The Hon. S.M. Marikkar
Hon. S.M. Marikkar questioned whether the Budget allocation for low-income housing is realistic, arguing that Rs. 1.02 million per house is insufficient given past UDA housing costs and current economic conditions, and requested technical justification. He opposed a “fire sale” of SriLankan Airlines but said it cannot continue receiving Budget support without debt restructuring, cost control, and proper leadership, including CEO and COO appointments. He also alleged major leakage through contract variations in infrastructure projects and called for a standardized national technical evaluation process to reduce abuse by contractors and officials.
Verbatim record (translated)
Machine-translated from Sinhala / Tamil / English¶ 01 As you said, another allegation was also made. Under 31:1 of the Budget Document, Rs. 3,000 million has been allocated for building houses for low-income earners. Yes, you mentioned one point and I agree with that. It states, “This year Rs. 7,200 million was allocated for 66,549,” meaning the Rs. 7,200 million was not utilized. If Rs. 10,200 million is then allocated for 10,000 houses, that comes to Rs. 1,020,000 per house. These are the same people who accused Hon. Sajith Premadasa of building “matchbox” or “kochi box” houses. I do not know where one can build a house for Rs. 1,000,000. When Gotabaya Rajapaksa evicted people by force and built flats through the UDA, the cost there was Rs. 3 million for a 400 sq. ft. unit. If it cost Rs. 3 million then—before COVID and before the economic crisis—how can one build a house for Rs. 1 million today? If anyone can explain, with engineering detail, how it can be done, we will accept it. We present these as productive criticism. If you want politics, I can do that too, and even move a charge first against Minister Bimal Rathnayake as “the most unsuccessful minister,” but we will not stoop to that here. In this subject, unnecessarily politicizing and failing to present sound arguments and correct criticisms would, in my view, be a crime.
¶ 02 Next, SriLankan Airlines falls under this Ministry. Hon. Chairman, some liberals think SriLankan should be sold for any price. Others think the country needs a national carrier and it must be revived. Conceptually, both are valid. Personally, I am against a fire sale. The country needs a national carrier. But we cannot keep throwing Budget money into it annually like feeding clay to a crocodile unless it is brought to profitability.
¶ 03 The commissions on aircraft purchases during the Rajapaksa era still bleed this entity. That is a main reason for the losses. If ground handling makes profit, catering makes profit, and volumes are high, how does the airline lose? Two main reasons: first, those commissions are still being paid. Therefore, the first step is to restructure the debt, allow them to service what can be paid from operative profit, and let the Treasury carry the remainder to be paid in the future.
¶ 04 Second, as of now there is no CEO. We need not only a CEO but also a COO. With fewer than 20 aircraft, there are about 6,000 employees. The next big drain is AOG—Aircraft on Ground—payments for spares and orders. Engineering costs are said to be 27 percent of spend, whereas world-class airlines are around 3 percent. While restructuring debt, we must simultaneously control costs to improve the bottom line.
¶ 05 Hon. Chairman, I have said this before. Everywhere, they talk about politicians stealing. I am not saying politicians do not steal. But who enables them? Officials. Recently, we examined the cost of “variations” in contracts. We all know what happens—under an RDA contract, the contractor finishes and then says, “We thought it was loose soil but it was dense soil; our costs are higher; pay from contingencies,” raising the 5 percent contingency to 10 percent. This is the main mode of theft in infrastructure. No one pays attention. Under one past Minister—when he held RDA—a Chinese contractor asked for Rs. 1,500 million more from contingencies; the Minister said, “No, we cannot pluck money from trees; make it Rs. 500 million.” We all know where that Rs. 500 million went. And there is no clearly responsible officer for these; sometimes they do not even know what they paid. When we asked 47 institutions under our Committee for total payments over the last 9–10 years, they could not tell; they say “in general terms.” At least give an approximate. I say responsibly that annually Rs. 5–10 billion leaks this way. Sometimes even politicians do not know; officials do. To truly take the country forward, we need a common technical evaluation process—limited items nationwide under one method. Otherwise, bidders exploit errors in bids to extract money. If the Committee can give the necessary push, we will do the studies, examine histories, and submit formal recommendations to the Ministry and to you personally.
¶ 06 Another proposal: The National Planning Department and the Department of National Budget face shortages of technical officers for activities relevant to this sector. When planning procurements, you need subject specialists. Otherwise, I doubt whether these projects can move forward. Also, where money is paid via variations, appoint a responsible officer who assumes liability. Conduct inquiries into past matters and identify issues.
¶ 07 Inter-agency coordination is essential. Sometimes the RDA or a municipality builds a road and later the National Water Supply and Drainage Board digs it up. Therefore, a master plan and an implementing Government body should coordinate.
¶ 08 We also propose that the RDA coordinate with the Colombo Municipal Council and adjacent urban councils to prepare a special plan to minimize traffic congestion in Colombo. Our Civil Aviation Minister is here. We know Phase II of Katunayake Airport was stalled. If it had been done then, it would be complete by now. For increased and high-end tourism and to receive such aircraft, expanding the airport matters. We hear that if work starts in April next year, it will complete by end-2028—three years away. Meanwhile, consider using Ratmalana Airport for budgeted tourists. Even with 12 marquees planned, the number of aircraft that can be handled will still be limited.
¶ 09 Hon. Chairman, please give me 30 seconds. Also consider using Ratmalana. Growing tourism is essential. Evaluate per-tourist spend. We need high-end tourists. Those who come just to eat parotta and drink plain tea can fly to Ratmalana. Take measures to bring high-end visitors to Katunayake.
¶ 10 As a former media person, finally, let me say this: We are a country with freedom of speech and expression. We too oppose certain private media agendas, but do not muzzle the media—the fourth estate. Summoning the “Aruna” newspaper to the CID over an opinion is wrong. If they erred, ask them to correct. But censorship through intimidation cannot be accepted. The Government has one year done, four more to go. Do not fear. We will not sabotage or undermine the Government. We ask only that you do the promised work. I conclude my speech. Thank you.
Provenance
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- Hansard, Monday, 24 November 2025 ·No. 23008 ·English daily/uncorrected Hansard
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Cite as: The Hon. S.M. Marikkar. 10th Parliament, Parliament of Sri Lanka. Hansard, 24 November 2025. No. 23008. Politick, https://staging.politick.io/lk/speeches/15308