padma bridge project
WB graft slur causes 40pc cost rise
JAGARAN CHAKMA
Despite the escalation of cost of the Padma Multipurpose Bridge (PMB) project by nearly 40 per cent because of the delay in its implementation, the World Banks allegations of corruption have turned out to be a blessing in disguise for Bangladesh, which has proved it is able to implement such a mammoth project on its own.
According to the latest Revised Detailed Project Proposal (RDPP) for the project, its cost has increased by a further Tk. 8,286.35 croreor nearly 40 per centas a result of delays in its implementation.
Planning minister AHM Mustafa Kamal told The Independent that it was true that the project cost increased by around 40 per cent due to allegations of corruption by the WB, but confidence has grown within the government that it can implement it with its own funding.
He said the project cost usually increases when the implementation work is delayed, as in the case of the PMB project.
Nevertheless, I dont want to use the WBs allegations, which caused a cost increase, as an excuse, the planning minister said. He, however, did concede that the implementation work was delayed as the WB raised allegations of graft in connection with the PMB project.
Meanwhile, three former senior executives of SNC-Lavalin Group in Canada were acquitted in the PMB corruption conspiracy case, a development that prompted calls for apologies by those who were vocal against the alleged graft attempt.
On Friday, Justice Ian Nordheimer of the Ontario Superior Court in Canada ruled that he had serious concerns about three applications the Royal Canadian Mounted Police (RCMP) filed in 2011 to get court approval
for using wiretaps as evidence in the case. The RCMP had sought the approval as it probed allegations that SNC staff planned to bribe officials in Bangladesh to try to win a USD 50-million contract to supervise construction of the countrys PMB project.
Even a number of senior government officials in Bangladesh were charged and later acquitted by a Bangladesh court and the Anti-Corruption Commission (ACC) in the corruption attempt case.
PMB project director Engineer Shafiqul Islam said even though the WB brought graft allegations, the government is implementing the project from its own funds, which is indicative of its great engineering success.
It proves that Bangladeshi engineers can implement this type of mega project without the WBs cooperation, he said.
The construction of the PMB is going on in full swing. We have already completed 40 per cent of the work, PMB project director Shafiqul Islam told The Independent.
On June 29, 2012, the WB had cancelled its USD 1.2-billion IDA credit for the PMB project, claiming that it had credible evidence of a corruption conspiracy among high-level Bangladeshi government officials, SNC Lavalin executives, and private individuals.
According to the latest RDPP, the cost of the Padma bridge project will reach Tk. 28,793.38 crore, which is Tk. 8,286.35 crore higher than the second revised cost estimate for the project.
The cost of construction of the main bridge is estimated at Tk. 12,133 crore, while Tk. 8,707.81 crore has been allotted for river training, Tk. 1,097.39 crore for Jajira link road, Tk. 193.40 crore for Mawa link road, Tk. 208.71 crore for site development, Tk. 516.64 crore for monitoring in phases, Tk. 1,515 crore for rehabilitation of the people in the adjoining areas of the site, and Tk. 129 crore for environmental management. The authorities indicated that the WB allegations of corruption in the project caused delays in its implementation, thereby escalating the project cost. When the initial project was approved on August 20, 2007, the cost for the project was estimated at Tk. 10,161 crore.
