Dr Sarath Obeysekera

Ex samples Galle yacht yard, Beruwala / Mutwal boat yards, Trincomalee offshore engineering hub—all show the same failure 

1. Policy approval without policy protection

Projects are:

• Approved politically
• Launched with fanfare
• But never insulated legally or institutionally

So when:

• A port authority changes leadership
• A ministry changes
• A public corporation enforces rent mechanically
• Or a geopolitical concern arises (Trinco–India sensitivity)

Permissions get cancelled, leases revoked, or files frozen

Investors don’t fear Sri Lanka’s skills or location.

They fear reversal risk.

2. Public institutions acting in silos

• SLPA cancels permission without a national FDI lens
• CFHC sues for rent without assessing export earnings
• EDB promotes projects but cannot protect them
• Line ministries hesitate because no one owns the final decision

No single authority is accountable for project continuity.

3. Fear culture inside government

You are absolutely right here.

Today:

• Officers are more afraid of future allegations than present losses
• Do nothing” is safer than do something right”
• Files are delayed intentionally
• Decisions are pushed upward until they die quietly

This is not corruption.

This is paralysis caused by anti-corruption fear without protection for honest decisions.

Why marine & offshore projects suffer the most

Marine engineering, shipbuilding, and offshore fabrication:

• Need ports, coast, state land
• Need long-term leases
• Need foreign partners
• Need customized approvals

Which means:

• More signatures
• More exposure
• More risk for officers

So officers avoid them, even though they bring:

• USD inflows
• Skilled jobs
• Export earnings
• Strategic value

What the Committee of Development Ministers MUST do

Not another policy paper.

Not another task force.

1. Create a 

National Strategic Projects Shield

A legally binding framework where:

• Once Cabinet-approved, a project cannot be cancelled by a single agency
• Any dispute (rent, lease, compliance) goes to fast-track arbitration, not shutdown
• Port authorities, corporations, and ministries are bound by Cabinet decision

If this existed, Galle Yacht Yard would not have died

2. Introduce Good Faith Decision Protection” for officers

This is critical.

A legal provision stating:

• If an officer approves a project following approved procedures,
• Acting in good faith,
• They are personally immune from later prosecution

Without this:

• No officer will ever sign another FDI project

Singapore, UAE, Vietnam all do this quietly.

3. Single Ownership of Strategic FDI Projects

Each large FDI project must have:

• One owning ministry
• One accountable Secretary
• One empowered Project Commissioner

No SLPA vs CFHC vs EDB games.

If the project succeeds → credit

If it fails → responsibility

Right now, responsibility is diluted to zero.

4. Separate geopolitics from industrial development (Trincomalee case)

Projects cannot be frozen indefinitely because of:

• Indian sensitivities
• Strategic anxiety

Solution:

• Ring-fence civil offshore engineering, ship repair, fabrication
• Explicitly exclude military or dual-use activity
• Make it transparent and rules-based

Otherwise Trinco will remain a map location, not an economy

5. Publish a Projects Killed by Inaction” White Paper

This is uncomfortable—but necessary.

List:

• Projects approved
• Investments promised
• Jobs lost
• Forex lost
• Reasons for shutdown

Name institutions, not individuals.

Sunlight will do what sermons never did.

The uncomfortable truth

Sri Lanka does not lack:

• Investors
• Skills
• Location
• Demand

Sri Lanka lacks:

• Decision courage backed by legal protection

Until the Development Ministers protect honest decision-making, not just punish corruption,

Regards

Dr Sarath Obeysekera