BIA Expansion: Ushering in a New Chapter
1 month ago
BIA Expansion: Ushering in a New Chapter
The long-anticipated construction of Bandaranaike International Airport's (BIA) second terminal is set to begin soon, following the official awarding of the contract.
Initially launched in 2020, the Rs. 145 billion project, financed through a soft loan from the Japan International Cooperation Agency (JICA), encountered delays due to Sri Lanka’s economic challenges in 2022. Work was suspended while the country focused on external debt restructuring, according to sources from the Finance Ministry.
The new terminal will embody an Eco-Airport design, integrating advanced Japanese technology with sustainability at its core. Key features of the environmentally friendly infrastructure include rainwater harvesting for landscape irrigation, wastewater recycling for toilet flushing, solar energy systems, energy-efficient materials, and LED lighting.
As part of the broader BIA Expansion initiative, recent upgrades include a new apron and taxiways. JICA has committed JPY 74,397 million (roughly Rs. 113 billion) under Special Terms for Economic Partnership.
Airport & Aviation Services (Sri Lanka) (AASL) has now opened tenders for Phase 2 of the BIA Development Project, aiming to complete the project by the end of 2027 to meet growing air travel demands.
Following the signing of a Memorandum of Understanding on debt restructuring between the Sri Lankan government and the Official Creditors’ Committee in July 2024, JICA resumed funding for all its projects, including the BIA expansion, a senior Finance Ministry official confirmed.
The Chairman of the Cabinet Appointed Procurement Committee (CAPC) is now inviting sealed bids for Phase II Stage 2 – Package ‘A1’ of the BIA Development Project. This package covers the completion of the Main Terminal Building, Piers 2 and 3, and other critical infrastructure such as elevated roadways, power, sewage, and water supply systems, with a construction timeline of 30 months.
Originally, the contract for Package ‘A’ was awarded in December 2020 with an expected completion by December 2023. However, due to the economic crisis, the project was terminated in December 2022 after only 6% of the work was completed. The new Package ‘A1’ aims to resume construction, utilizing materials procured by the previous contractor.
Source: Sunday Times