New tripartite agreement signed on Colombo port city project

CHEC Port City Colombo (Pvt) Ltd, the Project Company for the Colombo Port City (CPC), today signed a tripartite agreement between the Ministry of Megapolis and Western Development, the Urban Development Authority and the Project Company.

The agreement formally replaces the previous agreement signed on 16^thSeptember 2014 between the Government of Sri Lanka and the Project Company.

The new tripartite agreement has been signed following the announcement in March this year by the Government to lift the temporary suspension of work on the project until the Ministry of Megapolis and Western Development completed the Supplementary Environmental Impact Assessment (SEIA).? The SEIA was completed earlier this year, pursuant to a Development Permit issued by the Coast Conservation Department to recommence the project.

The temporary suspension of the project lasted over a year, during which the Project Company fully co-operated with the government to address the various concerns raised following the formation of a new Government after the Presidential Elections in January 2015. The SEIA and the new tripartite agreement have addressed all such concerns. Furthermore, the Cabinet of Ministers approved thistripartite agreement and authorised the signing of the same at the Cabinet meeting held on 9^th August 2016.

With this new agreement in place,the Project Company and the Government share a common vision of making the port city, currently the single largest private-sector development project in Sri Lanka, a success. The project is envisioned to boost the economy alongside the country?s existing development plans withstate-of-the-art living, working, public and recreational spaces in the new city,thus making it a viable investment destination in South Asia.

Together the Project Company and the Government envisage creating approximately 83,000 new employment opportunities within different sectors, attracting over US$ 13 billion in Foreign Direct Investments (FDI) from investors and developers from countries including India, Singapore, Malaysia and China while also increasing the number of tourists visiting Sri Lanka within the next 20-30 years.

The Government has announced its intentionto develop an international financial and business district in Sri Lanka within the Port City premises and therefore will rename the project ?Colombo International Financial City?. The Project Company is fully supportive of this initiative and will continue to provide its corporation to the Government in all operations carried forward henceforth. (Colombo Gazette)