Wednesday | 11 September 2024 | Reg No- 06
বাংলা সংস্করণ
Advance Search
   
Wednesday | 11 September 2024
LATEST: 3 state ministers, 5 dozens MPs didn't get AL nomination   Three celebrities get AL nomination    Those who get Awami League nomination   Shakib, Mashrafe get Awami League nomination   Expatriate's wife, two daughters found dead in Kishoreganj   2 die in Dinajpur truck-pickup van collision   Maxwell hits double hundred, rescues Australia from rubble   

All mega projects delayed, causes extra time, costs 

Addl expenditure stands at Tk 40,104cr

Published : Tuesday, 31 January, 2023 at 12:00 AM  Count : 714
 



The implementation of five important mega development projects of the country couldn't be completed within the stipulated time

and cost. Mainly, due to the negligence of the officials, defects in design, proper feasibility study, price hike of materials and delay in

getting the money was the reason in lagging behind the projects.

Besides those, there is also the issue of increasing cost of land acquisition and rehabilitation, unnecessary procrastination, various

irregularities in implementation and inclusion of new works also cause delay. In this situation, the additional expenditure in the

projects so far stands at around Tk 40,104 crore.

According to sources, none of the projects was completed within the stipulated period. The implementation period has been fixed at

minimum of 2.5 years and maximum of 9 years. If the identified problems are not met on urgent basis, the implementation of some

of those may not be completed even within the extended period, in that case the project cost may increase again, the concerned

parties fear.

According to the relevant sources, the five mega projects that are not completed within the stipulated time and cost of construction

increased of Padma Bridge, Karnaphuli Tunnel, Support to Dhaka Elevated Expressway PPP Project, Bus Rapid Transit (BRT) and

Metro Rail Project.

Though the original sanctioned cost of the projects was Tk 45,848 crore, but at this moment it has increased to Tk 85,952 crore by

increasing their expenditure phase by phase.

Padma Bridge
In the 2006-2007 annual development programme, the then Bangladesh government adopted the plan to construct the Padma

multipurpose bridge. The caretaker government started negotiations to get assistance from the Asian Development Bank for the

construction of the bridge. After the feasibility study, on August 20, 2007, the then caretaker government approved the Padma

Bridge project at a cost of Tk 10,161 crore in a meeting of ECNEC. Then the target of construction of the bridge by 2015 was set.
Currently, the total cost of the Padma Bridge project is estimated at Tk 30,193 crore. After the new revision, it will increase to about

Tk 32,638 crore. This cost increased by Tk 2,445 crore. At the time of approval of the first project in 2007, the cost was estimated at

Tk 10,162 crore.

Metrorail
The Mass Rapid Transit project (MRT Line-6), the country's first metro rail, will undergo a major overhaul due to changes in the

design of metro stations and the extension of the elevated rail line from Motijheel to Kamalapur.

According to the revised proposal sent by the Road Transport and Highways Department to the Planning Commission, the project

cost increased by 52.25 per cent or Tk 11,487 crore to Tk 33,472 crore. Earlier its expenditure was Tk 21,985 crore.
MRT Line-6 is one of the 8 fast track projects of the government. The deadline for completion of this project was June 2024, but the

revised proposal has been extended to December 2025.

Managing Director (MD) of the company MAN Siddique said, "The DPP of the project needs to be revised. We have already sent the

proposal to the concerned department. They will now take the next step."

Karnaphuli tunnel
When the Karnaphuli tunnel project was passed in 2015, the cost of the project was Tk 8446 crore. The duration of the project was

till November 2020. Later, as the work did not start on time, in November 2018, the first phase was corrected and the cost was

estimated at Tk 10,374 crore. The period is extended till December 2022. Last year a proposal to extend Tk 315 crore and the

duration of the project by one year was approved. As a result, this project will cost Tk 10,689 crore. This project completion time

was earlier given till December 31, 2022. This period has been extended now by one more year (December 31, 2023).

