Another White Elephant for Hambantota that Cost US$ 101 Million
The Government is considering an unsolicited, single-bid proposal by a Chinese firm to set up a US$ 101 million oil pipeline between the Hambantota tank farm and the Mattala airport despite a study deeming the project to be economically unfeasible, reports the Sunday Times.
The study was coordinated by the Road Development Authority and commissioned from an independent party by the China Harbour Engineering Corporation (CHEC), which is to build the pipeline, authoritative sources said. At present, aviation fuel is taken from Kolonnawa to the Mattala Rajapaksa International Airport (MRIA) by tankers.
“According to the study, MRIA will require 10 million litres of aviation fuel a day for the pipeline to be viable,” the source said. “At present, SriLankan Airlines and Mihin Lanka use small quantities of fuel. The requirement for MRIA is an average of 1.8 million litres a month.”
Industry experts also said there would be an operational problem with the pipeline. It has recommended that aviation fuel must be stored in a pipeline only for a maximum of six months, the sources said. There are many reasons why this costly pipeline is not suitable at present but the Ceylon Petroleum Corporation wanted to proceed with negotiations, they said.
The CHEC submitted its proposal during the past two months. The sources said the RDA coordinated the feasibility study because the pipeline was to be built along the corridor between the proposed rail track and expressway linking the airport and the port.
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“The president does not heed any advice. Brother Chamal and I went to his house and described everything one by one a few days ago. When he is told so, he agrees. But, he does a totally different thing later. At this rate, we will not be able to walk on the streets. We cannot go to a foreign country. In the end, we will have to jump into the sea,” an emotional defence secretary Gotabhaya Rajapaksa tearfully told a friend at his home at no: 07, Flower Road, Colombo.



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