A petition has been filed in Sri Lankan Supreme Court challenging the legality of the Trincomalee Oil Farm deal which was signed between Sri Lanka and India to boost energy and economic cooperation. The deal, which is of considerable strategic significance for South Asian geopolitics, was signed last week, where Colombo has extended the lease of 14 oil tanks in Trincomalee oil farms to India for another 50 years. 

Built by Britishers during the Second World War, the oil farm has a total of 99 storage tanks located in the strategic eastern town of Trincomalee.   Under the deal, 61 oil tanks will be developed jointly by the two nations and Sri Lanka will have complete control over 24 tanks. 

The petitioners argued that the Cabinet has no power under the Sri Lankan Constitution to reach such a decision and that the manner in which the agreement was signed is also against the law, reported Colombopage.

Alleging that the Cabinet has violated the public’s trust in the government and violated the rule of law, the petitioners have requested the Supreme Court to issue an order nullifying this agreement. 

The agreement that came after 16 months of negotiation had long strained the ties between Colombo and Sri Lanka 

The Sri Lankan government under President Gotabaya Rajapaksa initially demanded all these tanks back. However, that was something unacceptable to New Delhi, which is growing increasingly concerned by the growing Chinese presence in the island country.  

Colombo’s initial refusal to renew the lease and the cancelation of the East Coast Terminal deal of Colombo port in early 2021 resulted in significant strain in India-Sri Lanka ties. In response, India desisted from offering any new line of credit and loans as Sri Lanka witnessed its worst-ever crisis.

(SAM)