(Updates with Tiger reaction)

COLOMBO, April 30 (Reuters) - Sri Lanka's ruling party unveiled devolution proposals on Monday aimed at ending the island's two-decade civil war, but Tamil Tiger rebels dismissed them and analysts said they were doomed to fail.

President Mahinda Rajapaksa's ruling Sri Lanka Freedom Party (SLFP) wants to devolve power at district rather than a higher level and insists on rebel disarmament, according to the text seen by Reuters.

By contrast, Tamil Tiger rebels fighting for an independent state want a separate homeland for minority Tamils -- which Rajapaksa flatly rules out -- and have repeatedly warned they will not lay down arms.

The rebels and the military are locked in near daily land and sea battles, ambushes and bombings which have killed hundreds of people in recent months.

"As long as the Colombo masters push ahead with their military agenda, we will not even consider moves such as these," Tiger military spokesman Rasiah Ilanthiraiyan said by telephone from the rebels' northern base of Kilinochchi.

Analysts said the proposals would likely only widen the chasm between the foes because they fell far short of wider minority ethnic Tamil demands.

"This is going to be a total disaster," said Rohan Edrisinha of independent think-tank the Centre for Policy Alternatives.

"Psychologically this is going to be a huge blow to the peace process, because it would suggest that the SLFP is going back to the early 1980s if not 1970s."

"The SLFP is offering less than what is already in place in the form of the 13th amendment to the constitution (which set up provincial governments)," he added. "Viewed from the point of view of conflict resolution, it's really quite astounding."

The ruling party also proposes abolishing the executive presidency, adopting a bi-cameral parliamentary system, ensuring both the police and armed forces are more multi-ethnic, and that schools are more multi-lingual.

A presidential committee has yet to combine the proposals with suggestions from other political parties to form a consensus devolution offer.

However a 2002 truce is now disregarded on the ground, Sri Lanka's military has vowed to wipe out the Tigers militarily, the rebels have warned of a bloodbath and the conflict's 68,000 death toll is rising daily.

AlertNet news is provided by