Planning Commission sends back BIWTA river dredging project proposal, objecting to high costs

The Planning Commission has raised objections to high costs involved in a number of components of a massive river dredging project, undertaken by the Bangladesh Inland Water Transport Authority (BIWTA).

The project evaluation committee (PEC) of the PC has raised objections particularly to abnormally high consultancy fee and capital dredging cost.

In its dredging project, the BIWTA has sought Tk. 320 million as consultancy fee and estimated the cost of per metre capital dredging at Tk.190.

The proposed dredging cost is Tk 70 more than that of similar ongoing projects, they added.

Besides, the state-run BIWTA has proposed Tk 70 million for engineering and hydrographic studies for implementing the project in question.

The massive Tk 47.86 billion project has been undertaken recently to restore the normal flow of four rivers -- the Jhinai, the Ghaghat, the Bangshi and the Nagda --- and improve their navigability.

The PEC has sent back the project and asked the BIWTA to rationalise its costs.

Experts and officials have raised questions about the BIWTA's own expertise gained over the last 48 years since it has sought Tk 320 million sought as consultancy fee for a single dredging project.

"If we need to invest Tk 320 million to hire consultants for a single dredging project, how much we will have to spend on consultants for other big and technically advanced development projects in Bangladesh?"

The BIWTA has been dredging rivers at a cost of Tk 120-150 per cubic metre, but it has now proposed Tk 190 per cubic metre for dredging Jhinai, Ghaghat, Bangshi and Nagda rivers.

"If the BIWTA deploys its own dredgers to restore the water flow of the four rivers, public funds can be saved…" said a senior Planning Commission official.

The BIWTA has also undertaken another Tk 7.97-billion project where it has also proposed an inflated rate of Tk 190 per cubic metre for the river dredging job, officials said.

It has also proposed a bloated Tk 1.40 billion for building 'mud dike' for keeping spoils of rivers after dredging of the four rivers.

It has proposed a rate of Tk 100 per cubic metre for building a dike despite completion of a similar scheme at a lower rate of Tk 42-45 recently.

To build the 'mud dike', BIWTA has kept aside Tk 1.40 billion in the dredging project.

It has also proposed Tk 23.30 million for purchasing motor vehicles, including an expensive four-wheeler, three double cabin pickups and two motorbikes for the project.

As proposed, the BIWTA will spend Tk 26.15 billion from the total project costs for capital dredging of the rivers.

Seeking anonymity, a BIWTA official told the FE that the state agency has proposed to split the procurement package of the project into 32 parts.

"It may have the intention to give work to many contractors splitting into several packages. It will split each of the package into two to three," he added.

"In that case, the experienced contractors will get the dredging job," the official went to say.

When asked, another top BIWTA official said the project would require higher funds to restore the water flow of the four rivers in Rangpur, Dhaka and Mymensingh.

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