Cabinet committee okays cost hike

The Cabinet Committee on Public Purchase has approved a revised proposal of the Road Transport and Highways Division, allowing a 21% raise to the cost of four small bridges and a railway overpass that would be built under the Dhaka-Chittagong four-lane highway project.

The cabinet committee gave its nod at its meeting yesterday that was presided by Finance Minister AMA Muhith and attended by Road Transport and Bridges Minister Obaidul Quader and other cabinet committee members.

Following the meeting, Cabinet Division Joint Secretary Mustafizur Rahman told reporters the cabinet committee gave its consent to the Highways Division’s cost variation proposal, which raised the cost of package number 2 under the Dhaka-Chittagong four-lane highway project to Tk165.54 crore from the existing Tk136.82 crore.

The proposal, signed by Road Transport and Highway Division Secretary MAN Siddique, showed that cost increased because of revisions in structural design, pavement design and repairs.

The proposal for the Dhaka-Chittagong Four-lane Highway Upgradation Project Package Number 2, includes updated costing for Lalpur Bridge, Lemua Bridge, Muhury Bridge, Dhumghat Bridge and the Chittagong Rail Crossing Overpass. As per the agreement with contractor Gannon Dunkerley and Company, Ltd the cost of Package Number 2 was earlier set at Tk136.82 crore.

According to the revised proposal, at least 51.47% of physical progress had been achieved in constructing 10 segments, technically referred to as packages, of the road. Progress in constructing two bridges under the assigned portion of the highway was 59.2%.

Work on the Dhaka-Chittagong four-lane project has been going on for the past eight years. At the start of last year, the government listed the project as a fast-track development project.