The Sri Lankan government has called for bids to complete the much-anticipated Bandaranaike International Airport Development Project (BIA Development Project) Phase II Stage 2, with a particular focus on the Passenger Terminal Building (PTB) and associated infrastructure. This phase, known as Package ‘A1,’ aims to enhance the airport’s capacity and make it a more efficient hub for regional and international air traffic.
Key Details of the Project
The scope of this project includes the construction of the Main Terminal Building (MTB), Pier No. 2, and Pier No. 3, along with several key infrastructure developments. These include the construction of an elevated roadway, upgrading the power supply, improving sewage disposal systems, and enhancing the water supply. Once the project begins, it is expected to be completed in a period of 30 months, making this a significant and time-sensitive venture.
Materials and Equipment Procurement
One of the unique aspects of this phase is that the bidders will be required to use materials and equipment procured by the former contractor. A site inspection has been scheduled for 4 October 2024 at the Consultant’s Projects Office in Katunayake to allow prospective bidders to assess the available materials. This aspect of the project allows for a smoother transition and minimizes delays caused by sourcing new materials.
A top official from the Bandaranaike International Airport project team mentioned that utilizing the already procured materials will ensure the project moves forward more efficiently. This is especially crucial as the development had been delayed significantly due to the country’s economic challenges.
Background and Funding
The Bandaranaike International Airport Development Project originally commenced on 15 December 2020, with an estimated project cost of Rs. 106 billion. However, due to the economic crisis Sri Lanka faced, the project stalled in its early stages, leaving it only 6% complete. This delay severely impacted the timeline, but efforts are now underway to bring it back on track.
The funding for this project will come from an existing loan provided by the Japan International Cooperation Agency (JICA). In addition to the existing loan, the Sri Lankan government has requested further financial assistance through JICA’s Official Development Assistance (ODA) loans. These additional funds are still under consideration by the Japanese government, but they are expected to play a crucial role in the completion of the project.
The bid submission process will follow JICA’s ODA loan guidelines, ensuring that all qualified international and local bidders can participate in a transparent and fair competition.
Bidding Process and Timeline
The bidding process for Package ‘A1’ is open to eligible contractors from qualified countries. Bidders must submit their bids by 24 December 2024, and the bid must be accompanied by a bid security deposit of Rs. 4 billion. To give bidders a better understanding of the project and site conditions, a pre-bid meeting and site visit have been scheduled for 12 November 2024 at Bandaranaike International Airport.
This open bidding process is expected to attract interest from construction companies with experience in large-scale infrastructure projects. The deadline and security requirements underscore the importance of ensuring that only serious and qualified bidders participate in this critical project for Sri Lanka’s future development.
Contract Awarding and Progress
Earlier this year, on 1 April 2024, the Cabinet of Ministers approved the awarding of a key contract to Access Engineering PLC. The contract covers the construction of the Main Terminal Building (MTB), Passenger Bridge No. 2, and Passenger Bridge No. 3. This was a vital step in Phase II Stage 2 of the Bandaranaike International Airport Development Project, signaling the government’s commitment to moving the project forward after the delays caused by the economic downturn.
Importance of the Project for Sri Lanka
The completion of this phase of the Bandaranaike International Airport Development Project is of immense importance to Sri Lanka’s infrastructure and economic growth. As air traffic continues to grow in the region, the expanded terminal will be able to handle 15 million passengers per year. This will not only ease congestion at the airport but will also improve the overall passenger experience.
Moreover, with improved capacity and modern facilities, Bandaranaike International Airport is expected to boost Sri Lanka’s standing as a key aviation hub in South Asia. This will have long-term benefits for tourism, trade, and investment, helping to revitalize the country’s economy and enhance its connectivity with the rest of the world.
The project also aligns with the government’s long-term vision to improve Sri Lanka’s infrastructure and make the country more competitive in the global aviation sector. A fully developed airport with state-of-the-art facilities will support the country’s broader goals of attracting foreign investment and boosting tourism, both of which are critical for the economic recovery post-pandemic and post-economic crisis.
Conclusion
The Bandaranaike International Airport Development Project is a key piece of infrastructure that is vital to Sri Lanka’s future as an aviation hub. The completion of Phase II Stage 2, which focuses on the Passenger Terminal Building and associated infrastructure, will play a crucial role in expanding the airport’s capacity to handle increasing air traffic.
With the bidding process underway, contractors from eligible countries now have the opportunity to participate in this important project. The use of pre-procured materials and funding from JICA’s ODA loans are steps that ensure the project can move forward without further delay.
The successful completion of this project will have a lasting impact on Sri Lanka’s connectivity, tourism, and overall economic growth, reinforcing the country’s status as a regional leader in aviation and infrastructure development.
