MAHAWELI DEVELOPMENT BOARD

The Mahaweli Development Board was established under Act No. 14 of 1970 (date of assent March 21st, 1970). Acting under Clause 6 (i) of the Act, the Minister for Land, Irrigation & Power, published an order in Gazette Extraordinary of 3rd May, 1970, declaring the special area which is to be developed with the water resources of the Mahaweli Ganga. The proposals outlined herein indicate a plan of development of this special area.

The functions of the Board, within any special area shall be—

(a) to promote and operate schemes of irrigation, water supply, drainage, flood control and control of soil erosion;

(b) to promote agricultural and economic development;
(c) to ensure the necessary co-ordination between the Government and local bodies in the
development of such area.

The Board may exercise all or any of the following powers within any special area:—

(a) To construct, maintain and operate such dams, channels, drainage systems and other irrigation works and structures as may be required for any of its purposes;

(b) to determine and levy rates for the supply of water for irrigation;

(c) to construct waterworks for the supply of water for industrial and domestic purposes and levy rates or fees for the supply of such water in bulk or by retail;

(d) to construct and maintain roads, buildings and other public utilities;

(e) to undertake land and agricultural development operations;

(f) to enter into and perform, either directly or through authorised agents, such contracts as may be necessary for the exercise and performance of its powers and duties;

(g) to acquire and hold any movable or immovable property, or dispose of any movable or immovable property acquired or held by it;

(h) to establish provident funds and to provide welfare and recreational facilities, houses, hostels and other like accommodation for the employees of the Board;

(I) to do all other things which are necessary for the proper discharge of its functions.

The Board may, with the concurrence of the Electricity Board, construct such installations as may be necessary for the purpose of the generation and supply of electrical energy.

The Board may establish its own departments or agencies for the purpose of any work of planning, designing, construction operations or any other work involved in the discharge of its functions, or may make arrangements with Government departments, public corporations and local authorities and other similar bodies for carrying out its functions.

The Board may, with the approval of the Minister given with the concurrence of the Minister of Finance, make arrangements with Government Departments and Educational and, Research Institutions for carrying out research, and make cash grants to such Departments or institutions for the purpose.

The Board may establish, maintain and operate laboratories, experimental and research stations and farms, for conducting such experiments and research as may be necessary in the exercise and discharge of its powers and functions.

Phase 1, as formulated in the Master Plan, comprise three projects. The Government has approved Project I (the first Project in Phase 1) for implementation and active construction work was commenced in early 1970.

The Mahaweli Development Board was constituted on the 3rd of May, 1970, and subsequently reconstructed on the 29th of June, 1970.

The Government entered into Agreement for the implementation of Project I as follows:—

(i) 26th August, 1969— Consultancy Agreement with Messrs. Engineering Consultants Inc., of Denver, Colarado, U. S. A., for Investigations, Designs and Supervision Construction of a major part of Project I of the Development Programme.

(ii) That was subsequently terminated on 31st October, 1970 and a new .Consultancy Agreement was signed with Messrs. Sogreah of Grenoble for investigations, design and supervision of construction of major part Project 1.

(iii) 20th January, 1970— A Credt/Loan Agreement amounting to U.S. Dollars 29 millions with IBRD/IDA for financing the Foreign Component of expenditure required for the construction of Stage I of Project I and investigations for Stage II.

(iv) 23rd March, 1970 — An Award to Messrs. Ingras of Yugoslavia for the construction of the Civil Engineering features of the Polgolla Complex, which include the main engineering works for river diversion at Polgolla.

(v) 19th July, 1972—The construction of Civil works of the Bowatenna Complex was awarded to the Joint Venture of Ceylon Development Engineering Co., Ltd., of Sri Lanka and Messrs. Patel Engineering Co., Ltd., of India.

International bids were called subsequently for the supply of Electro-mechanical equipment for Polgolla and Bowatenna works.