Bouquets & Brickbats - Sarath Amunugama, Ajit Kanagasundaram, Chandre Dharmawardena etc
The Maduru Oya Fiasco
://-OF-JRJ--BY--D/ AHIV
Mahaweli - A Spectacular Achievement of JRJ Regime Piloted by Gamini Dissanayake
Ronnie de Mel’s contribution undervalued, corruption later gnawed at its vitals
Excerpted from Volume Two of Sarath Amunugama’s Autobiography
One of the spectacular achievements of the Jayewardene regime was the completion of the accelerated Mahaweli Development scheme. The Ceylon National Congress and its successor the UNP under the Senanayakes paid special attention to the development of the Dry Zone which was the heartland of the Sinhala Buddhist civilization. Archaeological findings have shown that Anuradhapura from the fifth century BC onwards was a magnificent world centre of Theravada Buddhism.
In addition to the monasteries and dagobas, bigger than the pyramids, the Sinhala Buddhists were heirs to an advanced irrigation and water management system the like of which the world has rarely seen. It was part of a hydraulic civilization which was strong enough to spread its influence throughout Buddhist Asia of the time. However, with invasions from South India and the spread of malaria, Sinhalese kingdoms began to drift south westwards along the rivers and tributaries and by the 16th century finally sought refuge in the hilly fastness of Kandy.
The ancient irrigation systems were abandoned, and the jungle tide enveloped the Raja Rata or the land of Kings. D.S. Senanayake made -the restoration of the irrigation system of the Rajarata the linchpin of his agricultural policy. Step by step he restored the ancient tank and canal system and settled the population overflow from the wet zone in the newly reclaimed areas. These settlements were called colonization schemes. It was an unfortunate use of terminology which was used by the diaspora to allege racial bias.
DS also imbued two of his promising youthful ministers, Dudley and JR with the mystique of the ancient civilization of the Sinhalese. JRJ would, over a brandy after dinner, regale his friends about the trips he made with DS to the Rajarata. The old man, who was a trained planter from the Agricultural School in Kundasale, knew of the value of frequent inspections and easy familiarity with the farmers. JRJ had enjoyed his stint as the Minister of Agriculture in an early UNP cabinet and was credited with the introduction of the Wap Magula’ about which we will narrate later in this book.
The early work on the damming of the Mahaweli ganga was undertaken by CP de Silva during Dudley’s 1965-1970 regime. This was the largest river valley development which could be undertaken in the country because the length of the river necessitated the construction of several dams. With Mrs. B’s victory in 1970, Maithripala Senanayake who was made Minister of Irrigation also supported this venture since as a leader of the Rajarata his dream was to bring Mahaweli waters to his home base.
Thus, when JRJ and Gamini Dissanayake turned their attention to this project they were lucky to find that most of the preliminary work in planning this venture was already complete. One of Gamini’s strengths was that he could get on with a job without starting a ‘witch hunt’ against Government officials. With his ample charms and persuasive skills, he could win over any able civil servant without wasting his time on recriminations.
This was a great advantage since he could build up a team of engineers and officials who had worked on this project under different administrations. I knew personally that he shrewdly flattered Maitripala Senanayake by consulting him and giving him credit for promoting this scheme. Senior engineers like Alagaratnam, Ratna Cooke, Manamperi and Laduwahetty became his chief technical advisors. On the planning and administration side he relied on a senior Civil Servant Sivagnanam who had guided the project under Maithripala Senanayake. This was a strategically wise decision because Siva played a vital role till the completion of the project.
But it was JRJ who gave life to the project. After a thorough briefing by officials, with maps on the table, which the President listened to with rapt attention, he inquired about the timeline for the completion of the project. When told that it would take 30 years, he gave a directive to his stunned listeners that it should be completed in six years. In other words he wanted the Mahaweli headworks to be completed by the end of his term of office.
ew knew that he had spent two days before that, intensively studying all the reports on the Project. How was this telescoping possible? The Mahaweli project was to have five dams – Rantambe, Kotmale, Randenigala, Victoria and Moragahakanda and a gigantic network of canals which would both augment many existing tanks in the dry zone as well as bring new areas under cultivation. JRJ was quite capable of giving such peremptory orders which modern management experts call ‘thinking out of the box’.
Nobody there and certainly not the ambitious Gamini, would think of telling the President that it was impossible. In fact, when they examined the problem they found that it could be done. The success of the Mahaweli scheme was Gamini’s path to fame, and though it drew the envy of others like Premadasa, he became a Presidential hopeful with a solid reputation and a dedicated staff behind him.
The earlier 30-year perspective was based on a sequential building of Mahaweli Dams. The new six-year timeline demanded that at least four of the dams be built more or less simultaneously. This entailed a massive funding and organizational effort on a scale which the country had not witnessed before. With the President identifying it as a lead project, the full support of the Ministry of Finance was mobilized, and though Ronnie de Mel always complained that his contribution was not duly recognized, he played a very important role.
It was decided that the funding and contracting out of the construction of each dam and canal network be undertaken on a bilateral basis under the umbrella of the World Bank. Though there were many earlier misunderstandings, the Bank under its deputy head David Hopper came to recognize it as one of its major global projects.
It must be mentioned here that the reputation of the JRJ government in the west as a pathfinder in ‘rolling back communism’ gave it a favourable positioning when seeking bilateral funding. There was a large component of grant aid in the financing packages while the World Bank ensured that bridging finances were provided at concessionary rates.
