Hambantota Port Development project to commence work tomorrow

Shirajiv Sirimane

PORT: The construction of the much-awaited and the long overdue Phase One of the Hambantota Port Development Project will commence tomorrow, June 7. The project once completed, would generate 6,000 direct and 50,000 indirect employment opportunities locally.

Under the first phase of the project, industrial port is to be constructed and a jetty and an oil refinery estimated to cost US$1 billion will also be constructed in Hambantota.

The proposed port will stimulate development of harbour-related industries such as ship repairs, shipbuilding, bunkering, and break bulk, power generation and a free trade zone.

The investment for the first phase would be US$450 million and the contract agreements were signed between the Consortium of China Harbour Engineering Company Limited and Syno Hydro Corporation Limited of People’s Republic of China and the Sri Lanka Ports Authority (SLPA) recently.

During the President’s recent mission to China to commemorate the 50th anniversary of bilateral friendship between China and Sri Lanka, special negotiations were held with Chinese President Hu Jintao to obtain financial assistance to construct the Hambantota Harbour, authoritative sources said.

Hambantota Port Development Project consists of four stages. The entire project is expected to be completed within 15 years. Initially Hambantota Port has planned as a Service and Industrial Port. Subsequently, decided to develop as a transshipment port in the next two stages to handle 20 million containers per year, he said.

Since the major shipping route is close, off-shore services such as ship handling, supply of water, fuel and crew changes could be undertaken from the proposed port. In addition, the supplies for power generation and transshipment of vehicles will also be undertaken, he said.

Matara, Ratnapura and Moneragala and a section of the Eastern Province will also be subject to a rapid development due to the construction of the Hambantota port, said CEO, Hambantota District Chamber of Commerce Azmi Thassim.

In addition the proposed airport, highways and the convention centre would also add value to the area.