

The State Development and Construction Corporation (SDCC) and the State Engineering Corporation (SEC) which were running at a loss pending closure have been able to undertake Government construction contracts of roads, bridges, tunnels and flyovers to the tune of Rs.10 billion. The Ministry’s next target is to increase the present income up to Rs.15 billion at the end of this year.
Construction and Engineering Services Minister Rajitha Senaratne who met President Mahinda Rajapaksa after assuming duties as Minister had requested the President to instruct all State-run organizations to offer construction contracts to the State Development and Construction Corporation and State Engineering Corporation, the Construction and Engineering Services Ministry said.
Minister Senaratne told The Island Financial Review that his Ministry was instrumental in undertaking massive construction contracts from the public sector as a result of President Rajapaksa’s intervention. The timely action taken by him to avoid the closure of two corporation had paid good dividends.
He pointed out that the State Development Construction Corporation had undertaken a number of Government construction contracts to the tune of Rs,2000 million and they were nearing completion ahead of schedule. The success could be attributed to highly motivated construction personnel who could have been made redundant if the corporation was closed. Job security had motivated the personnel to retain their morale.
Minister Senaratne said that the State Development and Construction Corporation was established in 1971 by the late Minister Maithripala Senanayaka. It had been entrusted with the responsibility to construct roads, bridges, culverts and flyovers. In addition to that irrigational and hydro-power electricity schemes, large-scale building projects. Up to now the corporation had been able to construct 300 bridges in the country.
Referring to the construction contracts undertaken, Minister Senaratne outlined that the corporation had commenced the production of concret slabs required for large-scale construction works. The State Deveopment Construction Corporation was also blessed with an excavation expert in tunnel construction and the other 600 construction staff were performing their duties well.
He added that in 2007 the corporation had undertaken construction projects to the tune of Rs.2210 million and had completed several large-scale projects to the value of Rs. 1100 million.
Minister Senaratne emphasized that the principal objective of the State Development and Construction Corporation would be to develop infrastructure facilities in construction sites. The corporation, on several occasions, had been accused of failure to complete the undertaken projects on time. In future all arrangements would be made to complete the projects on time and all construction personnel, engineers and administrative staff had been instructed to prioritize the completion of work undertaken.
He noted that the plight of the State Engineering Corporation employees had created a bad image for the Government because for several years the ETF and EPF contributions had not been made due to meagre budget and income. But the Minister had been able to pay all ETF and EPF arrears and after 20 years, around 600 employees were made permanent.