Since the Mahaweli scheme made the country self-sufficient in food grains, the net savings in the national budget on rice imports made repayment feasible unlike in later long gestation projects like highways.
The funding of Kotmale [Sweden] Randenigala [FRG] Victoria [UK] was secured on concessionary terms. Contracts were given to major companies like Skanska and Balfour Beaty who built up a local construction industry by subcontracting to local enterprises which today are the front line construction companies in the island. Since these projects were awarded on a `turnkey’ basis they were completed on schedule.
After Mahaweli, Sri Lanka became self-sufficient in food grains. Unfortunately after Gamini’s dismissal from office, successive governments have given this portfolio to incompetent and corrupt rural politicians who have not been able to harness the full potential of this major development project. These ministers were more interested in the lucrative business of awarding tenders and allocating newly opened Mahaweli lands to their kith and kin and political supporters.
It is well known that most Ministers of Agriculture have educated their numerous children abroad with funds provided by suppliers of fertilizers. Today Mahaweli is nowhere near being the game changer of our economy that was envisaged by JRJ and Gamini. It has however closed the chapter on ‘rice politics’ which had been the bane of JRJ’s political career and the linchpin of SLFP’s politics.
From the Island Newspaper of 1.1.2023
https://island.lk/mahaweli-a-spectacular-achievement-of-jrj-regime-piloted-by-gamini-d/
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July 28, 2022 · 8:53 pm
The Mahaweli Project: The Mother of All Development Schemes in Sri Lanka
Ajit Kanagasundaram
40 years have now elapsed since
the launch of the accelerated Mahaweli project, so it is an opportune time to
review what was done and the benefits and shortfalls of the project to the
nation. This project was the culmination of a 50 yearlong process that started
with the rehabilitate ancient irrigation works and settlement of the dry zone
lands that was initiated by our first Prime Minister, DS Senanayake, when he
was the Agriculture Minister in the State Council during the British Raj. After
independence, this moved on to more ambitious projects building large
multi-purpose schemes like Gal Oya and Uda Walawe culminating in the
accelerated Mahaweli project.
I have written this article on the Mahaweli project from the published material available, the fragmented and haphazardly maintained records at the Mahaweli Authority (unlike the Gal Oya Board who kept meticulous records) and above all from the information and advice of my friend Professor Gerald Pieris. He was a serious postgraduate scholar at Cambridge doing a PhD under Professor Ben Farmer, and I was a playboy undergraduate when we first met over 50 years ago. I could not have written this without his help, but the opinions expressed and the conclusions are mine alone.
Let me give you a brief history
of irrigation, colonization and land development. In the 1930s, DS Senanayake
started the process of restoring old abandoned tanks and irrigation systems in
the Dry Zone and settling Sinhala farmers from the Kandyan areas as colonists
in the Anuradhapura, Polonnaruwa, and Kantalai areas. This was the central
plank of DS’s policy and was done to alleviate the acute land hunger among the
Kandyan peasantry, whose ancestors had their lands confiscated (under the
infamous Waste Lands Ordinance) for coffee and tea plantations after the
Kandyan revolt of 1848. His objective was to create a nation of
“self-sufficient, prosperous peasantry”. These irrigation, rehabilitation and
settlement projects, although piecemeal, were done at a very reasonable cost
and can be considered a great success as is well documented in BH Farmer’s
classic study – Pioneer Peasant Colonization in Ceylon
When he became Prime Minster of an independent Ceylon in 1948, DS, became more ambitious and the result was the Gal Oya Project, whose history I have documented in an article in the Island newspaper last year. This project was a shining example of what can be achieved – all objectives were met, it was financed from our own resources and managed by Sri Lankans and there was never any hint of scandal. It was a pity that at the end communal anti-Tamil riots marred the record but this did not diminish the achievement itself. This was followed by the Walawe project, Kantalai and other smaller projects. However dry zone development and colonization was in the Senanayake genes and Dudley Senanayake revived the old dream of developing the resources of Sri Lanka’s largest river basin, the Mahaweli basin, during his period in office from 1965 to 1970.
Actually, this was an old dream.
The ancients, who were master irrigation engineers, were aware of its potential
of the Mahaweli but lacked the equipment to build dams and diversions on such a
large scale in the hill country. There were some attempts to use the waters of
the Mahaweli like the Minipe annicut that took waters 48 km to irrigate lands
near Pollanaruwa (not to be confused with the even longer at 52 km Yoda Ela),
and smaller works like Elahera and Nalanda Oya. The British under Governor Ward
in the 1860s similarly constructed some small diversions but did nothing of any
consequence. The SLFP government under Sirimavo from 1960 to 1965 also [built]
the Maduru Oya Dam (ADB financed) and Polgolla dam, but this work was not part
of any comprehensive plan.
Then under Dudley Senanayake’s
government from 1965 to 1970 (an oasis of progress and sanity compared to what
was to follow both under the SLFP and UNP), the project was revived and the
UNDP and FAO were commissioned to do a comprehensive study. They produced a
seminal report in 1969 which recommended a Master Plan spread out over 30
years, covering not only the Mahaweli basin, but the adjacent of Kala Oya and
Maduru Oya (covering an estimated 40% of the country!) , including 4 major
dams, power generation of 470 MW and the clearing and irrigation of 365,000
hectares of land (900,000 acres) using the 6 million acre feet of available
water. Further the plan envisaged that only 25% pf the land would be used for
subsistence paddy cultivation; [whereas] 55% would be used for cash crops and
the balance for other uses like forestry – I will revert to this in my
conclusion. 250,000 families were to be settled although no details of
the modalities were presented
This report, which highly
recommended the project on economic and social grounds, projected an annual
return of 15% on a capital outlay of Rs 6000 million – a very decent return for
a project with social as well as economic objectives. Here was a project that
would inspire the whole country, occupy the nation’s energy for a generation
and transform our agricultural and energy sectors and the UNP seized on it
eagerly. The Mahaweli project was launched, just before the 1970 elections, at
a grand gala event, with dancers representing the mighty Mahaweli, and
thousands in attendance. No doubt the UNP and Dudley Senanayake thought that
this would win them the next election and in any sensible nation it would have.
