CoPE flags major delays, cost escalations and governance issues in East Container Terminal project

Discloses contractor claiming over Rs. 4.2 b as compensation due to entire project being delayed by 548 days, Directs SLPA officials to submit comprehensive report detailing all relevant information relating to delay and compensation claims, Examines issues concerning management of SLPA-owned land

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THE Committee on Public Enterprises (COPE) has raised serious concerns over the prolonged delays and cost implications surrounding the construction of the East Container Terminal (ECT) at the Colombo Port, during extended discussions held in Parliament recently (13) under the chairmanship of MP Dr. Nishantha Samaraweera.

The committee reconvened to examine the Auditor General’s Reports for 2022 and 2023, along with the current performance of the Sri Lanka Ports Authority (SLPA), after several matters remained unresolved during an earlier session on 10 September.

CoPE members highlighted that the Cabinet had granted approval in November 2021 to award a Rs. 40.27 billion (Rs. 40,273 million) contract for ECT development, with agreements signed the following month.

The terminal was originally expected to be completed by 3 January 2025.