Monday, October 24, 2016

Ceylon Today Editorial

Cigarette Price Reduction: Do It Right

25 October 2016

President Maithripala Sirisena and Health Ministry's holy crusade on cigarette consumption seems to be arriving at a flashpoint. Beyond this point, the future forks two ways; the high road which will create a more serious problem or the low road – the complete eradication of cigarette consumption from our society. If the latter comes to pass, Sri Lanka will be the very first country to do so.

But the latter is also a wet dream, thought up by seemingly altruistic politicians, social justice warriors and neo liberals. In other words, it is unachievable. The best a government could do is control the consumption to a certain degree.

Cigarettes are smoked by over 1 billion people, which is nearly 20% of the world population in 2014.
About 800 million of these smokers are men. While smoking rates have levelled off or declined in developed nations, especially among men, in developing nation's tobacco consumption continues to rise.

More than 80% of all smokers now live in countries with low or middle incomes, and 60% in just 10 countries, a list headed by China. Smokers are over half of adult males in Indonesia (57%, but mostly kretek, a local form of cigarette) and China (53% estimated), and nearly half in Bangladesh, though for women the figure is much lower.

The situation in Sri Lanka is not different from anywhere else. It is not too hard to meet at least five cigarette smokers in any given day in Colombo. Among them are teenagers and a certain percentage of the country's youth as well.

Health statistics indicate that smoking leads to the death of 60 Sri Lankans on a daily basis (21,000 annually) and that the government spends between Rs 10 million to Rs 15 million to treat a single cancer patient.

The government's very commendable decision to hike up the price of a cigarette to Rs 55 once the Value Added Tax is imposed on the product is the latest frontline assaulter in the crusade.

According to the Ministry, cigarette consumption had reduced by four to five per cent due to the last price increase. Therefore, on the assumption of gradual reduction in consumption, the government has taken this step to increase the price furthermore.

We said this is a flashpoint event. Either this will create a more serious, uncontrollable black market for cigarettes in the country or it would genuinely decrease the consumption all together. Cigarettes are not found any more for cheap prices in every other tea shop or petti kade.

And due to the price increase, there is a definite reason for the consumption of cigarette to go down; people will simply not be able to afford it.

The teenagers and the youth who have been consuming cigarettes will be forced to stop because they would not have a proper income of any sort to afford cigarettes. Cigarettes will eventually become a luxury product to own. However, it will not be completely eradicated anytime soon.

This is where the black market would come into play. Once the market runs out of affordable cigarettes, a market will eventually rise up to replace it – it will be illegal, the manufacturing process will be dodgy and the final product will be deadly for consumption.

Furthermore, once the cigarette market is replaced by the black market, the government will have to brace itself for a rise in criminal activities as well, for cigarettes will be the next drug and addicts will do almost anything to get the 'next hit'.

This is a flashpoint event. And this is why the government has to be prepared to do what is necessary to face what will come next. So far, in the preliminary rounds, and if handled properly this incident can have positive benefits. This price reduction has the potential of creating a better society, a better country in the long run. But if handled poorly, this could have catastrophic consequences. Something evil will come this way.

Daily News Editorial

An unfortunate incident

25 October 2016

The death of two Jaffna University students in a police shooting over the weekend is most unfortunate indeed and comes at a time moves are gathering pace at reconciliation and the healing of old wounds. President Sirisena has done the right thing by ordering a full investigation into the incident and he had given an assurance to Opposition and TNA leader R. Sampanthan of an impartial inquiry. It is still early to comment on the incident without knowing the full details of what exactly took place in the wee hours of Friday when it was reported that police on sentry duty had fired on a motorcycle ridden by one of the students with the other on the pillion when they failed to heed orders to stop.

If this was in fact the case, it amounts to precipitate action on the part of police. It was certainly an overreaction. There was no reason to act the way they did. It is not as if the North is still in the grip of terrorism to warrant such an action. The incident is certainly bound to leave a bad taste in the mouth of those striving to bring about reconciliation and forge communal harmony. Already Tamil political parties are attempting to cash in on the incident and a hartal has been planned for today in the North. The shooting will also cause further outcries from the Northern populace for a scaling down of the military presence in their midst, the incident lending validity for such a claim although the military had no hand in the matter. A team from the National Police Commission is also due to leave for Jaffna to conduct its own inquiry which in itself is a good move that may prevent any possibility of a cover up on the part of the police.

True, it may be argued that the police were well within their right to shoot at a fleeing vehicle that did not heed orders to halt. But in this instance the two youth were on a motorcycle, which unlike a motor vehicle, had no cover, with the riders having little or no chance for survival. That the bullet had hit the rider on the head tells a tale. There have been numerous instances in the South too where fleeing vehicles have come under police fire. In fact a school van, no less, was shot at when the driver failed to heed orders to halt, injuring a student. Which brings into question the whole idea of the practice in this day and age when advanced communication and technology could be used to track down errant motorists who defy police orders, without recourse to firing on a fleeing vehicle.