Instead the people preferred the SLFP promises of socialism, free rice from the
moon, all this tinged with Sinhala chauvinism – “Dudleygey badey masala vadey”–
was an effective election slogan, referring to his failed attempt to resolve
the ethnic issue with devolution, and this won the day. The UNP under Dudley
went down to a crushing defeat and the country was plunged into 7 years of
hardship caused by misguided socialist policies, when they also degraded the
single best economic asset left to us by the British, the tea plantations,
through a misguided and badly executed nationalization policy. Nothing much on
the Mahaweli was accomplished during these years. The only positive outcome of
these 7 dreary, wasted years was that the population was finally disenchanted
with the promise of an easy life under ‘socialism’, and this particular siren
call will never be heeded again.
In 1977 the UNP under JR
Jayewardena were returned with a two-third majority and a mandate to dismantle
socialism and nepotism, and promised corruption free good governance and
consequently earned the goodwill of the West. JR, who unlike the Senanayakes was
not viscerally interested in agriculture and land settlement, nevertheless
seized this opportunity and announced the Accelerated Mahaweli Project to be
completed in 7 years instead of the 30 years as envisaged in the UNDP Master
Plan. In addition, coasting on the Western goodwill generated by his election
manifesto promising good governance and development (all these promises were in
fact never kept), he negotiated grants and aid for the dams and power stations
whose construction was to take place simultaneously not serially as originally
envisaged.
The UK granted 140 million
pounds and offered to build the Victoria Dam and power station, the largest dam
in the project and the single largest foreign aid grant that the UK has ever
given even to this day. Similarly, Germany and Sweden gave grants and soft
loans and offered to handle Randenigala and Kotmale respectively. Never before
had so much aid been offered on such generous terms to any developing nation –-
all they expected in return was for Sri Lanka to become a model of democracy,
development and harmony as an example to other developing countries – these
expectations were later shattered by JR’s communal policies culminating in the
ethnic pogrom of 1983. However, the bold decision to compress a 30-year project
into 7 years was the right decision and posterity will judge this as JR’s major
(probably only) positive contribution to the nation.
JR appointed Gamini Dissanayake,
a charismatic and energetic young MP, as the Minister of Mahaweli Development
in a newly formed ministry and NEDECO, a Dutch engineering firm, was tasked to
prepare the detailed implementation plan. Gamini was an excellent choice as he
was intelligent, hardworking and had the ability to attract talent. Besides the
main dams and power stations that were being built by foreign aid donors, all
the Mahaweli Authority had to do was concentrate on downstream development like
land clearing, building of irrigation systems and settlement. This they did
energetically and effectively (at least at the start). The project had the
following components:
§
A reservoir in Kotmale in the
upper reaches of the Mahaweli mainly for storage and hydro-power
§
A large storage and power dam in
Victoria in the middle-reaches
§
The Randenigala reservoir with
German aid
§
Two other smaller downstream
reservoirs
§
Maduru Oya was already being
built with Canadian help
All the above was with foreign
aid – the Mahaweli Authority was responsible for land clearing, roads and
settlement.
Settlement
The first area to be developed
was System H at Maduru Oya and then System C . Each settler family was given
2.5 acres but unlike in the Gal Oya project there was no careful select of
colonists and the agrarian pattern was very similar to that followed in earlier
projects . In other words the colonists were subsistence farmers dependent on
paddy farming . There was no coordinated investment or effort to develop cash
crops like fruits and vegetable production or create the necessary
infrastructure like seed stations in model farms, storage cool rooms etc, in
what the original NEDECO plan envisage for 55% pf the area. There was no
concerted effort to develop all the lands opened up – the System B has
still not been fully developed to this day.
The number of colonist families
settled is given below:
1979 to 1988 80,110
1989 to 1998 666401
………………… (from
Prof Gerry Pieris: Challenges of the New
Millennium)
The original target of 250,000
families will never be reached. Moreover there was insufficient follow-up for
settled families. In Gal Oya there was a colonization officer for every 100
families and a record was kept of the farming practices and output of each
family unit (this was used by us the socio-economic survey that preceded the
Farmer report). There was no similar effort in the Mahaweli and the families
were essentially left to their own resources and naturally replicated the
subsistence farming patterns that was all they knew about.
Impact on Ethnic Relations
One underlying motive of the
settlement pattern was to change the demographics of the Eastern Province, and
it was clearly UNP policy laid down by JR and energetically implemented by
Gamini. In Systems H and C 90% of the settlers were Sinhala and 10% Muslim –
there were no Tamils although the land was in the Eastern Province, a majority
Tamil province.
