As per the cabinet decision taken on 10-10-2022, international competitive bids were invited to procure 80 Ton Bollard Pull Tug one vessel for the Sri Lanka Ports Authority for the operation at the Colombo Ports.

Four (4) bids have been received for that purpose, and the procurement committee appointed by the Cabinet of Ministers has recommended awarding the bid to the lowest responsive bidder.

In the meantime, due to the imposition of the Value Added Tax Act of 01-01-2024, the cost of procurement has increased with the addition of tax to the relevant procurement cost. Even though discussions were made with the recommended supplier to obtain the said tug vessel on a loan basis, the said procurement process has been discontinued due to the disagreement with the supplier.

Subsequently, international competitive bids have been invited to obtain 02 vessels of the 80 ton bollard pull tug for  rental and 03 bids have been received for that purpose. Although discussions have been made with the lowest responsive bidder to obtain a deduction in price  in an advantageous manner for the Sri Lanka Ports Authority, the bidder has disagreed to provide the considerable price deduction.

In the meantime, since the necessity of the tug vessels should be reassessed on the progress of the completion of the construction of the new terminal at the Colombo port, the management of the Sri Lanka Ports Authority has made a request to cancel the aforesaid procurement process.

Accordingly, the Cabinet of Ministers has approved the proposal presented by the Minister of Transport, Highways, Port, and Civil Aviation to act in the following manner, taking into consideration that the construction of the new terminal is scheduled to be completed during the period between mid to late 2025.

• to complete the procurement process implemented to obtain 02 vessels of 80 ton bollard pull tug on rental basis for the operation conducted by the Sri Lanka Ports Authority.
• to commence new procurement process to obtain 02 vessels of 70 ton bollard pull twin azimuth stern drive harbor tug which are required for the operations of new terminal scheduled to be started mid term of the year 2025.