Top expert flags overlapping mandates, legal confusion in Sri Lanka's PPP framework

Says SL will end up in a 'fruit salad situation' as potential clash looms between Public Finance Management Act, upcoming PPP Act and NPC powers with four entities—Finance Ministry, PIC, NAPPP, NPC claiming overlapping oversight

- By CHARUMINI DE SILVA

TOP legal expert and National Procurement Commission (NPC) Member Dr. Asanga Gunawansa on Tuesday cautioned that Sri Lanka risks creating a maze of overlapping regulatory authorities and legal inconsistencies in its approach to public-private partnerships (PPPs) and procurement, unless urgent steps are taken to align and streamline its institutional framework.

Speaking at a high-level forum in Colombo titled “PPP: Partnership and Prosperity for People” organised by the High Commission of India, in collaboration with The Ceylon Chamber of Commerce (CCC), Dr. Gunawansa described the current phase as the “reincarnation” of the NPC, first introduced through the 19th Amendment, abolished under the 20th, and revived through the 21st Amendment.

Under Article 161 of the Constitution, the Commission has now been constitutionally empowered with a clear mandate to issue guidelines, documentation, and information related to the procurement of goods, works, and services.

He noted that this marks a significant shift from earlier practices, where procurement guidelines were issued by the National Procurement Agency functioning under the Ministry of Finance, without the force of law.

"Those guidelines did not have the teeth of legislation," he explained, adding that despite judicial pronouncements by the Court of Appeal and Supreme Court giving them the effect of law, they lacked formal constitutional authority.

"Now, under the 21st Amendment, procurement guidelines are given a Constitutional mandate. Although they are called guidelines, they are effectively law," he observed.