The Central Expressway project, a key infrastructure initiative in Sri Lanka, remains mired in delays, funding issues, and construction setbacks, with Phase 3 and the Port Access Elevated Highway now in focus.
Phase 3 of the Expressway, from Pothuhera to Galagedara, covering 32.45 km and including interchanges at Pothuhera, Polgahawela, Rambukkana, and Galagedara, is now scheduled for completion by the end of 2025. Local contractors are currently engaged in 17 construction packages for this stretch. The entire project is expected to be finalized by July 2026.
Meanwhile, construction of Phase 1, between Kadawatha and Mirigama (36.5 km), which began in 2020, is set to resume in August after being stalled due to financial constraints stemming from Sri Lanka’s economic crisis. A fresh allocation of Rs. 7.5 billion has been proposed to kickstart the work, and a cabinet paper has already been submitted.
Transport Minister Bimal Rathnayake told Parliament that tenders have been called for Phase 1, and construction will proceed either through a Chinese contractor or a local firm.
Deputy Transport and Highways Minister Dr. Prasanna Gunasena noted that the government may terminate the existing contract due to cost escalations and delays, potentially incurring over US$ 40 million in compensation.
Talks are ongoing with China’s EXIM Bank over the stalled US$ 989 million loan, which was initially agreed upon in 2015–2016.
Despite intentions to complete the Kadawatha-Mirigama section under the existing contract, the project has seen estimated costs more than double, causing successive governments to stall execution.
Authorities are currently assessing compensation to the former project company, with a final decision expected within two weeks.
Further complications arise from an incident on the Kurunegala-Kandy stretch, where a 35-meter concrete beam collapsed, and raising concerns about structural integrity.
The Road Development Authority (RDA) confirmed that two additional beams are at risk, prompting quality tests along the 17-km section completed in 2021. The RDA also stated that the root cause of the collapse is under investigation and officials will be kept informed.
Additionally, Phase 3, initially backed by Mitsubishi Bank of Japan, faces uncertainty due to adverse contract terms, prompting the government to reassess the agreement.
The only operational segment remains the Mirigama-Kurunegala phase, while other portions continue to face delays. Construction efforts have also been temporarily halted due to commitments under the IMF agreement.
Despite the setbacks, officials reaffirm the government’s commitment to completing the Central Expressway, albeit under revised terms and possibly new project structures..
