Home / TOP STORY/ New laws to revamp RPCs: PM

New laws to revamp RPCs: PM

Comments / {{hitsCtrl.values.hits}} Views / Thursday, 10 August 2017 00:21

  • Claims RPCs have benefited the most in past 150 years
  • Asserts country cannot pay the price for bad performance of RPCs
  • New management qualifications to be introduced to RPC board members

profileBy Charumini de Silva

Prime Minister Ranil Wickremesinghe yesterday confirmed that new laws will be introduced for regional plantation companies (RPCs) to improve productivity and make them accountable to Parliament.

Speaking at the Colombo International Tea Convention organised by the Colombo Tea Traders Association (CTA) to celebrate 150 years of Ceylon Tea, he claimed that RPCs had enjoyed most of the benefits of the tea industry and it was time for them to deliver as standalone companies.

“As far as the RPCs are concerned we will bring in a new law which will put out the duties and the factions. You will find more active golden shareholders, not the sleeping ones and they all will be accountable to Parliament,” he added.

Wickremesinghe said the Government will assess the performance of the RPCs. “The bad performers should exit the sector, while the good performers must be encouraged to modernise and go ahead and face competition from the other side. The country cannot pay the price for the bad performers.” 

He said that RPCs would have to become standalone companies and not as large groups added on to the balance sheets for them to get a better return or a price for their shares. 

“You are running a RPC that that is earning money for us. Don’t put it to get away with your imports of motor cars or bridges. Anyone who is a golden shareholder will have to be a standalone company. You can invest in the group, I have no problem with that, but we cannot get submerged,” he stressed.  

The Prime Minister also said that there will be qualifications introduced for directors who could be a non-working director and working director at RPC family holdings of 50 acres. 

“In some RPCs, they have directors who are common to all their boards. Some of them don’t even drink tea — they drink either coffee or brandy,” he quipped.  


Share This Article


Today's Columnists

A SME policy finally in Sri Lanka

Wednesday, 18 October 2017

The other day there was a communiqué that Sri Lanka must have a SME policy as per the direction from the leadership of the Yahapalanaya Government. It sure gave breath to the economy that is currently nose diving with a growth at 4.7% and all banks

How can Sri Lanka gain from Asia’s ‘noodle bowl’ of regional infrastructure?

Wednesday, 18 October 2017

China’s Belt and Road Initiative (BRI) – a web of intercontinental road, rail and port links – is a hot topic in Sri Lanka

What is more important? Fixing the Constitution or fixing the economy?

Tuesday, 17 October 2017

The Steering Committee of the Constitutional Assembly has produced an Interim Report on six key issues after 73 sessions between April 2016 and September 2017, without basic consensus among the key partners of political party representatives in the C

Top 10 tourist source markets and marketing of Sri Lanka tourism niches

Tuesday, 17 October 2017

The tourism sector is a significant that contribute to the economy of the country. Sri Lanka received over two million arrivals in 2016. This was 14% increase compared to last year 2015. In the case of foreign exchange earnings, Sri Lanka’s earning

Columnists More