SLTDA calls for bids by year end

The government will call for bids by the end of the year from local and international investors for the four bln dollar Kalpitiya Integrated Tourism Development Project said Chairman Sri Lanka Tourism Development Authority (SLTDA) Bernard Goonetilleke.

Bernard Goonetilleke

At present we are in the process of acquiring land and once the vesting and acquiring is completed we will have 4000 acres in the form of 14 islands.

Prior to calling for bids we will engage the services of a consultant to come up with proposals on the model to be used when leasing land to investors for development. At present the model used is long term lease but we are considering other models and it will be done based on the expert advice of the consultant.

He said that once the project is completed Kalpitiya alone will have over 4000 hotel rooms. There will be facilities for tourists to reach the area by air and sea. This project will provide employment to over 15,000 people directly and for many more indirectly.The project will provide a tremendous economic boost for the people in the area and help improve their livelihoods and also provide many more employment opportunities in other areas such as construction.

In the area of Paseekudah too the authority will develop public areas. At present we are doing a master plan to resupply water to the area. The project will cost Rs 80 mln for the initial phase while the total cost is estimated at Rs 250 mln.

Earlier Paseekudah had three hotels. The SLTDA has divided 150 acres among 12 investors and SLTDA together with the World Bank will develop a project covering Arugam Bay and Paseekudah.

He said that private investors too are looking at land in the Vakarai area towards the Kokilai lagoon.

The government is developing the infrastructure facilities in the East including the development of roads replacing ferries with bridges and providing power from the national grid. Within 24-36 months the area would be a hive of activity.

“In Jaffna there is a acute need for hotels and guest houses and investments to that area too will flow with the relaxation of security.

There was a increase of tourist arrivals in June and if the trend continues we will find it difficult to find rooms during the winter season” said confident Goonetilleke.