The Tamil parties led by the
TULF vigorously protested this plan as they claimed that it was in the historic
‘homelands’ of the Tamils. In fact this claim had no justification in history –
the Jaffna Kingdom, for the few centuries of its existence, ruled only the
Jaffna peninsula and the northern fringes of the Wanni. The Eastern Province
was part of the Kandyan Kingdom or at least paid tribute to it. The Tamils had
settled only in a 10-mile malaria free coastal belt along the Eastern seaboard
and there were Sinhala settlements scattered thought the interior. These were
undoubtedly the remnants of an earlier much larger population cluster. The
Mahaweli project, a national endeavor, should have settled people from all over
the country, and the majority had to be Sinhala to reflect the demographic
distribution of the country. No, the injustice towards the Tamils was that they
were not even given 15% of the land, to reflect their proportion in the
country.
But by this time the Eelam war
had started and the Indian government got involved in its ill-advised and
ill-fated intervention [in the year 1987]. The result was an agreement with the
Sri Lanka government enshrined in a document called Annexure C. This stated,
amongst provisions for devolution, which were never implemented, that the
settlers in the Mahaweli System were to represent the ethnic composition of the
Island – ie 75% Sinhala, 15% Tamil and 10% Muslim. This was when the Reverend
Divulugala Seelankara Thera , a maverick and hitherto unknown monk, came in.
Secretly encouraged and supported by Gamini and his senior officials, and using
Mahaweli Authority funds and transportation, he brought in thousands of Sinhala
settlers, selected willy-nilly, to settle the lands that were to be reserved by
Tamils. But this time Gamini had gone too far, and under Indian government
pressure (well documented by the Indian High Commissioner Dixit in his book)
the army was used to evict some of these settlers. The LTTE later assassinated
this monk. But the Tamils were never settled in System B (the largest area to
be settled) as this land was by now contested in battle with the LTTE and
development work was obviously not possible. Thus, unlike in Gal Oya where they
were treated fairly, the Tamils did not benefit from the Mahaweli project and,
in fact, many were even evicted from their ancestral lands in the name of
development. This went even for those Tamils actually displaced by the Mahaweli
project.
Power Generation
This was the most successful
part of the Mahaweli project. The hydro resources exploited by the project are
:
Bowatenne
40 MW
Kotmale
200 MW
Maduru
Oya 40 MW
Plogolla Barage 40 MW
Randenigalla
135 MW
Rantambe
52 MW
Victoria
210 MW
The power generated alone
justified the capital expenditure on the project and protected the Sri Lanka
economy from blackout during the oil price surges in the early 1980s. For many
years Sri Lanka obtained over 50% of its power from Mahaweli, but this has now
fallen to about 35% due to changes in the rainfall pattern and silting in
the upper reservoirs due to poor land use practices in the Kandy urban
environment, particular excavations for building sites.
Corruption
In the Accelerated Mahaweli
project, JR opened the floodgates to corruption on an industrial scale and this
is one area where Gamini will be judged negatively by history. This was in
stark contrast to earlier projects like Gal Oya where there was not even a hint
of scandal. When my father was Chairman of the Gal Oya Board from 1951 to 1957
and building a house in Colombo, he would not even order building supplies
under his own name fearing unsolicited discounts from suppliers! The LSSP youth
paper of the 1980s described many instances of corruption and favoritism in the
Mahaweli projects. The joke that the Mahaweli had been diverted from Trinco to
Finco had a lot of truth in it. Finco, a company owned by Gamini’s in-laws –
the Weerasooriyas — benefited from lucrative contracts, tenders and
‘consultancy’ projects. So did the Maharajah organization – at least in
this area the Tamils got their fair share! This is also documented by Gamini
Irriyagolle, an erstwhile friend of Gamini, in his book The Truth About the Mahaweli. There were other
examples. One Mudalali with UNP connections was given the monopoly contract to
supply concrete cement for the project, without having to go through a tender
process. At Rs 6000 trips per delivery in his fleet of 30 trucks he made a
fortune, and furthermore he received a loan from Bank of Ceylon to buy the
cement mixer trucks without having to supply collateral. He is a household name
today and has diversified into other businesses like hospitals. The donors were
aware of this, but helpless to change it and it was widely rumoured that Gamini
was one of the richest politicians in Asia in the same league af Marcos and
Suharto.
Conclusion – The Missed Opportunity
While it is true that the
reservoirs and power stations were completed on schedule by the donors, a
project of this magnitude required the focused and undivided attention of the
government in downstream development. In the absence of this process, the potential
of the areas opened (some of the most fertile in the Island) was never fully
realized. It is easy to award mega-contracts (and collect the kick-backs) but
it is much harder to ensure that it effectively used to its full potential. The
land could and should have been used for high value added cultivation of
vegetables and fruits in addition to paddy cultivation, but this required
sophisticated methods and extension infrastructure for seed material and other
inputs, for which there were no longer any funds or even interest by the
government.
Mere paddy cultivation was no
longer attractive even for rural families by the mid 1980s – an average farmer
getting 4 metric tons per hectare in 2 annual crops could expect to realize Rs
50,000 per annum. Far less than he could earn in cities as a 3 wheeler driver
or security guard or in the Middle East. The answer, even now, is to raise
productivity to the levels currently attained by demonstration farms in Sri
Lanka (8 MT per acre), if not to the levels in Japan and Taiwan where farmers
get 6 times the output from a hectare of paddy land. Unlike in the Gal Oya era
in the 1950s when there was a great demand for the paddy lands to
resettle Wet Zone farmers, by the 1990s land hunger had eased and
there were other options for village youth especially in the Middle East and in
the cities. To this day the lands, especially under System B remain
underutilized.
