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Central Expressway: Cabinet to take up tender proposal for 3rd and fourth phases
The cabinet next week will take up a proposal to award tenders for the construction of the third and fourth phases of the Central expressway to a Chinese and British company respectively, a senior official of the Ministry of Highways said.
The construction of the projects is to cost more than Rs 200 billion.
The third phase spanning a distance of 31.7 km from Pothuhera to Galagedera is to be awarded to China Harbour Engineering Company Ltd (CHEC) and CATIC-Eng (China National Aero Technology International Engineering Corporation), he said.
The fourth phase that covers a stretch of 58.6 km from Kurunegala is to be undertaken by the UK-based Roughton company.
According to the proposal, the Chinese companies will make the investment for the project while providing a two-year grace period for the payments. The project has been arranged at a fixed cost that is not subjected to fluctuations in prices of raw material.
In terms of the proposal, 50 percent of the construction will be subcontracted to local companies.
The British company will also invest in the project under concessionary terms while only local contractors will be used for the project.
Both projects are overdue by about five years and are to be completed in four years.
The official said the work on the expressway’s first phase from Kadawatha to Mirigama was held up due to the government not being able to provide the local component in US dollars and it could be started soon as the Chinese companies had agreed to receive funding in local currency.
The second phase of the expressway from Mirigama to Kurunegala is currently under construction.