Colombo port East Terminal call for EOI in March
The Sri Lanka Ports Authority (SLPA) will be calling for Expressions of Interest (EOI) next month to enter into partnership for the construction of the East Container Terminal (ECT). SLPA sources told the Business Times that the EOI will be called for in March and that they had signed an agreement for consultancy services from the Asian Development Bank (ADB) during the bank President’s two-day visit to the country on Tuesday.“The ADB will give a lot of credibility for this project and the bankability of the project will improve,” one source said.
The ADB was previously involved in providing a US$300 million loan for the construction of the breakwater at the Colombo port under the South Harbour development project as part of the Colombo Port Expansion Project (CPEP). The agreement was signed to provide transaction advisory services to develop the ECT through a public-private-partnership (PPP). The terminal will maintain Colombo port’s strategic position as a key transshipment hub for global and regional trade, the ADB Country Director for Sri Lanka Sri Widowati had stated in a media release.
It was noted that the US$500 million project will include operationalisation of the existing 400 metres of deep water berth and the full design, build, finance, operation, and maintenance of the remaining 800 metres of berth. The concession for the ECT is likely to be for 35 years.
The ADB will advise the SLPA in developing a bankable PPP structure and organise a competitive tender process to select the private sector partner through a transparent competitive tender process for the construction and operations of the terminal, the release said.