Public-Private Partnership Budget Govt short-lists six very urgent mega projects

The government has identified six projects for implementation on a ‘very urgent’ basis under the proposed public-private partnership (PPP) budget.

Except construction of a deep-sea port in Chittagong, the rest of the projects are estimated to cost $11.05 billion or Tk 75,900 crore.

According to a finance ministry working paper on PPP, the projects are Dhaka-Chittagong Access Control Highway at an estimated cost of $3.023 billion, construction of a sky rail around Dhaka city at a cost of $2.8 billion, construction of a Dhaka city underground railway at a cost of $3.1 billion, Dhaka city elevated expressway at a cost of $1.23 billion, two coal-based 900 megawatt power stations at the coastal areas at a cost of $0.9 billion, and the construction of Chittagong Deep-sea Port.

Finance ministry sources said apart from these big projects, a list of some small projects has also been sought incorporating projects like construction of link roads, flyovers, and underpasses.

Many local business groups already expressed interest in the big projects. For quick increase in investment in infrastructure, the government is going to take some initiatives under the PPP. Most of the investments will be in the private sector and the government will participate in it. To that end, in the next budget the government is likely to allocate

Tk 700 crore to Tk 3,500 crore depending on the volume of projects under the initiative.

The working paper estimates an investment deficit of $23 billion or Tk 1,58,700 crore in the period between the next fiscal year and 2013. An estimated investment deficit of $2.16 billion or Tk 14900 crore is expected to dog the next fiscal year.

A new fund titled ‘Bangladesh Infrastructure Investment Fund (BIIF)’ will be formed to ameliorate the investment deficit through projects under the PPP initiative. The funds will be raised from public and private sectors.

The working paper also proposes increasing BIIF through release of long-term bonds and shares on the capital market.

It also suggests collecting fund through turning loans into transferable debt securities through securitisation, and through sales of those. Besides, a special technical assistance fund might also be set-aside in the next budget for studying PPP projects.

Those who will invest in BIIF might be given tax waiver or allowed to pay a minimum tax.

Import of capital machinery under PPP initiatives might get duty-free facilities and tax holidays, or a minimum tax might be allowed on profits for a specific period.

An advisory committee comprising 11 to 13 members headed by the finance minister might be formed to provide guidelines for the PPP initiatives.

The sources said a final announcement regarding the issues will be made in the budget speech of the finance minister.

Apology from a Pakistani group to Bangladesh for 1971

The Following apology to the Bangladeshi people for the atrocities of 1971 is made by the group, Action for a Progressive Pakistan. You may learn more about this group at its website: http://progpak.wordpress.com/, or contact it at: progpak@gmail.com.

On May 13, the government of Bangladesh demanded an unconditional apology from the government of Pakistan for war crimes committed during the 1971 army action in what was then East Pakistan. The Pakistani government’s response was to dismiss the demand, telling Bangladesh to “let bygones be bygones.” This was not the first time this demand was made, nor the first time it was dismissed with such flippancy by Pakistan.

Between March 25-26, 1971 — the start of the military offensive — and the signing of the instrument of surrender on December 16, 1971, the Pakistani army engaged in what essentially amounted to genocide against its own citizens for daring to demand that their electoral writ be implemented. The army’s atrocities were both indiscriminate and targeted — the rape of countless Bengali women, the killing of hundreds of Bengali intellectuals and students, and the senseless murder of hundreds of thousands of ordinary Bengalis and indigenous people, besides looting and pillaging on an unprecedented scale.

Nearly forty years on, even a reliable estimate of the number of people killed by the army isn’t possible because mass graves continue to be unearthed, a powerful testimony to the horror that was perpetrated on our people. This is the horror, which the Pakistani army continues to cravenly refuse to acknowledge.

The sole recognition of these atrocities — the Hamoodur Rahman Commission Report, which was an official government of Pakistan panel — was ignominiously suppressed by then Prime Minister Zulfiqar Ali Bhutto and successive governments, and declassified only in December 2000.

The outrageous dismissal of Bangladesh’s demand by the Pakistani foreign office — “let bygones be bygones” — is a shameful reflection of Pakistan’s constructed amnesia over the horrific actions of its army and its political leadership. Not only has there never been any move on the part of the Pakistani state to apologise to Bangladesh, there has not even been any sustained effort by citizens’ groups to pressure the government to publicly acknowledge the truth.

As Pakistanis, we find this unconscionable. We find it unconscionable that the Pakistani army raped, killed and pillaged our brothers and sisters in East Pakistan in 1971. We find it unconscionable that the Pakistani state has steadfastly refused to acknowledge these atrocities for the past 38 years, leave alone hold those responsible for them accountable as suggested by its own chief justice in the state commissioned inquiry. We reject the Pakistani state and army’s claim that these atrocities were committed in our name.

