In Sri Lanka’s efforts to emerge from the economic crisis, it is crucial for the government to take decisive action. The decision taken by the current administration led by President Anura Kumara Dissanayake to remove import restrictions on internal combustion (fuel-powered), electric and hybrid vehicles with effect from 1 February 2025 is a positive one. This decision will help save foreign exchange reserves spent on vehicle imports and fuel imports, and will also help Sri Lanka move towards more environmentally friendly mobility solutions. Furthermore, this has enabled many Sri Lankans who had to pay high prices to purchase vehicles to own a modern vehicle at a lower cost. However, even before this positive step was implemented, there are suspicions that hidden forces were trying to undermine this measure, raising questions as to whether this is a conspiracy against the people and the future of the nation. We should not forget that this is not just a new development. We should not forget the attacks made by some unscrupulous businessmen when the late former Finance Minister Mangala Samaraweera proposed to encourage the import of electric vehicles (EVs). Although the nature of the challenges faced by Mr. Samaraweera has changed, the current administration is facing the same challenges.
The plight of the conventional vehicle market
With the opening of the Sri Lankan vehicle market to EV imports, vehicles with the latest technology have entered the Sri Lankan market at reasonable prices. With this, the demand for conventional internal combustion (fuel-powered) vehicles has inevitably decreased. This has become a challenge for importers dealing with the Japanese import market. With their position in the vehicle market being challenged, they have been holding press conferences in Colombo, talking about the uncertainties of EV imports and making baseless allegations. The truth behind their statements is that the declining demand for used vehicles is forcing them to find ways to regain their market position. To do this, they are trying to manipulate public opinion. Even as many people in Sri Lanka are increasingly migrating to EVs, these corrupt alliances – are trying to deprive the public of the latest advancements in technology.
What is Customs doing?
There is an open debate in society that some parties within the Customs Department, supporting the success of this hidden agenda, are working with the Vehicle Importers Association to discourage the import of EV vehicles. Many who have recognized this have started to question it. Why are we limited to one vehicle model? Why are they targeting only one specific vehicle type? Why are they trying to prevent Sri Lankan consumers from enjoying the benefits of the latest technology as well as those privileges at affordable prices? Doesn’t this illustrate the workings of corrupt alliances? Economy Next reveals that there are plans to suspend EV vehicles imported into the country on the basis of so-called “inspections” conducted by customs officials. Are these not the machinations of white-collar officials with ulterior motives to prevent EV vehicle imports? The Sri Lanka Vehicle Importers Association had earlier stated that there would be no vehicle imports in 2025. This reveals the motivations behind the attempts to obstruct the import of EV vehicles.
Impact on the people and the nation
The result of this conspiracy is to make consumers helpless and deprive them of the opportunity to own the best type of electric vehicles that the country can import. Indirectly, it increases the price of new electric vehicles imported into the country, and once again creates a market for used vehicles. Creating an unfavorable market environment for EV vehicles can have a significant impact on the future of the country, which can be summarized as follows. Price increase: People will no longer be able to buy modern vehicles. Environmental damage: Obstruction of the national policy to reduce greenhouse gas emissions. Economic damage: Increased fuel imports and reduced tax revenue for the government.
To put this into perspective, the President and the Ministry of Finance must take effective and swift action against this conspiracy to protect consumer rights and the free market of Sri Lanka. The opposition must prioritize the interests of the people and the benefits of future generations. Damaging the EV sector is also detrimental to the public interest. It is time for the government to implement a free and fair policy on vehicle imports. If there is a mafia-like conspiracy being carried out by some customs officials and used vehicle dealers, it is very clear that this will damage the opportunity for consumers to buy EV vehicles that offer high value for money. Solomon has stated that a people without vision perishes, and the above examples make it clear that the future of a nation must be determined on the basis of transparency and effective planning. The detention of electric vehicles at customs is not an isolated issue, but a matter of public interest and policymaking stability. As a nation, we must end such schemes. We must consider the legitimate interests of all parties and create a fair market that reflects true market value. If we do not, we must question whether we are truly working to create a future free of corruption. When spring comes for those responsible, for government officials, for conspirators, it brings winter for the people.
Daya Sri Vidyarathna
(Based on a Sunday Times report)