A short anecdote will illustrate
this. A friend of my son who is in his early 30s and an investment banker in
Singapore, decided to return to Sri Lanka to try his hand at large scale
farming in the Mahaweli area. As he was well connected politically (his uncle
was a Muslim MP from down south) he had no problems in acquiring the land. He
had a Lebanese partner who was willing to invest and market the produce, and
the soil was analyzed and found to be ideal for grapes. 500 acres were planned.
However, after 3 years he returned to Singapore disappointed and disillusioned.
The roads were terrible, impassable during the rains, and above all there were
no storage cool rooms to keep the produce prior to air shipment. These are
basic amenities that should have been provided by the Mahaweli Authority and
its absence condemned an enterprising young man to failure. If he, with his
wealth, foreign contacts and access to capital could not succeed, what hope is
there for the ordinary Mahaweli settler!
Today the Mahaweli Project has
still not realised its full potential, partly due to the distraction of the
Eelam war, but mainly due to the lack of interest on the part of both UNP and
SLFP regimes. Entrepreneurs will find there is still good land available for
agricultural projects, if they are not after a quick buck – agriculture
requires patience and staying power. JR should be given his due for his bold
initiative in compressing the project from 30 to 7 years. Gamini also deserves
credit for the implantation of the four major dams. However much remains
to be done from an overall economic perspective as the Mahaweli project merely
created 80,000 settler families living just above the poverty line (see Thayer
Scudders book – Large Dams and their Impact). We
could and should have aimed higher. Take paddy production – our current average
is 4 MT per hectare when government run model farms achieve 8 MT per hectare
(still lower than Japan, Korea and Taiwan – though admittedly they have more
sunlight hours in the summer).
If we had kept up the rate of
increase that was achieved by Dudley Senanayke’s government from 1965 to 1970
when yields per hectare increased by 34%, we would have achieved
self-sufficiency even without the Mahawelil lands. Dudley had the ‘Govi Rajah’
scheme to identify and encourage the best farmers in each district and all MPS
had to participate. Dudley was even photographed in an ‘amudey’ (loin cloth)
ploughing a paddy field, much to the amusement of Colombo sophisticates in
their drawing rooms. But this was exactly the right policy to encourage and
reward good farming practices. But after his time, all our leaders had other
priorities and a golden opportunity was missed.
The Mahaweli Project should have
given us a surplus to export rice of the quality and variety demanded by
foreign customers — Thailand for example exports 10 million metric tons per
year giving a handsome return to their farmers. Also with fruits and vegetables
– the original plan envisaged that 55% of the land would be used for this
purpose but I doubt if we achieved even 10% of this. I am not talking about a
cottage industry, but a major export earner if we had done this seriously.
Thailand for example exports over $ 3 billion worth of fruits and vegetables
per year (up from $ 250 million ten years ago), over $ 1 billion to China alone
(Bank of Thailand statistics). India’s exports of Mangoes alone are $1 billion
(equivalent to all our tea exports) largely consisting of a variety called
Alphonso that, in my opinion is inferior to our best Jaffna mangoes, from which
we could have developed a breed to be planted in the Mahaweli zone. Our record
in dairy production is also feeble, and I notice that we now import oranges
from California and Israel. We no longer get the ‘panni thodang’ from
Moneragala and Bibile that were the sweetest oranges I have ever tasted. We
could have cultivated this on a large scale and it had the unique advantage of
being green in colour rather than orange, and this would have helped create a
brand.
An Israeli expert on
horticulture, Itzak Perry, got down by my father to advice on citrus
cultivation in Gal Oya told him that not only was the entire Eastern Province
suitable but that our so called ‘dry zone’ gets four times the rainfall
of the Negev desert that the Israeli’s have made bloom. What have we achieved
with or God given rich soils and abundant water? Quoting from a Dutch Embassy
report of 2015 – Vegetable exports $37m, imports $392, fruit exports, fruit
exports $212 million and imports $68 million – a net deficit of $211 million.
If we achieve even half of Thailand’s current exports of fruits and vegetables
in 5 years, we would at one stroke solve both our employment and foreign
exchange problems. This is where the future lies not in futile dreams of
enormous FDI, building a Megapolis (Megalomaniapolis?) and becoming an
international banking center.
Let us examine this last
proposition for a moment and realize how unrealistic it is in a country where
over 90% of government revenue goes on debt servicing. FDI for industry
requires good infrastructure of industrial parks (we don’t have it), Ports (the
only thing we do have), a pool of technically trained labour ( we have only 2
technical colleges and Singapore 6 and a nationwide apprentice programme), and
cheap reliable electricity (a joke?). So there is nothing special about Sri
Lanka and the only significant industry that we have created is garments which
relies on cheap labour and foreign quotas.
As for becoming an international
banking center, it assumes that the world needs another one in addition to New
York, London, Dubai, Singapore and Tokyo (and perhaps Frankfurt after Brexit) –
and we do not have the necessary pre-requisites . First an ecosystem of
lawyers, insurance specialists, technologists and workers fluent in English,
good office space at a reasonable cost (space at the World Trade Center costs
Rs 600 to Rs 900 psf/month for a 20 year old building, while more modern office
space in Changhi business park in Singapore rents for Sing $4.50 (equivalent to
Rs 450 per sq ft/month), and world class telecommunication links – an example
of our SLT is that we moved office to Rajagiriya 6 months ago and are still
awaiting our land line to be moved (the excuse is there are no “loops”)!
