The Cabinet of Ministers has approved a revised proposal by the Sri Lanka Ports Authority (SLPA) to acquire new harbour tugs via rental to support operations at the Port of Colombo.
The proposal is the third to be submitted to the cabinet for approval. The two previous ones that outlined the purchase of new tugs were rejected after the procurement costs exceeded the initial estimates following the imposition of value added tax early last year.
Two 80-tonne bollard pull tugs will be rented to fulfil immediate operational requirements following the scheduled completion of a new terminal at the Port of Colombo before the end of this year.
Acquiring the tugs on a rental basis was deemed the more viable option, as the procurement of newbuild tugs meant the vessels will only be available at a much later time, well after the new terminal will have already become fully operational.
The Cabinet has meanwhile approved the initiation of a separate procurement process for two newbuild 70-tonne bollard pull ASD tugs.
Leave a comment