Govt moots long term lease extension for RPCs
The government has decided to extend the lease period of the Regional Plantations Companies RPCs), said State Minister of Plantation Industries Lohan Ratwatte yesterday.
He said that the time frame of the lease period is yet to be decided but it would be long term.
The RPCs were introduced in 1992 for a period of 50 years and the companies still have over 20 years of the current lease to expire.
“However we are making this announcement well in advance so that the plantation companies should have a clear policy well in advance to plan their future strategies.”
The State Minister also said that steps would be taken to curb the violence in some of the estates manned by plantation companies and law and order would be maintained and tough disciplinary action would be taken against offenders.
Meanwhile Tea Board Chairman Niraj De Mel said that the new wage structure should be done looking at both sides of the issue as the tea production costs have accelerated.
PA Media spokesman Roshan Rajadurai said that the plantation sector had a huge setback due to the wrong decision made by the former administration to ban fertilizer. “This cost the industry a revenue loss of over USD 174 million.”
While welcoming the decision to extend the lease of the RPC’s he said that they have contributed immensely to the economy of Sri Lanka employing over 115,000 workers in RPC-managed estates. RPCs constitute 25% of all workers engaged in the tea sector and tea smallholders and state-owned estates account for 75% of the tea sector workforce.
Sri Lankan Tea sector workers are paid the highest minimum wage of all 48 sectors regulated by the Wages Board including many incentives.
He disclosed that over the past 6 year, nearly Rs. 1.2 billion has been allocated for construction of Child Development Centers.
A total of over 65,000 housing units have been provided to estate workers and families, with 44,000 units constructed since privatization in 1992.
“In addition to other welfare measures over Rs. 300 million invested in providing balanced morning meals for children.” Over 3,561 water supply projects, 134,933 sanitation projects, 1,365 km of estate road development projects, 115,949 re-roofing projects , and 1,384 Child Development Centres to date have been constructed.
“Total investment of more than Rs. 16 billion have been made towards improving conditions on RPC estates between 1992-2021.” State Minister Lohan Ratwatte and other officials at the press conference yesterday.