Economy
19 days ago

Project deadline this June

BR seeks Tk 14.53b in next dev budget!

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The Bangladesh Railway (BR) has sought an allocation of Tk 14.53 billion in the upcoming development budget even if its project period will end this June, officials said on Saturday.

The 14-year struggling project is due for completion in June of this fiscal year (FY) 2023-24, but the fresh allocation for FY2025 may need further extension of the project, according to insiders.

The state-backed BR has long been building a 100-kilometre Dohazari-Cox's Bazar-Ramu line under an Asian Development Bank-funded project taken in 2010.

"The BR undertook a special project at Tk 80.80 million aimed to build the BR's capacity to implement the project. But both investment and time have virtually ended in vain," says a senior official.

The BR undertook the project in 2010 at Tk 18.52 billion to build the rail track in question.

It was originally scheduled for completion in 2013. However, the physical work began in 2018.

After extending the schedule several times, the government boosted the cost to Tk 180.34 billion in 2016 and rescheduled for completion in June 2022.

But the BR failed again and extended the timeline by two more years until June 2024.

In 2018, it took up another project at Tk 40.40 million for enhancing the project implementation capacity of BR officials.

"The BR has sought Tk 14.53 billion in the upcoming annual development programme (ADP) for FY2025. Upon extension of the project, we'll allocate required funds," says a senior Planning Commission official.

The Commission is working to frame a new ADP for the next fiscal year.

Of the fresh funds, the BR has demanded Tk 13.35 billion from project aid to be bankrolled by the ADB and another Tk 1.14 billion from the government's internal resources.

In the revised ADP for FY2024, the government allocated Tk 12.13 billion for completing the project in June.

"The main line construction… has been done, but work on rail stations, signalling system, overpass and underpass is still to be completed. So, it will take another year for the same," said a BR official.

Delayed land acquisition also slowed down the project execution in its initial stage, according to another BR official.

Besides, late arrival of Chinese experts due to the Covid-19 pandemic and also a delay in bringing electricity poles disrupted the project, he said.

"Now, the railway line up to Cox's Bazar has been open to commercial operation and the remaining work will be completed by the next one year," said the official.

Two Chinese firms are implementing the mega project.

Chinese firm CREC and Bangladesh's Toma Construction are jointly executing the first phase of the project from Dohazari to Chokoria at Tk 26.88 billion.

Another Chinese company, CCECC, and the local Max Infrastructure Limited are jointly implementing the Chokoria-Ramu section at Tk 35.02 billion.

Meanwhile, the BR has not constructed the remaining line from Cox's Bazar to Ghundum, which borders Myanmar, under the ongoing Tk 180.34 billion.

 

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