The most important requirement
however is a judicial system with a track record of incorruptibility and
impartiality (another joke?). Without this office space in expensively
reclaimed land will not find tenants – I can say this with 25 years of banking experience
in Singapore, where I was instrumental in setting up a technology hub for
Citibank in Singapore. Overall in technology alone there are now over 10,000
staff in high paying jobs.
I am tempted to paraphrase Bill
Clinton’s famous aphorism when he won the 1992 Presidential election – “It is
agriculture, Stupid”. We have been blessed with some of the best land and water
resources and must learn to use it. To do this will not be easy and will
require a multi-generational effort. D S Senanayake’s ambition was to
create a “self-reliant, prosperous peasantry;” – emphasize the word prosperous.
If we do not follow this simple objective set for us by our founding father,
our youth will continue to drift to dead end jobs in the cities as security
guards or 3-wheeler drivers, and our girls to domestic servitude in the Middle
East or the “satanic mills” of garment factories or work in the numerous hair
salons that have sprung up, while moonlighting as “hostesses” to supplement
their meagre income. The choices are stark but do we have an option?
Ajit Kanagasundram …….. ajitkanagasundram@gmail.com. The writer is a former banker who is now an investor in renewable
energy
**** ***
A NOTE from Professor CHANDRE DHARMAWARDANA in
Canada, 27 July 2022:
“During the time of DS, he gave
the job to competent people and did not interfere, or put in his own eccentric
views (as Gota did with regard to fertilizers), and followed due process.
Note Matt Ridley’s comments on the fertilizer disaster:
………………………………………. https://www.rationaloptimist.com/blog/eco-extremism-in-sri-lanka/”
THUPPAHI ADDENDUM: Some Previous Items
on the Dry Zone Colonization & Development Schemes
KK De Silva: “The Gal
Oya Scheme and the People who made it a Reality,” 20 May 2022, https://thuppahis.com/2022/05/20/the-galoya-valley-scheme-the-people-who-made-it-a-reality/
From KM. De Silva: DS. The Life of DS
Senanayake, (1884-1952): “DS Senanayake’s Endeavours in
Peasant Agriculture,” 26 January 2022, https://thuppahis.com/2022/01/26/ds-senanayakes-endeavours-in-peasant-agriculture/
Chandre Dharmawardana: “Addressing a Criticism of DS Senanayake’s Dry Zone Colonization
Schemes,” 28 May 2021, https://thuppahis.com/2021/05/31/addressing-a-criticism-of-ds-senananyakes-dry-zone-colonization-schemes/
Michael Roberts 2020 “Introducing PUL ELIYA by Edmund R. Leach,” 21 December 2020,
……………………………………………. https://thuppahis.com/2020/12/21/introducing-pul-eliya-by-edmund-r-leach/
Gerald H Peiris: “The current land reforms and peasant agriculture in Sri Lanka,” South Asia Journal of South Asian Studies, 1975 pp 78-89
Mick P Moore: The State and Peasant Politics in Sri Lanka,
CUP, 1985 …. https://www.cambridge.org/core/journals/journal-of-asian-studies/article/abs/state-and-peasant-politics-in-sri-lanka-by-mick-moore-cambridge-cambridge-university-press-1985-xv-328-pp-m
5
responses to “The Mahaweli Project: The Mother of All Development Schemes in Sri
Lanka”
- Chandre Dharma-wardana
Ajit K has given an excellent overview. Sri Lanka should use its
biodiversity, its rainfall and its land optimally to create food for
consumption and export, and also energy instead of going for fossil fuels.
Trying to “industrialize” and create concrete jungles and asphalt highways that
seem to inspire some planners who still hark back to Soviet style planning or
neoliberal approaches should think again. Progress cannot be achieved by
rejecting technology, as has been done by the Jayasumana-Ratana-NalindeSilva-Padeniya
band wagon claiming that we have to go back to “traditional knowledge”,
traditional (low-yielding) seeds, and not use agrochemicals, to be satisfied
with two metric tonnes of paddy per hectare!.
I hesitate to pick on Prof. Chandre Dharmawardana’s expertise. My
comment is related to his ‘Note’ that, “During the time of DS, he gave the job
to competent people and did not interfere..”. If so, is there a reason, why he
pined for his son Dudley to step into his shoes as the next PM, over the
seniority and claims of S.W.R.D. Bandaranaike and Sir John Kotelawala? That
sort of nepotism in 1952, was the first erroneous step that spoiled the bright
future of the newly independent nation.
- K. K. De Silva
A commendable effort to review the Mahaweli Scheme in its entirety,
including its shortcomings. It is up to policy makers to take serious note of
some of the observations made under “Missed Opportunity” in regard to what
should have been done for the greater good of the farming community & the
country under the scheme. Had the former President provided leadership to
implement some of these suggestions, instead of the disastrous organic
fertiliser policy, he probably would have won a second term.
An inadvertent error is noted in regard to the work done by the SLFP government
from 1960-1965. The preliminary work on Maduru Oya dam was entrusted to the
RVDB & the work commenced in 1978 under the direction of veteran Engineer
M. S. M. De Silva. He was living at the site in a caravan & the workers,
who had been briefed about the ancient Maduru Oya Sluice, came across it when
the jungle was being cleared. At the time of the 1978 November cyclone, the
Sluice was still under excavation. However, the dam was constructed with
assistance from Canada (as stated in the essay) by a joint Venture of 4
Canadian firms (FAFJ) from April 1980 to June 1983. The Polgolla dam was
completed during the SLFP government from 1970-1977.
