Bandaranaike Quay opens for PPP to boost cruise tourism
The Government is set to take a fresh look at the East Container Terminal and Bandaranaike Quay in the Colombo Port by improving its infrastructure, shipping and naval services through public private partnerships (PPPs), official sources confirmed.
Several key renowned players in the shipping industry including two local conglomerates and a Chinese company have shown keen interest in bidding for the Bandaranaike Quay development project, a senior official of the Ministry of Ports and Shipping said.
A few companies have already submitted their bids responding to Sri Lanka Ports Authority’s (SLPA) recent call for Expression of Interest (EOI), Chairman of the Authority Parakrama Dissanayake confirmed without naming the companies.
He told the Business Times that the technical evaluation committee will evaluate the bids and request for proposals following transparent and proper procedures.
The Business Times reliably learns that China Merchants Port Company, John Keels Holdings PLC and Access Engineering PLC were among the bidders.
Bandaranaike Quay of the Colombo port will be converted into a state- of- the -art fully-equipped central feeder and fully-fledged cruise terminal with, international shipping service centre, shopping mall and high class restaurant.
This terminal will facilitate cruise tourism while catering to the increasing number of stops made there by cruise liners, Mr. Dissanayake revealed.
The number of cruise vessels calling at the Colombo Port and other ports is increasing but the lack of a dedicated cruise ship terminal is seen by the travel trade as a drawback, he added.
Growth in cruise tourism is expected to continue, reaching more than 25.3 million passengers in 2019.
The SLPA is exploring the possibility to attract more ships and cruises through the supply of services of the highest quality and implementing them at present, he disclosed,
Almost all the other international ports have such facilities for tourists; he said adding that the government’s ability to invest large amounts of money for infrastructure development such as ports is limited.
The Government has decided to upgrade the existing facilities to international level to promote cruise tourism as the Bandaranaike Terminal is currently being used only for general cargo handling at present, he said.
The SLPA has also called for Expressions of Interest for the East Container Terminal (ECT) of the Colombo Port as other terminals in the Colombo Port have been 85 or 93 per cent privatised.
The ECT will be managed and operated as a common – user/open access terminal, a senior official of the Ministry of Ports and Shipping said.
The Ministry of Finance has approved the proposal to select a shipping company or a terminal operator to take over 49 per cent of the shares of the ECT of which the main shareholder is the SLPA, he added.
At present, SLPA has taken steps to lengthen the jetty by 440 m and develop the facilities relevant to the ECT and the adjoining yard, he revealed.