BOI’s failure to address wastewater issue in Horana EPZ threatens closure of 24 firms

The Free Trade Zone Manufacturers’ Association (FTZMA) yesterday alleged that the Board of Investment (BOI) has turned a deaf ear to its repeated complaints regarding the discharge of wastewater at the Horana export processing zone (EPZ) and the companies in that arena are now faced with the risk of having all operations shutdown under a court order. 

In a hard-hitting letter to BOI Chief Sanjaya Mohottala, the FTZMA stated that the BOI was made aware by HDDES Extracts (Pvt.) Ltd that a number of enterprises were discharging untreated water into the main drain system of the BOI zone, contaminating the well water around the zone but no actions were taken. 

The FTZMA pointed out that requests were made over the past few years to increase the capacity of the central facility system that purifies the wastewater. 

“We note with regret no action has been taken by the BOI up-to-date, thus resulted in compelling the neighbours in the close vicinity of the zone to force the Magistrate Courts to close the operation in the zone, under the order given by the courts earlier,” the FTZMA said. 

The association highlighted that should the BOI fail to intervene and address the issue, a total of 24 factories located in the Horana zone would be pushed to halt operations, which in turn have a direct impact on the foreign exchange earnings of the country. 

Reiterating the need for immediate attention, the association said it would arrange a meeting with the investors of the Horana export processing zone, should the BOI find it necessary.