- Chandra Maliyadde
Ajith K’s overview is excellent and discloses the true picture hidden
behind Mahaveli. The Mahaveli Development Authority was created for a specific
job and for a specific period. This was done when Sri Lanka had a Department of
Irrigation equipped with aii the facilities, equipment and technically
competent technical staff. Engineering work was completed within 7 years but
the more difficult soft ware part has been completely neglected. Further by
accelarating a 30 year project to 7 years the environment was completely
destroyed.
With all due respect to DS as Ajith K says “DS Senanayake started the process
of restoring old abandoned tanks and irrigation systems in the Dry Zone and
settling Sinhala farmers from the Kandyan areas as colonists. This was
purposely done to settle Sinhala farmers in Tamil and Muslim dominated areas.
This was one mooted point for the rift between races.
Today there are many agencies for the Mahaveli including a Ministry but
Mahaveli development is stalled. I also invite ‘readers to look at the ease of
doing business index computed by World Bank to identify why FDI is not
attractive in Sri Lanka.
- Vijaya Fernando
Amit Kanagasundaram has done extensive research and congratulations on a
comprehensive account. People centric development by the people is still
possible. Money centric development is not development at all as money itself
is an artificial construct.
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The Mahaweli Development Project In Hindsight | Thuppahi's Blog
The Mahaweli Development Project In Hindsight
Chandre Dharmawardena … an original article …with highlighting imposed by The Editor. TPS
It is interesting to look at the agenda of the workshop held at GANNORUWA in August 1974 [see references below] and ask what questions (and topics) should have been raised at that time, in hindsight, in the context of a number of issues where the Mahaweli project went very badly wrong.
Although there are many issues to consider where the Mahaweli project made mistakes, I will here write on just one issue that led to the deaths of thousands of farmers, beginning from late 1990s, initially mostly in the Mahaweli C project area (I think).
Mahaweli is all about water and settlement of people (not “colonisation”. That word should be reserved for action or process of settling among and establishing control over the indigenous people of an area, etc., see Oxford Dictionary). People were settled in new land opened up by the new availability of water for farming and for life. Many of those areas had never been farmed or settled in, even during historic times of the ancient kings when the civilisation of the land was in the Rajarata.
The topics discussed then do not look at the environmental impact of a massive irrigation project like the Mahaweli. However, the outlook in the 1960s and early 1970s was somewhat naive and environmental impact issues were not taken seriously. Even questions like schooling and play areas for children, and the medical facilities for the settlers were left as subsidiary matters secondary to the big job of hydraulic engineering.
The question of the availability of good drinking water for settlers was never raised.
In going from the Mahaweli project to the accelerated Mahaweli project, the number of setters was increased, and many were settled in higher ground AWAY from the river or associated irrigation canals. They were given areas for paddy cultivation in the lower land, but their homesteads and vegetable gardens were higher up in elevation. As such, these settlers living on high ground dug wells close to their homes and consumed well water, while the paddy plots were irrigated using Mahaweli water.
If we consider a a village like Ginnoruwa (in Girandurukotte), it has three adjacent villages, namely Badulaupura (B), Dolahekanuwa (D), and Sarabhoomiya (S). All three villages were settled in the 1980s and almost all are farmers came from Badulla District in the Uva province. There were many other such settlements during this period, in many dry zone areas irrigated by the Mahaweli project.
By the late 1990s, medical officers noted the rise of a new type of chronic kidney disease among these settlers. Unlike normal chronic kidney disease (CKD) which is accompanied by signs of diabetes and hypertension, this new CKD showed no such symptoms until very late into the disease.
Its origin (aetiology) was a puzzle and hence the disease was named CKDu, or chronic kidney disease of unknown aetiology. By about 2005-2010 CKDu had reached epidemic proportions, causing a major health concern and breaching the capacities of medical services of the region.
A number of “theories” regarding CKDu soon emerged among the public.
(i) It was conjectured that the farming techniques that used fertilizers and pesticides were causing the disease, and that Mahaweli brought along an additional surfeit of such agrochemical residues from the tea-plantation hills that provided the catchment area of the Mahaweli.
(ii) An occult dimension was added to this conjecture when an academic of the Kelaniya University (the late Dr. Nalin de Silva) and some of his students (notably, Channa Jayasumana) claimed that God Natha had revealed that the water and the soil of the Rajarata region were contaminated by Arsenic, brought in via the fertilizers and herbicides applied by the farmers. This was also taken up by Ven. Aturaliye Ratana, a political monk, and Dr Sanath Gunatilleke, a California Medic. Channa Jaysumana, Sanath Gunatilleke and Ms. Senanayake (a clairvoyant) published a paper claiming that Arsenic and glyphosate acting with the hard water of the region were causing CKDu.
(iii) A third theory proposed by the geologists and chemists of the Peradeniya University was that the disease-endemic areas were geologically rich in fluoride, and that the water consumed by settlers who got sick contained elevated levels of fluoride.
The claim that agrochemicals were the cause resonated with a lot of urban intellectuals and politicians. Many urban intellectuals believed in “returning to nature” and “organic farming, while nationalists believed that returning to “traditional agriculture of the Sinhala Kings” was the way forward. They were able to get the popular herbicide glyphosate banned, and later they got all fertilizers banned, during the time of President Gotabhaya. These militants did not appreciate that several metric tonnes of organic fertilizer were needed to replace the few kilos of chemical fertilizer needed per hectare. Such huge amounts of organic fertilizer are not available anywhere. So, this led to the economic collapse of the agriculture sector and triggered an uprising that eventually led to Gotabhaya’s ouster.
