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Sri Lanka approves $40.84m aviation fuel pipeline to Colombo airport

The government has greenlit a major infrastructure project to build a dedicated pipeline supplying aviation fuel directly to Bandaranaike International Airport, alongside a new storage facility capable of holding 92,000 cubic metres of fuel.

LSN Sri Lanka · 2 October 2026

Sri Lanka's cabinet has approved a USD 40.84 million contract, equivalent to Rs. 8,548.75 million, to construct a dedicated aviation fuel pipeline connecting Muthurajawela to Bandaranaike International Airport (BIA). The project aims to enhance the country's aviation fuel supply chain and ensure reliable fuel availability for the island's primary airport.

The initiative includes the development of a substantial fuel storage facility with a total capacity of 92,000 cubic metres, designed to accommodate increased demand from international and domestic flights. According to Energy Minister Anura Karunatilaka, the project represents a significant strategic investment in the nation's aviation infrastructure.

The pipeline infrastructure is expected to streamline fuel distribution operations at the airport, reducing logistical complexities and improving efficiency in handling aviation fuel supplies. The dedicated facility will serve as a centralised storage and distribution point for both imported and locally-sourced aviation fuel.

The project's completion is expected to support the airport's operations and contribute to the broader development of Sri Lanka's aviation sector. Officials have indicated that the investment aligns with government priorities to strengthen critical infrastructure supporting the country's air transport industry.