Financial Times

Fresh bids for BIA modernisation
The government has decided to call for a fresh consultant to prepare guidelines for expressions of interest to modernize the Bandaranaike International Airport, after shelving a study done by a Canadian group.

Airports and Aviation Services (Sri Lanka) Ltd officials said the government is keen on getting a "neutral party" - one that would not be a party to the bidding process - after it found that the Canadian Airports Group, which was doing a free feasibility, was also interested in becoming a partner in the BIA development.

The government also wants to encourage local firms to do the feasibility with foreign expertise. "The government decided to hire consultancy firms without going into a government sponsored feasibility study," said Cecil Amerasinghe, secretary, Ministry of Transport, Highways and Aviation.

"We will call for quotations from reputed international consultancy firms to look at the feasibility of a private sector-public sector partnership for modernising the BIA," he added. "We hope local firms would tie up with international firms to get the required expertise and investment."

The investment required to expand the BIA terminal building and other facilities, including more aerobridges, is estimated to be over $200 million. This expansion will be in addition to the one already under way with the help of Japanese aid and expertise.

The Canadian group had voluntarily withdrawn their study but they too will be eligible to bid for the project when the time comes, Amerasinghe said. Expressions of interest are to be invited for a private-public partnership to operate the BIA to be followed by a request for proposals.

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