Padma Bridge project cost further up by Tk 1,117 crore

The cost of the main bridge of the Padma Multipurpose Bridge project has seen a further increase by Tk 1,117.97 crore, reports agencies.

The Cabinet Committee on Government Purchase in a meeting approved a proposal of the Bridges Division in this regard on Thursday.

Finance Minister AHM Mustafa Kamal presided over the meeting held virtually.

“With the increase, the construction cost of the main bridge will go up to Tk 13,658.99 crore which will be paid to the Chinese contractor China Railway Major Bridge Engineering Ltd,” said Mahmudul Hossain, additional secretary of the Cabinet Division, while briefing reporter about the outcome of the meeting.

According to the sources, the total cost of the Padma Multipurpose Bridge project was set at Tk 30,193 crore is scheduled to be completed in June 2023. But recently, the Executive Committee of the National Economic Council (ECNEC) has approved the escalated cost which will go up to Tk 32,605 crore and extend the timeframe of the project till June 2024.

The bridge was officially inaugurated by Prime Minister Sheikh Hasina on June 25, 2022 and opened for traffic movement from the next day.

The government recently increased the value added tax on the payment of contractors from 10.5 per cent to 15 per cent.

Bangladesh Bridges Authority under the Road Transport and Bridges Ministry implemented the  project for construction of the 6.15-kilometre road-rail bridge between Mawa point in Munshiganj and Janjira point in Shariatpur, setting up direct communication between the capital, Dhaka and 21 south-western districts.

As per the original plan, the estimated cost for the project was 10,161.75 crore with June 30, 2015, as the date of completion.

Following the first revision, the project cost increased to Tk 20,507 crore and the deadline was extended till December 31, 2015, and after the second revision, the project cost increased to Tk 28,793 crore and the deadline was extended till December 31, 2018.

With special approval for land acquisition, the project cost increased to Tk 30,193 crore.

The project deadline was first extended until December 31, 2019, then again until December 31, 2021, and finally until June 30, 2023, all without increasing the project cost.

Prime minister Sheikh Hasina laid the foundation stone of the project in July 2001.