The Southern Provincial Council was established in accordance with the powers conferred by the 13th Amendment to the Constitution of the Democratic Socialist Republic of Sri Lanka and under the Provincial Councils Act No. 47 of 1987, holding its first meeting on 12th May 1988. Concurrently, the Southern Provincial Planning Secretariat was established with the objective of planning and directing all development activities in the Southern Province in accordance with the guidelines given by the Finance Commission and other relevant institutions.

The Southern Provincial Planning Secretariat is the main institution in the Southern Province that guides the sustainable development of the province and manages all development activities in accordance with the guidelines given by the Development Finance Commission and other relevant institutions. Accordingly, the Chief Secretary of the Provincial Secretariat acts as the Chief Accounting Officer of the Southern Provincial Planning Secretariat and the Deputy Chief Secretary (Planning/Operations) acts as the Accounting Officer.

Identifying annual development goals for the Southern Province, preparing an annual implementation development plan, and guiding development projects towards the desired goals by reviewing and evaluating their progress.

Identifying development objectives, strategies, methodologies and formulating policy recommendations.

Preparing appropriate medium and long-term public investment programs for the Southern Province through coordination with national level policy-making departments and obtaining technical advice.

Providing necessary guidance and advice for the implementation of effective projects through analyzing and evaluating project reports implemented by provincial ministries, institutions and authorities.

Studying, analyzing and compiling information on the socio-economic conditions, resource potential, problems and needs in the province.

Assisting foreign aid agencies in preparing investment plans, preparing project reports and implementing them for projects implemented in the province.

Coordination and provision of necessary guidance to the planning units of the Divisional Secretariats and Local Government Institutions in the planning of the Provincial Development Plan.