Implementation of two metro rail projects drags on for 20 months

A high-profile independent expert committee has been formed to look into the reasons behind the unusually sharp increase in project costs of two metro rail projects, amid prolonged delays in their implementation over the past 20 months.

Officials said the seven-member committee, headed by Emeritus Professor M Shamim Z Bosunia, includes three engineers from different disciplines with experience in implementing mega projects.

The remaining members include a project management expert, a chartered accountant from ICAB with experience in corporate and project management, and an independent consultant specialising in FIDIC contract documents, as well as project implementation and management.

According to officials, the committee will review the contract packages of Mass Rapid Transit (MRT) Line-1 and MRT Line-5 North to identify the reasons behind the significant increase in estimated costs reflected in the development project proposals (DPPs).

Dhaka Mass Transit Company Limited (DMTCL) has been facing a dilemma over several contract packages-CP-2 and CP-5 of MRT Line-1, and CP-2, CP-5, and CP-6 of MRT Line-5 North-as the lowest bidders quoted prices two to three times higher than the estimates outlined in the DPPs for various components, including underground sections.

Complicating matters further, the Japan International Cooperation Agency (JICA), the funding agency for both projects, rejected DMTCL's proposal to invite fresh tenders for these contract packages. Consequently, DMTCL revised the DPPs, estimating a total cost increase of Tk 1.84 trillion, which has effectively stalled the projects for an uncertain period.

Most of the bids for these contract packages were submitted during the tenure of the interim government, which refrained from making decisions on the matter. However, DMTCL has attributed the cost escalation to factors such as high contractor bids, limited competition, and currency devaluation.

Since the formation of the newly elected government, little progress has been made on the issue, particularly as the BNP, in its election manifesto, has prioritized the development of monorail or light rail transit (LRT) systems.

Amid this situation, the DMTCL Board, at its 77th meeting held on Monday, decided to form the independent expert committee to review all aspects of the projects. The Road Transport and Highways Division issued an official order to this effect on Thursday.

The committee has been tasked with submitting its report within one month, which is expected to help clarify the future course of these two key infrastructure projects.

MRT 1 has been planned to develop from Airport to Kamalapur as the first underground metro, while MRT 5 North is a 20km line connecting Hemayetpur to Vatara via Mirpur and Gulshan.

smunima@yahoo.com