A proposal will be tabled before cabinet next week to call for bids for the extension of the Matara - Beliatta rail track upto the Hambantota Port, Transport Minister Arjuna Ranatunga told Times Online.
The construction of the rail track from Matara until Kataragama has been divided into three stages. The first stage being from Matara - Beliatta, the second stage from Beliatta to Hambantota and the third stage from Hambantota to Kataragama.
Meanwhile, the government's previous proposal to lease out the rail line from Beliatta - Hambantota has been cancelled. According to the previous proposal, the line would be leased out to the company which wins the bid to construct this portion of the rail track until the expenditure for the construction is covered.
However, the Transport Minister noted that another cabinet proposal will be put forward next week in order to obtain a soft loan for the construction of the rail track.
This decision to cancel the previous proposal was made after considering the unfavourable consequences that the country would have to face after leasing out the track, Mr. Ranatunga said. The rail track from Beliatta to Hambantota would span 48-kilometres.
(Reporting by Damith Wickramasekara)
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