Delay in BSCIC projects, rise in time and cost

The time and costs of the projects undertaken by the Bangladesh Small and Cottage Industries Corporation (BSCIC) have increased repeatedly, sources have said.

The parliamentary committee has expressed disappointment and no-confidence in the projects of BSCIC, say committee sources.

The committee discussed about the projects two years ago and there has been no progress over the last two years.

The parliamentary estimates committee held a meeting about the projects of BSCIC on 21 March. The committee asked BSCIC to be more careful about their work and make proper plans before commencing on project work.

The parliamentary committee in the meeting said the financial expenditure of the projects and the are the same. It is not supposed to be, as the progress on the projects is supposed to be more than the financial expenditure. (If 25 per cent of money is spent, the progress should be more than 25 per cent.) As the expenditure and progress of work are equal, the contractors are being given special privileges.

A member in the meeting said none of the projects has been completed timely. Some projects have been revised twice or thrice. During the first time revision, the matter should be examined properly.

BSCIC undertook a project 'BSCIC Industry Park' in Sirajganj in July 2010. It was scheduled to be completed in 2014. But the project is yet to be finished.

The tenure has been extended thrice. The extended tenure is going to end in June this year. But there is little chance that the project will be completed this time too.

The cost of the project has been nearly doubled. In the beginning the cost was estimated about Tk 3.79 billion. Now estimated cost increased to Tk 7.19 billion.

Sources said BSCIC undertook eight new projects and development of two old industrial parks. The projects were undertaken between 2010 and 2018. The tenure of these projects have been extended more than once while the costs have also increased.

When these projects were undertaken the cost was estimated Tk 13.17 billion, the cost now increased to Tk 39.94 billion.

BSCIC said time and cost of these projects increased due to the complexity in the land acquisition.

The projects are: BSCIC industrial park in Sirajganj, BSCIC industry park in Bhairab, BSCIC industrial park in Tangail, BSCIC plastic industrial park, Narsingdi BSCIC industrial park extension, BSCIC press industrial park, BSCIC electric items manufacture and light engineering industrial park, BSCIC industrial park Raozan, development of under-development area and renovation and reconstruction of infrastructure of developed area of Barishal Raozan industrial park and Raozan chemical industrial park, Munshiganj.

Speaking to Prothom Alo about the matter, Raozan chairman Mahbubur Rahman said projects become delay mainly due to the delay in the land acquisition. The proposal for extension of the projects has been approved and now those will be completed accordingly.

Sirajganj BSCIC industrial park is being built on the banks of Jamuna river some three kilometers away from Sirajganj town. Project officials said some 829 industrial plots will be created if the project is implemented on 400 acres of land.

In 2010, the project was undertaken at a cost of Tk 3.79 billion. But there was no progress for four years due to the complexity of land acquisition. Later the project was revised and the cost was increased to Tk 4.89 billion. The tenure of the project was extended to 2015.

But the project did not advance further as the clearance certificate from the Water Development Board was not given. Later the project cost was increased to Tk 6.28 billion for the second time. And the tenure was also extended to 2019. At this stage although the work had started, the project was not implemented in time. The project was revised again as the cost of infrastructure went up. The project cost increased to Tk 7.19 billion. The project was scheduled to be completed by June 2021, but the it did not progress much and the tenure was extended to June 2022.

While visiting the project on Wednesday, it was found 90 per cent of the landfill is complete. The construction of the office building is at the final stages. And 12 types of work including a 17 km road and 34 km drain are underway. But a major portion of work is yet to be completed although the tenure of project implementation is nearing an end.

The project officials said the tenure of the project may increase further.

Sirajganj industrial park project director Abdul Khalek said BSCIC got 400 acres of land for the project in 2014.

He said it took long time to get approval from various departments including the environment department and WDB. The project started in 2018.

Abdul Khalek said 73 per cent of work has been completed and it will take more time to finish the entire project.

BSCIC sources said Tangail BSCIC industrial park was taken in July 2015. This was supposed to be completed in 2017. After revised for thrice, the project was extended to June this year. In the beginning the estimated cost was Tk 1.64 billion and later increased to Tk 2.96 billion.

BSCIC project for electrical product manufacture and light engineering industrial park was taken up in July 2016. The project was scheduled to be completed in June 2019.

According to the records, the project has already been revised due to delay in the land acquisition and other reasons. The tenure has been extended to June 2022. In the beginning the project was estimated at Tk 2.13 billion and now the cost increased to Tk 3.09 billion.

In Chattogram, Raozan BSCIC industrial park was taken in 2016. The cost has been increased once and the time has been extended. But the project is yet to be finished. The tenure of the projects is extended to June 2022. While visiting the spot, it was found the work of boundary wall and landfill is yet to be finished. Till now 18 acres of landfill has been completed and another 17 acres of landfill is underway.

Speaking to Prothom Alo project director Muhammad Jamal Naser said although the tenure of the project was extended, the work of the project was lagging behind due to coronavirus outbreak. A request for extension of time up to 2023 has been filed. It is expected the project would be finished by the time.

'We cannot give any answer'

BSCIC project for an industrial park was taken in Kishoreganj in 2012. The project was supposed to be completed in 2016. After revision twice, the project is scheduled to be completed in July 2022. In the beginning the cost was estimated Tk 584 million. Now the cost increased to Tk 802 million. However, the structural development still is not visible. However, only two and half months are left to complete the project.

Assistant engineer of the project Mahmudul Hasan claimed some 66 per cent of the project has already been completed although the infrastructure is not visible. He hoped the project would be completed within the scheduled time.

While visiting the project area, it was found the work for constructing a road inside the project is going on. A pond is being dug. The construction of administrative building, boundary wall and drain is going on.

Bhairab Chamber of Commerce and Industries president Humayun Kabir said, "Local entrepreneurs also want to know when BSCIC industrial parks will start. But we cannot answer."

(Sumon Mollah from Bhairab, Ariful Ghani from Sirajganj and SM Yousuf Uddin from Raozan have assisted by providing information in filing this report.)

*This report, originally published in Prothom Alo print and online editions, has been rewritten in English by Rabiul Islam.