Today, as we stand at the brink of yet another army action aimed at our own people, at the brink of another human catastrophe brought about by and for the same interests and institutions, namely the Pakistani military, we remember 1971. We demand that our state acknowledge and apologise for the actions of its army, punish those responsible for the atrocities (and named in the HR Commission’s report) and pay reparations for the extensive infra-structural damage and looting to Bangladesh. Only through such expiation can we — as a people and a state — heal the wounds of the past and hope to build a new partnership with the people of Bangladesh.

DailyStar

Padma Bridge: Pre-construction work begins

Communications Minister Syed Abul Hossain yesterday said the funds for construction of the much-awaited Padma Bridge are already in hands and earth filling began as part of its pre-construction work.

He said Tk 600 crore, which fell short so far, has been collected and pledges for another $1200 million are already available for financing the construction of the bridge.

The minister said this at Mawa of Louhajang upazila while visiting the Padma Bridge project area. He was accompanied by the ambassadors of Japan and Kuwait and country directors of the World Bank, ADB, IDB and JAICA.

Replying to a question, he said no surcharge would be levied for the bridge, adding that the bridge would be constructed by donors’ funds.

He further said that the project was started with the highest priority attached to it by the present government, adding that all the works, including land requisition and acquisition, have almost been finalised.

Though the bridge is being constructed with loans from the donors, the loans could be paid from the income of the bridge in the next 15 to 20 years, Abul Hossain said.

The minister said as the bridge lies on the AH-1 of the Asian Highway, its implementation would revolutionise the internal communications in the country, he added.

TheDailyStar

24MW rental power plant comes on stream

A 24-megawatt (MW) rental power plant in Barabkunda in Sitakunda upazila, the first private power generation initiative in Chittagong, started operations yesterday.

A team comprising Bangladesh Power Development Board officials visited the plant on Thursday and cleared the way for sending power to the national grid by giving a ‘no objection certificate’.

Regent Power Ltd, a unit of Habib Group, set up the plant at a cost of Tk 130 crore over 2.5 acres of land. Plant construction began in May 2008 alongside the Bangladesh Power Development Board (PDB) substation in Barabkunda area.

Group Managing Director Yasin Ali said the plant will sell all generated power to the PDB and the power will directly go to the national grid through the Barabkunda substation in line with an agreement with the government.

“The capacity of the plant can be increased several times and if the government approves, we would be able to generate more power within the shortest possible time,” Ali said.

Regent Power Ltd is one of the nine private firms, which received permission from the government in November 2007 to generate power.

Besides, construction of two other power plants, rental and state-run, is going into operation by next month (June) and April next year respectively.

Of them, the private-firm Energies Power Corporation Ltd is setting up a 73.8 MW capacity furnace oil-fired plant at Shikalbaha on the bank of the river Karnaphuli under Patiya upazila.

According to an agreement with the government, PDB will get 55 MW power from the plant, while the remaining will be rented to private firms.

On the other hand, the government is setting up a 150MW Peaking Power Plant in the same area with a cost of Tk 534 crore.

Country’s interest to get highest priority while rebuilding BDR

Bangladesh Rifles (BDR) Director General Maj Gen Mainul Islam yesterday said the country’s interest will get the highest priority while rebuilding BDR.

He also said the BDR members are being motivated to be prepared to adjust themselves to the reforms of the organisation.

The BDR jawans who were involved in looting and massacre at Pilkhana headquarters would not come under general amnesty, the BDR chief told reporters at the BDR sector headquarters in Rangpur.

He said the BDR jawans involved in killings and looting had already been identified. “All BDR jawans who were involved in mutiny and who revolted at different camps outside Dhaka will be arrested,” he added.

Maj Gen Mainul appreciated the role of army officials in different BDR sectors outside Dhaka, saying that they handled the situation efficiently.

Indian elections and the Bangladesh perspective

For Bangladesh, the results of recent indian parliamentary election have opened opportunities on a number of fronts. It will allow our government to interact with a stable government in New Delhi led by a resurgent Congress with which the Awami League has traditional and historical affinity. As a Prime Minister Dr. Manmohon Singh is wise and positive and we can expect that in his second term he will focus more on improvement of relations with neighbours including Bangladesh. The elections will bring into Indian politics a new generation of leaders led by Rahul Gandhi who can be expected to look forward to for a better South Asia than has hitherto been the case. We were disappointed at the way relations have been handled since the AL came to office in January, particularly surprised that the Indian Foreign Minister visited Dhaka and had failed to meet the leader of the opposition while meeting the Army Chief. We hope the new government will be more sensitive towards Bangladesh.

The Indian elections have many lessons for us if we are willing to take. The grace with which LK Advani accepted defeat is a lesson that, if taken by our leading politicians, could really open a world of opportunity for us. His offer to resign to take responsibility for his front and party’s defeat is a democratic tradition that we could emulate in Bangladesh. On his part, Manmohon Singh sought Advani’s support and constructive criticism to run the new government, saying: “we must open a new chapter in the working relations between the government and the principal opposition.” Sonia Gandhi’s leadership style where she has put the nation before self is one our political leaders could follow.

