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DMTCL looks for new financier for Diabari-Tongi section

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The Dhaka Metro Rail Company is seeking a new financier for developing another extension of the under-operation metro rail from Diabari to Tongi although Japan has already supported development of the existing 21.7-km corridor.

According to sources, the Dhaka Mass Transit Company Limited (DMTCL) has been looking for an alternative financier for the Mass Rapid Transit line 6 (MRT 6) as the Japan International Cooperation Agency (JICA) recently showed less interest in this regard.

They said the pre feasibility study, which was conducted by the MRT 6 consultant with the JICA's financial support early last year, found that the 6 km extension might increase daily ridership of MRT 6 to 1.0 million.

However, the DMTCL has not officially requested the JICA for financing, sources said. "We have made a proposal to the Japanese high officials when they visited DMTCL a few months ago, but they informed us that this part is not on Japan's priority list," said an insider preferring not to be named.

MRT 6 is the country's first metro rail developed with financial and technical support -- from pre feasibility study to commissioning level from Uttara to Motijheel -- by JICA since the project was taken in June 2012.

Later, the Japan government's financing agency also extended its support to the extension of the 20.1 km line from Motijheel to Kamalapur, which started in early 2023.

The JICA has so far been supported the MRT 1 and MRT 5 North, but the relation between DMTCL and JICA are not so cordial following the change of the DMTCL management, which highlighted cost of all components of the JICA-funded other MRT projects and brought allegation of overpricing and syndication.

The cost of the MRT 6 project, which was initially estimated in the development project proposal at Tk 219.85 billion including 165.94 billion JICA loan, increased to Tk 334.71 billion in the first revision approved on July 19, 2022.

The JICA's support as loan was also increased to Tk 197.18 billion for it.

Following the allegations of estimating extraordinary high cost in the next two metro rails --MRT 1 and MRT 5 North, the relationship between DMTCL and JICA started deteriorating later on.

The MRT 1 project cost was estimated at Tk 539.77 billion to develop a 31.24-km corridor from Airport to Kamalapur and Notun Bazar to Purbachal.

The cost of 20-km MRT 5 North from Hemayetpur to Vatara was estimated at Tk 412.38 billion.

The company also found the lowest quoted prices in some contract packages 250 per cent higher than the DPP cost and requested the JICA for inviting a fresh bid, which was rejected by the JICA.

Managing Director of the DMTCL Faruque Ahmed during a view-exchange meeting with the members of Reporters for Rail and Road observed that the Motijheel-Kamalapur station part of the MRT 6 would open on January 1, 2027.

He also informed that they have been looking for development partners for the extension of the Diabari-Tongi corridor.

Other development partners including the World Bank, Asian Development Bank, Korean EXIM Bank and AIIB have shown interest in the metro rail projects, he added.

However, DMTCL officials said the MRT 6 extension from Diabari to Tongi might be carried out through a separate project-- not under the MRT 6 -- as it is not included in the second revision of the DPP of MRT 6 that is now awaiting the ECNEC approval.

According to the pre feasibility study, the proposed extension of over 8.0 km will establish a smooth connectivity between Dhaka's east and west through Uttara and Motijheel, with an estimated cost of over US $ 250 million.

It proposes developing five stations at Diabari Bazar, Sonargaon Janapath east, Sonargaon Janapath west, Tongi Bazar and Tongi station feasible.

smunima@yahoo.com

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