Govt. steps in with Rs. 3.6 b drought package

In a desperate attempt to save its farming community, the government has set up a drought assistance mechanism that is expected to reach over 53,000 families that are affected by severe water shortages in the north central part of the country, an official said yesterday.

Under the direction of President Mahinda Rajapaksa, Cabinet approval has been given to launch a massive effort costing over Rs. 3.6 billion (about US$ 27.6 million) in drought stricken districts to give thousands of people drinking water.

People of 12 districts will be assisted by this step.

The effort will also concentrate on providing water for 150,000 acres of paddy that may be ruined if monsoonal rains do not arrive within the next seven to 10 days, said Cabinet Spokesman Minister Keheliya Rambukwella.

He told media that under the programme 1,278 reservoirs will be dredged to increase water holding capacity, which will take the bulk of the funds at Rs. 3,577 million.

Renovation of 4,000 selected agriculture wells is also targeted to prevent crops drying out at a cost of Rs. 40 million.

“Cash for work programmes will also be initiated where the farmers will help authorities renovate minor irrigation systems such as canals and rural access roads for a period of eight to 12 days per month,” he said, adding that farmers will be paid a maximum of Rs. 6,000 per month for the task. Pickings for these jobs will be from among the affected farmer families.

Crucial loan repayments of farmers have not been specifically mentioned under the package but Rambukwella divulged that the President’s attention had been directed at the issue and it is likely unsettlements will also be deferred until the next cultivation cycle. However, this together with paddy seed for the next season is still under discussion.

“The biggest fear of the Government is that this drought will severely affect rice storage and have a negative result on the upcoming season. We have been unable to compile a comprehensive estimate on how much the damage will cost but the Treasury has been tasked with obtaining that. It is a difficult task as the situation is changing daily,” he said.