The cabinet of Ministers have approved two Chinese companies to construct canals as part of the Mahaweli Water Security Investment Program.

The China CAMC Engineering Company Limited and China State Construction Engineering Corporation Limited have received cabinet approval in this regard.

The US$ 675 million Mahaweli Water Security Investment Program is funded by the Asian Development Bank (ADB).

The first phase of the project costing US$675 will be borne by the ADB, while the bank will also conduct the feasibility study for the second phase.

The cabinet of Ministers approved two proposals submitted by the Minister of Mahaweli, Agriculture, Irrigation and Rural Development Chamal Rajapaksa.

Among the 17 contract packages planned for the project, 10 have already been awarded by the Government.

The China CAMC Engineering Company Limited has already submitted bids for the construction of the Mahakithula Access Tunnel, Mahakithula Storage Reservoirs, and construction of the feed canal from Mahakithula Reservoir to Mahakiru Reservoir.

Therefore, under the first proposal submitted by Minister Chamal Rajapaksa, the China CAMC Engineering Company Limited will be awarded the contract for the Mahakithula –based construction.

Meanwhile, the second proposal has been awarded to the China State Construction Engineering Corporation Ltd.

The Company will construct the 95.86 km long North Central Main canal project designed to supply drinking water and water for cultivation in the North Central Province and up to the Vavuniya District in the Northern Province.

The China State Construction Engineering Corporation Ltd will also construct a 28 km long tunnel that has been planned across the Minneriya, Girithale and Hurulu nature reserves and sanctuaries under the North Central Main Canal Construction Project.