Trade
a month ago

Stalled 4G expansion project

Teletalk turns to ERD for remedy

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Teletalk looks forward to the Economic Relations Division (ERD) as the lone state telecom operator's 4G mobile broadband network expansion project remains stalled following cancellation of its first tender.

The operator is now weighing multiple options -- whether to select one of the three original companies, issue a new tender among all of them or exclude the previous entities and invite fresh bids.

To navigate this situation, Teletalk sought guidance from the Bangladesh Public Procurement Authority (BPPA) through a letter on February 18.

In response, the BPPA recently provided opinion in a letter signed by its director (deputy secretary) Sakhawat Hossain, stating that the public procurement rules and associated policies outline the procedures for cancelling all tenders under such circumstances.

The BPPA advised the Teletalk authorities to proceed accordingly.

In light of this, the BPPA suggested that Teletalk consult the ERD to explore the possibility of replacing the disqualified EPC (engineering, procurement and construction) firms with new, highly qualified ones.

Industry experts argue that the disqualified trio violated tender rules and should be obstructed for new bid, with a fresh tender process initiated.

Teletalk managing director Nurul Mabud Chowdhury confirmed that they have decided to send a letter to the ERD in line with the BPPA's advice.

"We're following government rules, and the ERD circular on this issue will guide the next steps," he said, adding that the ERD will make the final decision.

Bangladesh's ties with China have been strengthened in recent years, with Beijing providing $2.97 billion in loans over the last four fiscal years.

For Teletalk's 4G expansion project, China has committed approximately Tk 20 billion (about $162 million), while the Bangladesh government is contributing Tk 9.0 billion.

Under the government-to-government (G2G) framework, China was supposed to nominate three companies for the project.

However, all three bidders were disqualified due to irregularities in the tender process, with allegations of a syndicate forming among them.

A development expert and communication specialist emphasised that while China has been a key development partner, national interests must not be compromised. "Transparency and accountability are essential. Bangladesh should ensure fair competition."

Again, a Teletalk SIM user echoed similar concerns, stating: "The biggest issue with any project in our country is transparency. We should not compromise our independence just because China is financing the project. Teletalk must protect its own interests."

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