Sri Lanka Ports Authority to call for Expressions of Interest
The Morning: The Sri Lanka Ports Authority (SLPA) is to call for Expressions of Interest (EOIs) from prospective parties interested in constructing both the breakwater and the terminal of the West Container Terminal (WCT) 2 by mid-2026.
Speaking to The Sunday Morning Business, SLPA Chairman Admiral (Retd) Sirimevan Ranasinghe revealed that a detailed engineering study relating to the project was currently underway.
“A detailed engineering study is currently ongoing. This is a study that requires two years; it was started in April this year and will continue till April 2027,” he stated.
He further noted that interim reports arising from the study were expected to be published by mid-2026, which would enable the SLPA to commence the EOI process for the project.
“Once that is done, we will call for EOIs. If sufficient, we may not call for Requests for Proposal (RFPs),” he added.
Commenting further on the proposed breakwater to be constructed for the WCT 2, Ranasinghe stated that breakwaters were traditionally not a profitable venture when compared to terminals, which were inherently more profitable. As a result, breakwaters are generally constructed using public funds.
“The Government will discuss with the Asian Development Bank (ADB) or the World Bank, as well as other agencies such as the European Union (EU), to fund the breakwater. Once the breakwater is completed, we will proceed with the terminal development.
“The terminal development will definitely be carried out as a Public-Private Partnership (PPP). It will not be done using Government funds, because there are a lot of investors interested in it. Therefore, we will once again call for tenders for the terminal.”
Ranasinghe pointed out that the EOI process they intended to commence next year with regard to the WCT 2 project was to determine whether there were any parties interested in constructing both the breakwater and the terminal.
However, he admitted that the likelihood of securing an investor through this route was low, noting however that they would nevertheless attempt to find a party for both phases of the project as it would be beneficial to the country.
The SLPA Chairman further stated that even if the EOI process proved unsuccessful, they intended to proceed with the project with the Government funding the breakwater instead.
This, he explained, was because studies conducted by the World Bank and the ADB had confirmed the need for the WCT 2 project and had recommended that it proceed without delay in accordance with the prescribed timeline.
OSL take:
Sri Lanka’s maritime industry is one of the fast-growing sectors in the country, especially given the country’s strategic positioning in the Indian Ocean near international maritime lanes and the strong trade ties enjoyed by Sri Lanka with many foreign countries. With the country focused on becoming a regional maritime hub given all these positive factors, there are many business/investment opportunities emerging in the ports, shipping and logistics sectors. The Sri Lankan government is also focused on further developing and expanding the local maritime industry and has placed the industry prominently in the country’s development programme. All these have resulted in an expansion in business/investment opportunities in Sri Lanka’s maritime industry and related sectors. The EOIs being called by the SLPA is indicative of the increasing business/investment opportunities in Sri Lanka’s maritime industry. Given the increasing interest among foreign countries/businesses/investors in Sri Lanka with its key placement in the global maritime map, foreign businesses/investors could see the increasing business potential in Sri Lanka’s maritime industry and related sectors.
| Article Code : | VBS/AT/20260102/Z_2 |