SL to get US$ 92mn from IBRD to improve weather and climate forecasting

The Cabinet nod has been finally given to enter into an agreement with the International Bank for Reconstruction and Development (IBRD) of the World Bank (WB) to secure US$ 92 million funding for the phase one of revised Climate Resilience Multi-Phase Programmatic Approach projects.

The project was originally proposed in early 2019 with the objective of the first phase to enhance the capacity of the government to deliver improved weather and climate forecasting and early warning and to reduce flood risks in the lower Kelani basin (between Hanwella and Kaduwela).

However, the current government sought to restructure the project scope after coming into power in late 2019.
“The government has decided to restructure the scope and scale down the estimated cost of both the CRes MPA and its approved Phase I of the project with the following key changes: (i) prioritize multi-purpose water reservoirs, (ii) cancel flood embankments and pumping stations in Phase 1 while continuing with their detailed engineering designs, and (iii) terminate the land acquisition process initiated by the Ministry of Irrigation for the construction of flood embankments and pumping stations,” WB noted.

Under the revised project scope, the overall project budget has been downscaled from US$ 781 million (including IBRD funding of US$ 774 million) to US$ 434 million (including IBRD funding of US$ 403 million). The project budget for scope one was downscaled to US$ 93 million from original US$ 317 million.

Finance Minister Basil Rajapsksa on Monday sought the approval of the Cabinet of Ministers to sign the project agreement with IBRD to secure the funding for Phase 1. The government has prioritized investments for the construction of the two reservoirs, which would yield multiple benefits in the short-medium term.  Under the revised scope, the project is expected to benefit 3.5 million people  to take action to protect their lives, livelihood and property based on early warning as similar to the original target. However, expected reduction in annual flood damages in Kelani River Basin was revised down to US$ 78 million from the original target of US$ 715 million.