COLOMBO: The new Sri Lankan government is seriously considering the controversial US$900 million Colombo Port city project and could scrap it if it fails to fulfill environmental impact, administration and other connected legal issues.
Minister of Highways and Investment Promotion Kabir Hashim told Customs Today on the sidelines of the ceremony organized in connection with his assuming duties, that the project implementation is lacking transparency and the Sri Lanka Ports Authority has no mandate to implement it.
He noted that “haphazard” land reclamation near the Colombo harbour would cause environmental damage to immaculate beaches on the island’s western coast and a proper environment impact assessment should be done before starting the project which will change Sri Lanka’s map.
The proposed port city is located in a strategic position near the Colombo harbour, Central Bank and other strategically important places like the Presidential Secretariat and Finance Ministry, he said, adding that the government will have to scrap the whole project if it is not feasible. Some 233 hectares of water front sheltered by a 3,300 metre long breakwater will be reclaimed under the project.
China Harbour Engineering Company Ltd, a partnership of the China Communication Construction Co. Ltd is the main contractor with works like reclamation, breakwater construction, connected road network and supply of services.
The company will invest $2 billion to create other facilities.
The port city will also have Sri Lanka’s first 100-storeyed skyscraper under Phase II of its work.
This phase would include the construction of the planned hotels, high rise buildings, and recreational facilities, shopping complex, golf course, office buildings and business centres.
According to the agreement, except for 125 hectares out of the total land area of 233 hectares which will be owned by the Government of Sri Lanka, the rest will be retained by the Chinese company to cover their costs of expenditure
The balance 108 hectares will be handed over to Chinese company under a 99-year lease basis. The company, at the initial stage, owns only the seabed.
Legal experts said that granting approval for the project with a complete ownership of the seabed for a considerable period of time with a view of significantly and permanently altering the marine landscape was against the statutory obligations of the Coast Conservations Act which restricts the use and occupation of the seabed.
They also noted that all statutes, laws and regulations and the associated legal and judicial structure and systems of Sri Lanka should apply for the Port City project and the reclaimed sea area.