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Opposition turbulence rocks SriLankan’s House debate
View(s):A two-day debate on the loss-making national carrier SriLankan Airlines (SLA) was held in Parliament this week. The motion was introduced to the House by UNP Kurunegala District MP Nalin Bandara and seconded by UNP National List MP Ashu Marasinghe. Several MPs spoke during the debate. Following are some of the views expressed by them.
Nalin Bandara Jayamaha:
SLA was a profit-making institution when it was managed by Emirates Airlines but today, it is running at a loss going into millions of rupees. With the money infused into SLA by the State, many more highways, ports, airports and irrigation projects could have been undertaken. The reason is that the Airline was turned into a family business. There was a gross abuse of the Airline’s resources. It was highly politicised and turned into an institution to suit the whims and fancies of one family.
The Government has brought an adjournment motion so it can expose the corruption, which we welcome but, we would also like to know exactly how this Government intends to overcome this situation and what its future would be.
JVP MP Sunil Handunnetti:
We are aware that it was waste, misappropriation and mismanagement that led to massive losses. This Government has a responsibility to ensure those ills are not repeated.
This Government, when it came into power, said it has learn’t from its past mistakes and that, the privatisation policy it followed in the past will not be pursued. It will safeguard government institutions and make them into profit-making bodies. However, there is growing suspicion that this Government is paving the way to privatise SLA. The Government says it must absorb the losses and hand over the management to a private company. But that means it will be the people who will have to bear the losses. The Treasury is the tax paying people of this country. This is not the answer to the problem.
UPFA MP Bandula Gunawardena:
This Government is using this debate as a feeler, before it goes ahead and privatises SLA. In the past weeks, this Government has spent millions of rupees putting advertisements in the papers that the Mahinda Rajapaksa administration has left the country in debt running into billions, and which is why new taxes have to be levied. This Government has made a bogeyman of loans, but the reality is that all governments have had to take loans to run the country. This Government talks of corruption in the past, but the biggest fraud in recent times happened with the Central Bank Bond issue, but the whole thing has been brushed under the carpet.
It is those in the UNP who were opposed to the management of SLA being handed over to Emirates by the then Government of President Chandrika Kumaratunga. The UNP members even went to the Bribery Commission against this deal. It was called the biggest betrayal after the Kandyan convention. But today, all this has been forgotten and now, the UNP members are praising this deal.
Minister of Megapolis Champika Ranawaka:
If you look at the losses suffered by the Airline, it is clear that SLA is heading towards bankruptcy. We also know these losses will have to be absorbed by the Government and the people.
Due to family bandy-ism and poor management, today, every citizen of this country is indebted to the tune of Rs 23,000 just to offset the losses of the Airline, and there is no way to hide this ugly truth with beautiful words.
UPFA MP Udaya Gammanpila:
There are several falsehoods being told by Government members, inside and outside Parliament, regarding SLA. One is that, former President Mahinda Rajapaksa got angry with the Emirates management and took over the Airline. The then agreement with Emirates was signed in 1998. It came up for renewal in 2008, and among those who were campaigning for the government to take it back is the present Prime Minister. So the Government listened to the public and decided not to renew the contract, and run the Airline as a State institution.
There is also a myth that, under Emirates, it was running at a profit and then began to lose profits after the government took over. Even before that the Airline suffered losses. When the government took over in 2008, oil prices worldwide was rising and there was a global economic meltdown, and internationally, all airlines were running at a loss, not only SLA.
Finance Minister Ravi Karunanayake:
We will not privatise SLA, but are looking for ways to address the losses it has incurred. SLA made profits of Rs 4,428 million in 2008, the year in which the management agreement with Emirates Airlines ended, and has lost Rs 184 billion since then. In 2008, Emirates sold their 40% shares to the government and since then, SLA has turned into a loss-making airline.
Finance Minister Ravi Karunanayake:We will not privatise SLA, but are looking for ways to address the losses it has incurred. SLA made profits of Rs 4,428 million in 2008, the year in which the management agreement with Emirates Airlines ended, and has lost Rs 184 billion since then. In 2008, Emirates sold their 40% shares to the government and since then, SLA has turned into a loss-making airline.