P30 (Sri Lanka)(Economic News) Sri Lanka’s top court says China-backed Port City Bill ‘inconsistent’ with Constitution

July 15, 2021

Colombo [Sri Lanka], May 18 (ANI): Sri Lanka‘s Supreme Court on Tuesday determined that some
clauses in the China-backed 
Port City Economic Commission Bill are “inconsistent” with the
Constitution. However, the top court added that these clauses can be made valid if amended.
Speaker Mahinda Yapa Abeywardena told Parliament that the apex court had determined that certain
provisions of the 
Port City Economic Commission Bill are inconsistent with the Constitution, and
directed that those clauses required to be passed by a special majority and a referendum as they were
unconstitutional, Colombo Page reported.

The decision of the top court was handed over to the Speaker recently after considering 19 petitions
filed against the proposed bill.
Port City Bill was tabled in the Parliament on April 8, after which 19 petitions were filed in the SC.
Following the apex court’s verdict on these petitions, a parliament debate will be held on May 19 and

Port City Colombo is a joint venture between Sri Lanka and China. The bill seeks to establish a
special commission that will govern the city as a Special Economic Zone (SEZ).
The government has unveiled a contentious draft law for a Colombo 
Port City Commission which allows
for sweeping tax breaks, tax-free salaries and an offshore financial centre.
The USD 1.4-billion Colombo 
Port City project is slated to be the single largest private sector
development in 
Sri Lanka amid concerns about Beijing seeking to increase its footprint in the country
through contentious infrastructure projects