without valid reasons. There is a clear discrimination against these union members.

There are loads of complaints against the Kalutara bus company. Corruption in these companies is depriving the people of an efficient bus service.

Tissa Karaliyedda (PA, Anuradhapura)

Minister has visited our area on many occasions and helped to improve the rail and road transportation. I also request the minister to improve the road from Anuradhapura to Vavuniya and on Kebithigollawa Medawachchiya road. The people of Medawachchiya are grateful to the minister for his services in the area. The Rajarata bus service has been increased significantly.

S. Sivathasan (EPDP, Jaffna district) said the single train between Trincomalee and Colombo is by far insufficient. The facilities on this train is also poor. There is no water facility for the passengers in this train.

The train service to Vavuniya is beset with incidents of thefts and lack of facilities.

A section of the buses sent to the North during the last provincial council elections are non-functional and some of them have been taken over by the army. There is a need for about 40 more buses in Jaffna to ease the commuter congestion.

D. M. Ariyadasa (UNP, Anuradhapura) said the transport service requires government assistance to function properly. Have you initiated training programmes for the workers of the transport service?

Around 30 percent of the income in these companies is swindled. There is no proper planning in the appointments of officers. The people lower down seem to wield power to their benefit. There is no mechanism to check these irregularities. A regular method to appoint officials by way of an exam should be held to appoint higher officials.

Road discipline should be imposed more severely.

V. G. Jinadasa (UNP, Matale district) said I hope the funds allocated for this ministry will be used to develop the ailing roads in many areas. The Kandy-Matale Road and the main road in the Matale town badly needs repair.

We need more buses for Matale.

The Pradeshiya Sabha’s and the Provincial Councils don’t have even one lakh of rupees to attend to these matters. We therefore welcome the ministers suggestion to take over the roads by the central government.

P. Selvarasa (TULF, Batticaloa district) said the Kalwanchikudy sub depot has been upgraded to our expectations. Although we have recommended roads for repair as you directed us, the roads remain neglected. The Provincial Councils require more funds to improve roads and transport services. There ore only 20 buses in the Jaffna peninsula. Some buses have been cast aside for lack of engines and spare parts to effect repairs. More buses and equipment are necessary to serve the needs of the population in Jaffna.

C. B. Ratnayaka (PA, Nuwara Eliya) said we are trying to infuse new life to the ramshackled transport service left behind by the UNP. We thank the minister for improving the bus service by commissioning luxury and sem-luxury bus services and transport facilities at night.

I also hope that the minister will grant my request to improve the train service to Nanu-Oya.

We have to draw the attention of the members on the opposition to the new projects of the government including Rs. 50 fridges programme they seemed to have side stepped in their discourses.

Lucky Jayawardana (UNP, Galle district) said the government attempted to raise railway fares to buy ten locomotives.

The number of train accidents have increased alarmingly during the past four years, according to newspaper reports.

The Peradeniya-Gampola road repairs initiated by our government have been neglected by the present government.

The CTB strike this year was staged because the government failed to impose the due salary increases for these workers.

Alternative routes around the security barriers around Kandy should be marked immediately to ease the traffic congestion.

W. J. M. Lokubandara (UNP — Badulla District) said I hope the minister would took into the complaints about harassment of UNP trade union officers in the transport sector in the Badulla district. I know that harassing of trade union officials is against PA policy.

Deputy Minister Athauda Seneviratne is a Sama Samajist and neither he would approve such harassments. Therefore you can remedy wrongs done by whatever people.

Richard Pathirana Minister of Education and Higher Education said Minister Fowzie has visited my area more than 25 times since assuming office. He was so committed to his duty.

Several opposition members spoke about the unsatisfactory conditions of roads in the Matara district.

The Italian road construction company who tendered for the work let us down. The Minister opposed the handing over of the tender to this company. But the World Bank insisted that this company should get. I request the Minister to black list this company.

The Minister A. H. M. Fowzie winding up the debate said that his earnest desire and that of the government was to provide a good transport service and a convenient road network for the people in the shortest time and within the limited resources he said.

The Railways has taken initiatives to revitalize the Freight Transport Sector in order to make it a priority item in the work programme. Further a Strategic Business Unit has been established to negotiate access agreements for Freight Transport.

Work is being undertaken to create a management environment conducive to accomplish the target and the objectives of the Railway Annual Work Programme.

It is planned to have a better access to the management information through a computerized programme.

The following sub-stations were opened for traffic to provide better facilities to train travellers.

Godagama, Noor Nagar, Savarana, Muthettigala, Aggopura, Luksha Uyana, Nelum pokuna, Pinnawala and Madagama.

In addition the Kosgama Sub-Station was upgraded to a Railway Station.

Under the OECF Track Rehabilitation Project covering 290 Kms. of track length extending from Colombo to Kandy, Galle and Negombo is nearing completion. On completion of this Project it is expected to increase the speed of trains from 80 Kms. per hour to 100 Kms. per hour.

In addition the Railways have also undertaken activities to improve the Locomotive fleet, double tracking of Railway Lines, Bridge rehabilitation work, extension of Railway lines and the upgrading of its workshops.

The availability of locomotives for service has been increased from 92 to 120 during the past one year which I consider a commendable performance on the part of the Railways. Yet another 4 Nos. have been re-engined. Action has been taken to re-engine another 4 locomotives this year.Action is also being taken to purchase 15 Diesel Multiple Units.

The Panadura-Kalutara Bridges with German Assistance were completed this year.

Work on the Nilwala Bridge on the extension of Railway Line from Matara-Kataragama has commenced. Rehabilitation work of the Induruwa-Dodanduwa and Gintota Bridges will also commence shortly.

In order to increase the speed of trains on the KV Line the re-aligning and removing of sharp curves are being carried out.

The installation of the Colour Light Signalling System from Wadduwa-Hikkaduwa with assistance from Netherlands is expected to be completed by January, 1999.

A programme of double tracking has been undertaken by the Railways to improve train services and reduce train delays. On the 30th of last month I was associated with the opening of the 1st double track between Rambukkana-Polgahawela constructed at a cost of Rs. 6.8 M. In addition the work on the double track between Panadura-Kalutara is in progress. A skeleton track has been laid up to Kalutara North.

Buses

Ninety three Peoplised Companies have been converted into 11 Cluster Bus Companies. As a result the average number of buses operated per day has increased from 4237 to 4467. The average operated Kms. per day has also increased to 902,000 from 844,000 after clustering.

Department of Motor Traffic:

To cater to the rapid growth in the vehicle population, the activities of the Department of Motor Traffic is being streamlined by making use of computerization.

In order to improve driving habits and vehicles more roadworthy it has been decided to set up a vehicle village with modern facilities including new accessories with a training centre to train drivers and other technical officers, a vehicle examination centre with all modern facilities, necessary facilities for vehicle registration, spare parts, repairs and insurance to be effected in one place itself enabling all vehicle owners as well as drivers and other relevant institutions to get their services done under one roof.

The Motor Traffic Act is being amended to cater to the traffic needs of the day and to ensure our roads are more safer to travel on.

I have introduced a piece rate system employing persons on casual basis to clear the heavy backlog of work very particularly in the issue of driving licences and motor vehicle registrations. This scheme had proved to be very successful and will be continued until the backlog is cleared. In addition I have also introduced a transfer scheme for employees on an annual basis. Already 1/3rd have been transferred out.

I am sure this process will help to clean up some of the malpractices that exist in the Motor Traffic Department.

The votes were passed.