A report by the People's Action for Free and Fair Elections (PAFFREL) said that so far no violence or violations were reported but observed very poor interest among voters. The two councils are to go to polls on February 28.
Mullaithivu served as the LTTE's military base during the days when they ran a parallel administration in the north and eastern parts of the island.
The observer group said very few election rallies have been held despite all major parties such as the Tamil National Alliance, United National Party, JVP or the People's Liberation Front and main Muslim party, Sri Lanka Muslim Congress, in the fray.
The voting public of the two areas are going to vote for the first time in a local election since the civil war with the LTTE ended in 2009.
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Elections for the two councils were postponed in 2011 subsequent to an injunction order by the Court of Appeal after it considered a petition filed by two conflict displaced people.
The petitioners alleged that demining and resettlement in these two areas had not been completed and as a result, voters will be unable to use their franchise.
Later as the elections were held for the northern provincial council in 2013 and for the 2015 presidential election, it was then decided that the local elections must be held for the two councils.