Be that as it may, the incident should not be allowed to mar feelings between the communities. There are already elements in the South who are defending the action of the police. Maverick politician Mervyn Silva has called into question the punitive action taken against the policemen in question. It is better to await the conclusion of the inquiries launched by the IGP before passing judgement. The action taken by the IGP to prevent a breach of the peace in Jaffna by deploying the police at sensitive spots, including the university premises, too is a welcome move since interested parties may try to exploit the situation, giving whole matter a communal twist. Religious leaders too should take steps to defuse any situation that may crop up at a time emotions are running high in Jaffna over the twin deaths.

Not again


The National Movement for Social Justice has called upon the government to avoid repeating the scenario of last year where the National Budget had to be amended many times over. NMSJ leader Prof. Sarath Wijesooriya addressing the media the other day called upon the government to avoid complications this time around and urged for a consultative process between the UNP and SLFP before preparing the budget.

Meanwhile the SLFP is planning to discuss the budget with the UNP today and a committee has already been appointed, led by Minister Susil Premajayantha, in this regard. True, the budget last year had to undergo various changes midway to accommodate certain proposals of the SLFP that were seen as populist measures. In the end the government had to forgo some of the important revenue measures incorporated in the budget. It is not the case of the budget been amended rather than including prudent budgetary measures that would stand the test for the ensuring financial year. The UNP, known for their administrative and management skills, may not want to incorporate populist measures at the expense prudent financial policies while the SLFP segment of the Unity Government may want to be seen by the electorate as promoting the cause of the public by insisting on freebies and giveaways. Therein lies the dilemma inherent in preparing a solid budget, confronting the UNP, which has to take into consideration certain stipulations by the donors, such as the IMF, on financial discipline. Hence, the SLFP would do well not to make impossible demands that may give it electoral gains but throw the budget into a tail spin placing the economy at grave risk.

The Island

It’s President’s baby!


The incumbent dispensation seems to be the political version of Golden Key. Those who, expecting higher returns on their investment, reposed their trust in Golden Key lost their deposits. The people who, fed up with the previous regime, voted the present administration in, hoping for good governance have also been taken for a ride. As for economic relief the current administration granted them initially it has been a case of swings and roundabouts for the people. What was given with one hand has been taken away with the other. Nay, they are in a worse predicament with the CoL going through the roof owing to tax increases and the tumble of the rupee.

Local government elections have been postponed indefinitely on some flimsy pretext. Perhaps, nothing hurts democracy more than depriving the people of an opportunity to exercise their franchise. The National Election Commission (NEC) has been rendered toothless. As one of its intrepid members has pointed out in a recent article published in this newspaper it is a misnomer to call the NEC ‘independent’.

The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has not yet been liberated from the clutches of politicians. It is made to steer clear of government big guns with complaints of corruption against them. Not even the Joint Opposition (JO), which, in spite of having many rogues within its ranks, claims to be the only counterweight to the ‘yahapalana’ juggernaut, has baulked at pressuring the CIABOC to reveal the names of the government members who have defied its summons.

The Financial Crimes Investigation Unit (FCID) and the CID are doing full-time political work. They remind us of Gestapo and Big Brother. The CID stands accused of tapping a senior High Court judge’s telephones. The khaki-clad bootlickers need to be told in no uncertain terms that they used those dirty tactics to protect the Rajapaksa government as well, but in vain. They spring into action at the behest of their new political masters, as they have been doing religiously for the last several decades, and go hell for leather to arrest Opposition politicians. Several persons have been hauled up before courts for spending public funds on sil redi to the tune of Rs. 600 mn. True, public funds must not be utilised to shower election bribes on voters. But, surprisingly, nobody has been arrested and remanded over the Central Bank bond scams which have cost the state coffers billions of rupees! The government made a mockery of its commitment to good governance the day it appointed a committee comprising some of its lawyers to investigate the bond scams and got the conclusion it wanted. COPE for Mahendran and FCID for Basil et al!

It was reported last evening that COPE Chairman Sunil Handunnetti had walked out of a stormy COPE session where UNP MPs were all out to dispute the content of his report on the bond scams. His consternation is understandable. He has got an overdose of ‘yahapalana’ his party promoted!

The Auditor General has drawn heavy flak from some government MPs for his department’s findings upon which the COPE Chairman’s report is based. Senior state officials must not be humiliated and intimidated in this despicable manner. What we are witnessing is the very antithesis of good governance!

The Rajapaksas abused their parliamentary majority to bulldoze their way through and their successors are doing just that in spite of having promised a radical change. The Rajapaksa government abused its majority in parliamentary committees, especially in the PSC which wrongfully impeached the then Chief Justice Dr. Shirani Bandaranayake. The UNP-led coalition is abusing its majority to cover up the bond scams and let the culprits go scot free. Many trade unions, professional outfits, academic associations etc threw their weight behind the present government at the last election, expecting it to restore democratic governance. Their silence is deafening to say the least.

Having secured the executive presidency by undertaking to usher in good governance, and enabled the UNP to form a government, President Sirisena is duty bound to have the corrupt deals of the government politicians and their backers such as the bond scams thoroughly probed. Let a special presidential commission be appointed to investigate them. He cannot shift the onus to anyone else. It is his baby!

The President has to put his foot down and protect the national interest without allowing himself to be reduced to a big fish in a small pond.