• Tender under technical evaluation, final decision expected in 2 months
• Winning contractor to complete $ 564 m airport expansion in 30 months
• Project resumes after JICA funding freeze halted work, ending Taisei’s initial contract

Two prospective Japanese contractors have submitted bids to serve as the contractor for the Bandaranaike International Airport’s (BIA) Development Project Phase II Stage 2, which is scheduled to require a further 30 months for completion, according to the Deputy Minister of Ports and Civil Aviation. 

Speaking to The Sunday Morning Business, Deputy Minister of Ports and Civil Aviation Janith Ruwan Kodithuwakku revealed that in terms of the funding agreement reached with the Japan International Cooperation Agency (JICA), Sri Lanka was required to obtain the services of a Japanese contractor for the BIA Development Project Phase II Stage 2.

Accordingly, he revealed that two Japanese contractors had submitted bids for the tender and that they were presently in the technical evaluation process.

“We are still undertaking the technical evaluation. The financial bid will be opened only after the technical evaluation is completed and once we check the technical qualification and complete clarifications,” he stated.

Kodithuwakku further stated that it would take around another two months to make the final decision on the contractor for the project.

He revealed that once the new contractor took over the project, they would be expected to complete it within 30 months.

The Deputy Minister however declined to disclose details regarding the value of the work to be done in the project, citing the ongoing evaluation process as the reason for his inability to do so. He stated that all such specifics would be made available upon completion of the evaluation.

The Ministry of Transport, Highways, Ports, and Civil Aviation first called for tenders in September 2024 for the BIA Development Project Phase II Stage 2, which includes the construction of a second passenger terminal. 

Airport and Aviation Services (Sri Lanka) Ltd. (AASL) released tender No. 105/T/2024, outlining the construction required to complete Package ‘A1’ of the project.

The second terminal is being developed to accommodate the increasing number of passengers using the BIA. While the airport was originally designed to handle six million passengers annually, it processed 7.2 million travellers in 2023 and was projected to serve 8.5 million in 2024, according to former Ministry Secretary K.D.S. Ruwanchandra.

The contract for the construction of the BIA Development Project Phase II Stage 2, which involves the construction of a second multi-level terminal, was valued at $ 564 million and was initially awarded to the Taisei Corporation in 2020. 

However, following the stoppage of construction work in 2022 due to the funding freeze imposed by JICA following Sri Lanka’s default, Taisei Corporation terminated its contract with the country.