Meanwhile, field studies of the water consumed by the farmers, and the incidence of CKDu have (in my opinion) clarified the origin of CKDu.
Most farmers who consume water from the irrigation system do NOT contract CKDu. Farmers in the Hill country who use agrochemicals extensive do not contract CKDu. Hence the cause of CKDu cannot be agrochemical residues. A WHO study [BMC Nephrology, 14, 180 (2013)], and several other independent studies found that the Mahaweli water is not significantly contaminated with agrochemicals.
Going back to the village of Ginnoruwa, the people who lived in Sarabhoomiya village, which was close to the irrigation water system, did NOT get CKDu. However, those who lived in Badulupura, on higher ground, and who used their dug wells for drinking water contracted CKDu. Chemical analysis has shown that these Badulupura wells are rich in fluoride and electrolyte ions like Magneisum and Calcium. [Balasooriya et al Exposure and Health. 12, 823 (2020).]
When such water was fed to laboratory mice, they too ended up with damaged kidneys, as established in a key research paper by Wasana et al [Nature Reports 2017] and in interpretive studies [Dharma-wardana, Environ. Geochem & Health. 40, 705 (2017)].
Today, it is accepted that CKDu can be prevented by supplying clean drinking water to the settlers.
So, if the Mahaweli planners had, in the 1970s, done simple chemical analysis of well water in the Mahaweli settlements, and tested the water to determine if the water is suitable for drinking, a major medical catastrophe could have been avoided, and thousands of lives could have been spared.
Even the political history of Sri Lanka may have been different as there would have been no incentive to ban agrochemicals and create the peasant uprising that triggered the Aragalaya……………….
See: https://www.realclearmarkets.com/articles/2023/01/05/the_us_must_learn_from_sri_lankas_green_policy_mistakes_873852.html
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Responses to “The Mahaweli Development Project In Hindsight”
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A Critical view of the conception of the Mahaweli Development Scheme (MDS)
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Dear Michael, Many thanks for this outstanding article. What a privilege it is to have had you as a resource and an friend and to have your resourceful articles, spanning a wide range of topics (including even a review of my recent book). We are all in your debt. Respectfully and with best wishes. John R
Dr. Dharmawardene says thousands of lives could have been saved, if the planners of the Mahaweli Project had provided pipe borne water supply to the colonists. In hindsight, similar arguments could also be made with respect to the Second World War 2, such as, if some of the European countries were more decisive and united against Germany, millions of lives would have been saved.
As an Engineer, who worked on some parts of the Mahaweli Project, I am aware that planning was done in the late 1970s to provide water supply to Girandurukotte and other new towns to be set up within the Mahaweli Basin, but I doubt whether these plans included supplying drinking water to the colonists.
The policy in Sri Lanka in the 1970s, at the time of the Mahaweli Project, as well as at major projects constructed since the late 1940s, such as Gal Oya, Uda Walwe, Rajangana, Padaviya, etc was to allocate land for homesteaders on high ground near the irrigation canal, but there was no provision for pipe borne water supply for colonists, as at the time CKDu had not been identified as a debilitating disease.
Engineering & planning practices for any project depends to a great extent on the need for the project, available historical data, design criteria, financial resources, time constraints and the cost to benefit ratio of the project. When the implementation of the Mahaweli Project was compressed from 30 years to 5 years by the then newly elected government of Sri Lanka, designers & financial planners, no doubt, had to take some short cuts, to compress the massive project to a very short time frame. But the provision of water supply to the colonists was not an urgent item on the drawing boards. For example, in the late 1970s, many urban areas in Sri Lanka were also in urgent need of “a proper” water supply, and as such the government spending for water supply projects was directed towards urban areas that required water supply years ago rather than towards areas that needed them in a few years in the future. Further in 1970s, long term environmental modelling was still a developing science.
CKDu, as a disease in Sri Lanka was first “recognised” in about 1998 in Girandurukotte, about 20 years after the colonists were settled within the Mahaweli Project Area. However, what caused this kidney disease is still unknown even to personnel in Medical Research, hence it is called Kidney Disease of Unknown etiology (CKDu). In hindsight, it is easy to say that if the Designers of the Project had included pipe borne water supply to the colonists, it could have saved thousands of lives.
My reading of the map of Sri Lanka included with Dr. Dharmawardene’s write up, shows some areas shaded in yellow as areas where CKDu is widely prevalent, and the black dots, I believe, are areas where CKDu cases have been identified. It is noteworthy, that some of these black dots and 3 of the yellow shaded areas are in provinces where the Mahaweli water had no influence, such as the Western, Sabaragamuwa, North-Western, Northern & Southern Provinces. So the incidence of CKDu at locations outside the Mahaweli Basin are obviously due to some other causes, not attributable to the Mahaweli water.
At locations within the Mahaweli Basin, it is possible, that CKDu is a long term effect attributable to the consumption of Mahaweli Water. However, given that the diverted Mahaweli Waters are used in all areas of the Mahaweli Basin, and judging by the distribution of known incidences of CKDu within the Basin, it is more than likely that CKDu is caused by local factors rather than by the consumption of Mahaweli Water.
I have also read that CKDu has been diagnosed at other locations such as India, Middle East, Central America, South America, Africa and also in some European countries.
However, currently there is insufficient information to conclude without doubt that it is the Mahaweli water that is causing CKDu in the Mahaweli Basin, or whether Mahaweli Water has any degree of responsibility at all.