ECONOMYNEXT – Sri Lanka’s Hadabima Authority will be dissolved as a standalone entity and absorbed into a newly created body, the “Upper Watershed Area Management Authority,” as the government moves to address the severe environmental degradation of the country’s central highlands.
Agriculture, Livestock, Land and Irrigation Minister K.D. Lal Kantha told reporters that the restructuring is necessary to expand the scope of current operations to tackle national water security challenges.
“We have now planned to direct the Hadabima Authority toward a much more massive task than this. Therefore, we cannot do that while keeping the Hadabima Authority in its current form,” Lal Kantha said.
He emphasized that the move is not intended to privatize water resources, but to manage critical watersheds that sustain the country’s radial drainage system—a network of rivers originating in the central hills that supply the nation’s tanks, dams, and streams.
“We are undertaking this initiative with the objective of preventing that. It is a progressive step. If we do not take it, the entire country will face a water crisis in the future,” Lal Kantha said.
Minister Kantha assured that current employees of the Hadabima Authority would not face job losses and would be integrated into the new Upper Watershed Area Management Authority.
The Hadabima Authority was originally established as the National Agricultural Diversification and Settlement Authority (NADSA) via a Gazette notification in February 1978. Its mandate included preparing plans for agricultural diversification, integrated watershed management, and ensuring the productivity and conservation of land and water resources. The government now views the absorption of the authority as a step toward modernizing this role to meet future environmental demands. (Colombo/Jul17/2026)