As per the existing DPP, one dollar was pegged at Tk 80. Currently, the cost of one dollar is about Tk 94. Exemption of loans taken

through China's Exim Bank will expire this year. Government money will have to be spent if the work is not completed. The project

director Md Harun said that the construction of the police station building and fire service is connected with the project cost of the

tunnel and the cost is increasing.

Dhaka Elevated Expressway
Dhaka Elevated Expressway project was of five years which is now extended to twelve and a half years, additional time 7 and a half

years added to finish the project. The project was to be implemented from July 2011 to December 2014. The cost of the main project

was estimated at Tk 3,216.87 crore. Later the duration of the project was extended till December 2016 keeping the project cost

unchanged. Due to the increase in the amount and cost of the existing parts of the project, the first amendment has increased to Tk

4,889 crore. At the same time, the completion time is extended till December 2020. For the second time, by bringing amendments

to the project, it increased the time frame and cost, the concerned said that the work would be completed by June 2023.

Bus Rapid Transit
The delay in the implementation of the four-year Bus Rapid Transit (BRT) project is unintended. Note that the BRT project started in

2012 to ease the traffic congestion from the capital's airport to Gazipur. However, the progress of the project has been only 37 per

cent in the eight years. In parallel with the extensio  of the implementation period, the cost has also increased by at least Tk 2,228

crore, which is not at all desirable, apart from the public sufferings. In the beginning, the cost of this project was Tk 2,040 crore and

the work was supposed to be finished in December 2016, but the first phase was extended till December 2018. As a result, the cost

of the project stands now at Tk 4,264 crore.

Those concerned say that if the implementation is delayed, the cost will increase. But there are also rational reasons for the cost

increase in these projects. But economists say, of course, this additional cost is a waste of people's money. Because, if the projects

were completed on time, there might not have been so much additional expenditure.

Meanwhile, sources in the Implementation, Monitoring and Evaluation Department (IMED) say that around 70 per cent of projects

are not completed on time. Many times the cost and duration increase in view of the actual conditions but it is necessary to

implement the projects at a certain time, at a certain cost and in a certain way.

Former lead economist of the World Bank Dhaka office Zahid Hossain said that Tk 40,000 crore is not less. Two more mega projects

could have been built with this money. However, it is difficult to say without looking into the reasons for the increase in costs. In

this case, if a project has been approved before the new policy of land acquisition, it is different.

But if the cost increases due to mere carelessness, errors in design, procrastination in implementation, it is definitely a waste. In this

case, what kind of sums are added later and why it was not given importance during the preparation of the project, needs to be

looked into. Keep an eye on contractors. It is also important to bring them under accountability.

Implementation, Monitoring and Evaluation Department (IMED) Secretary Abul Kashem Mohiuddin told the Daily Observer, "This

additional expenditure cannot be called a waste. Because many times there are mistakes in feasibility studies. Again, if the survey is

correct, due to reality, events such as inclusion of new organs or increase in the price of products occur. Again, as the price of the

dollar increases in many cases, the cost is increasing. As a result, there is no option but to increase the cost or make corrections.

And when a project is underway, if it is not completed, the investment already made will be lost. As a result, it has to be

implemented in the end.
    


LATEST NEWS
MOST READ
Also read
Editor : Iqbal Sobhan Chowdhury
Published by the Editor on behalf of the Observer Ltd. from Globe Printers, 24/A, New Eskaton Road, Ramna, Dhaka.
Editorial, News and Commercial Offices : Aziz Bhaban (2nd floor), 93, Motijheel C/A, Dhaka-1000.
Phone: PABX- 41053001-06; Online: 41053014; Advertisement: 41053012.
E-mail: info©dailyobserverbd.com, news©dailyobserverbd.com, advertisement©dailyobserverbd.com, For Online Edition: mailobserverbd©gmail.com
🔝