Ministers, MPs behind discrepancy in purchase of 137 buses

The work on the construction of the almost 20-km-specialised-lane from airport to Gazipur has been underway for around seven years. The highly discussed project (BRT) worth more than Tk 40 billion is in the final stages. The deadline to repay the foreign loan instalment also started. However, the process of purchasing 137 buses to ply on this newly constructed road is yet to be finished.

Relevant sources say the former road transport and bridges minister Obaidul Quader and the then secretary of the ministry ABM Aminullah Nuri wanted to purchase the buses through a company of their preference. Failing to do that, they delayed the entire process.

It has been learnt that their preferred company was excluded after a discrepancy in the tender came to the fore. Even after that, instead of giving the contract to eligible companies, the tender was cancelled citing lack of ‘effective competition’. Later a new tender was floated. Although two months have passed since then, it is not yet clear how many companies took part in the tender.

Gazipur resident and business person Jannatul Baki sought information in this regard under the Rights to Information act on 25 July. However, the BRT authorities said they were unable to provide any information.

Relevant sources say although six companies took part in the first tender, only two companies took part in the second. The first lowest bid was USD 17.7 million and the second lowest bid was USD 19.1 million. The dollar exchange rate at the time was Tk 106.

The lowest bid in the newly floated tender was USD 30 million (3.6 billion taka). The bid for the other one was almost USD 99.8 million (Tk 12 billion). However, the estimated cost was Tk 2.05 billion.

Although six companies took part in the first tender, it was said that there wasn’t enough competition. So questions were raised regarding the competitiveness of the second tender where the number of participants was two. At the same time, the cost of the project is growing exponentially.

Speaking regarding this, BRT Company Limited General manager Md Mohiuddin said all the six companies contesting in the first tender were from China. The two companies which took part in the second tender are from different countries. The initiative was taken to diversify. Works are underway for the financial evaluation of these two companies. After that, the lowest bidding company will be given the notification of award (NOA).

Sources say, Obaidul Quader went into hiding following the fall of Sheikh Hasina government. So the correspondent couldn’t reach him for his comment. This correspondent tried to contact former secretary Amin Ullah Nuri. But his phone was switched off.

Later this correspondent contacted BRT Company Limited general manager Md Mohiuddin.

Asked about the additional costs, BRT Company general manager Mohiuddin said the costs rose as the type of bus to be purchased has been changed.

Sources in the BRT authorities say the Bus Rapid Transit (BRT) project is financed jointly by the Asian Development Bank (ADB), Agence Française de Développement (AFD) and the Bangladesh government. The Dhaka Bus Rapid Transit Company Limited (DBRTCL) under the road transport and bridges ministry is implementing the project. The special service from airport-Gazipur will be operated under the name – ‘Dhaka Line’.

France is providing loan assistance to purchase the 137 buses for the Dhaka Line service. The first tender for this was called on 14 January last year. Six companies bid for the contract. On 18 April, the evaluation committee declared four of the companies as technically responsive and recommended the Chinese Higer Bus Company as the lowest bidder. However, a sister concern of the same business group also took part in the tender, which was illegal. As a result, both companies were excluded.

Later, the tender was cancelled. However, the review panel of the Central Purchase Technical Unit (CPTU) decided to give the contract to the lowest bidder among the remaining companies who took part in the tender as per the law following a complaint from the bidder in this regard.

However, the BRT then moved to the High Court and appealed for a new tender citing lack of competition. The agency also got a court order in their favour. However, the eligible lowest bidding company appealed to the Appellate Division challenging the High Court order, which is still under proceedings.

The second tender was called on 18 April this year. Only two companies bid for it. Since then, the BRT has been maintaining secrecy in this regard.

Speaking regarding this, Transparency International Bangladesh (TIB) executive director Iftekharuzzaman told Prothom Alo, “First, the interim government should focus on how prudent it was to take up the BRT project. Second, the government should find out how the influential persons benefited from taking up projects in the name of development. Third, the government should also investigate why the first tender was cancelled. I think corruption and irregularities won’t stop unless exemplary punishments for the liable persons are not ensured.”

The BRT project had sparked controversy since the beginning.  The project was supposed to start in 2012 and end by 2016. However, the construction works started in 2017. The project is yet to be finished despite extending the deadline three times.

The project cost has risen to Tk 42.68 billion from Tk 23.98 billion. At least 10 people were killed due to negligence while implementing the project. According to the latest updates, the project is 80 per cent complete. Now a new controversy appears regarding purchasing the buses to ply on this road.

*This report appeared on the print and online versions of Prothom Alo and has been rewritten in English by Ashish Basu