Although the Defence Ministry issued a second circular to address controversy over the payment of Rs. 500,000 as compensation to owners of partially damaged houses following Cyclone Ditwah, the Grama Niladhari Union continues to oppose the decision.
Sri Lanka Grama Niladhari National Union General Secretary Neville Wijerathna told the Sunday Times, “The government should not mix disaster relief funds with poverty alleviation programmes; disasters and poverty are two separate issues and should not be treated in the same way.” He added that such an approach reflects a lack of administrative logic.
The controversy arose after the government’s initial circular offered Rs. 500,000 for houses partially damaged due to the cyclone, but only after technical assessment. Public expectations, however, suggested that the payment would be a flat rate. In response, the Sri Lanka Provincial Secretaries Association and the Sri Lanka Accountants’ Service Association jointly wrote to the Defence Ministry secretary, stating that they could not proceed with the circular as it lacked clear criteria. This prompted the Defence Ministry to issue a second circular.
According to the second circular, homeowners whose houses are partially damaged will receive Rs. 500,000 without a formal technical assessment, even if the actual damage is less. Payments are disbursed in two stages: Rs. 300,000 initially and Rs. 200,000 after verifying progress on repairs. The funds must be used for specific improvements, including repairing or rebuilding house sections, kitchens, or toilets, improving sanitation and health facilities, constructing retaining walls, and making homes more disaster-resilient.
Mr. Wijerathna drew attention to past controversies, such as the burning of houses during the Aragalaya, where compensation and damage assessments for MPs and ministers were widely criticized. He warned that paying a flat rate of Rs. 500,000 for partially damaged houses now, without proper assessment, could set a problematic precedent. The union’s executive group is currently meeting to finalise its stance, as they have not yet received formal instructions.
Public Administration and Provincial Councils Ministry Secretary Aloka Bandara, however, told the Sunday Times, “The vast majority of those affected by Cyclone Ditwah are low-income families living in vulnerable areas, and the policy is designed to improve their living standards.” He said he met with representatives from the Provincial Secretaries Association and the Sri Lanka Accountants’ Service Association to assure them that the amended circular (NDRSC/02/04/10) provides legal protection for releasing funds without traditional technical assessments.
Provincial Secretaries Association President Rathnayake Senthil, however, said that a technical valuation would have been fairer and more professional. “We ultimately agreed to implement the payments only after the circular was amended to provide legal protection from the ministry and Cabinet. But the current policy is a ‘second version’ of past problems. In the future, people might expect similar payments for every minor flood, and a future government could question the legality of how the funds were distributed,” he said.
Another key influencer in shaping the second circular was the Sri Lanka Accountants’ Service Association. Its Secretary and National Organiser, Sampath Bandara, said that although there were initial professional concerns regarding technical assessments, officials are now proceeding with payments because a formal guideline and circular have been issued.
He explained that the Rs. 500,000 compensation for partially damaged houses is released in instalments to ensure accountability. An initial payment of Rs. 300,000 is given, and the final Rs. 200,000 is released only after verifying repair progress. To receive the funds, beneficiaries must submit a proposal or plan detailing how they will use the money to improve their home.
Mr. Bandara emphasised that the objective is not just to hand out cash but to help homeowners create more disaster-resilient structures, such as stronger roofs or raised areas to protect belongings from floods. Monitoring is a key part of the policy; if an individual does not complete the work according to their proposal, they will not receive the second instalment. He said monitoring has become easier for officials because there are five specific criteria to check.
Mr. Bandara added that those already identified in the initial disaster records are eligible, specifically those who applied for and received the Rs. 25,000 for cleaning or goods. He noted that it is difficult to include new applicants who did not apply for the initial assistance.






