ECONOMYNEXT – Sri Lanka Cabinet of Ministers opted to rent two tug vessels on rental basis for the Sri Lanka Ports Authority (SLPA) for the operation of Colombo Ports, after failing to complete the previous two procurement processes, an official document said.
Former President Ranil Wickremesinghe’s government in 2022 invited international competitive bids to procure an 80 ton bollard pull tug vessel for the SLPA for the operation of Colombo Ports.
Though the lowest bidder out of four bids was recommended by the cabinet-appointed procurement committee, the procurement process was discontinued due to the disagreement with the supplier after cost escalation following the imposition of the Value Added Tax Act from January 2024, the government document on this week’s Cabinet decision said.
Later the government attempted to rent two vessels of the 80 ton bollard pull tug, but the lowest bidder disagreed to provide the considerable price deduction during negotiation, it said.
The management of the SLPA has requested to cancel the procurement process, given the necessity for reassessment of the tug vessels on the progress of the completion of the construction of the new terminal at the Colombo port.
The Cabinet this week approved a completion of the procurement process to obtain two vessels of 80 ton bollard pull tug on rental basis for the operation conducted by the Sri Lanka Ports Authority.
It also decided to commence a new procurement process to obtain two vessels of 70 ton bollard pull twin azimuth stern drive harbor tug for the operations of the new terminal scheduled to be started in mid-2025. (Colombo/January 08/2024)