The new governments in India and Bangladesh are expected to run parallel over the next five years. These are momentous times when opportunities are knocking at our doors. In Bangladesh, there has been a perceptible change in mindset for better relations with India based on mutuality. A strong government under Manmohon Singh can ensure a similar change in the Indian mindset. The two Prime Ministers must meet without losing time to cash upon the wind of change in our respective countries. They should send the message to the respective administrations that they have the political will for the change in the mindset that has kept Bangladesh-India relations from achieving their potentials. We should also make diplomatic efforts to reach Sonia Gandhi for her support in building Bangladesh-India relations and not get bogged down at the level of the Indian External Affairs Ministry where we seem to be stuck at the moment. The new Indian Government will take office after the parliament meets on June 2nd.

TheDailyStar

Mission Annapurna Iv: Bangladeshi mountaineers leave for Nepal today

A team of mountaineers of North Alpine Club Bangladesh (NACB) is leaving Dhaka for Nepal today with an aim to climb the Annapurna IV of the Himalayas.

At a press conference organised by the NACB at Dhaka Reporters’ Unity (DRU) in the city yesterday, Musa Ibrahim, general secretary of NACB, put forward the programme of the team.

“This is the first time such an initiative has been officially taken from the country,” he said, adding that such events should be supported by the authorities concerned.

A two-member team is leaving for Nepal today while the rest of the nine-member team will start on May 26.

NCAB has a plan to climb the Everest by 2010.

“The successful journey to Annapurna IV will boost our bid to conquer the Everest,” said Lt Col MM Iqbal Alam, adviser to NACB.

“The adventure would set an example before the youths of the country and its success will be a pride for the nation,” he added.

This venture requires minimum 40 days and the team will literally start climbing up from the base on May 29, the day when Hillary conquered the Mount Everest.

The team has to get past four camps to reach Annapurna IV.

The members of the team are Musa Ibrahim, Touhid Hossain, Dhruba Jyoti Ghosh Mukul, MH Jayedi, Munira Farzana Tania, Abdul Halim, Badruddin Omar, Jahid and Md Sadekur Rahman.

The title sponsor of the programme is Navana Group while Matra, Kohinoor Chemicals, Summit Group and Destiny Group are event partners.

DailyStar

Shipbuilders may change Bangladesh economy

Industries Minister Dilip Barua said yesterday shipbuilding, which is a very labour-intensive industry, has the potential for generating a huge foreign currency and developing extraordinary skills in the field of engineering.

“The country has skilled and semi-skilled professionals as well as necessary ingredients to be a shipbuilding nation. So the industry holds the potential for transforming Bangladesh into a middle-income country in near future,” Barua said.

He was speaking as chief guest at a function organised by Ananda Shipyard and Slipways Ltd, one of the leading local shipbuilders, as it formally handed over its eighth ship, Stella Moon, at $7.5 million to a Danish buyer, Stella Shipping P/S.

The function took place at the company’s office at Meghnaghat in Sonargaon under Narayanganj district.

“The company has so far secured export orders for 34 ships at $373.50 million. It has received export proceeds and advance payments of $48.54 million. Denmark, Germany, Norway and Mozambique have placed the orders,” said Ananda Group Chairman Dr Abdullahel Bari at the ceremony.

Earlier Ananda exported its first ship Stella Maris to another Danish company at $6 million on May 5 last year and six others to the Mozambique government at $6.2 million on November 13, said the company officials.

The officials also said they are now building 10 ships of which six have been ordered by Komorowski and four others by Wessell, two German companies.

“We hope to deliver the ships within the next three years as the construction works are going on in full swing,” said a company official.

Stella Moon has 64 TEUs (twenty-foot equivalent units) container carrying capacity with 2,950 deadweight tonnages.

Deadweight tonnage, also known as deadweight (DWT), is a measure of how much mass or weight of cargo or burden a ship can carry safely.

DailyStar

Dhaka metro govt proposed: combining Gazipur, N’ganj with capital giving them city corporation status

Members of the parliamentary standing committee on the local government ministry at a meeting yesterday discussed forming Dhaka metropolitan government combining Gazipur and Narayanganj to improve city life.

Members of the parliamentary body suggested that Dhaka City Corporation should be divided into two parts each having a mayor to better city life.

The committee members also suggested upgrading Gazipur and Narayanganj to City Corporation.

The committee at the meeting held at the parliament building decided to scrutinise Pourasava Bill keeping the provision of lawmakers’ advice mandatory for pourasava mayors.

The body recommended creating posts of two deputy mayors including one for woman.

“Most of the committee members at the meeting called upon the government to form Dhaka metropolitan city as well as the metropolitan government combining Gazipur and Narayanganj after upgrading them to city corporation,” Advocate M Rahmat Ali, chairman of the committee told reporters after the meeting.

“The committee, however, did not make any decision or recommendation in this regard,” he added.

“We need to talk with the government, experts, mayors and councillors of all city corporations about the issue before taking any decision,” Rahmat said.

“We need to discuss how the utility services will be integrated and how they will function once the metropolitan government is formed,” he said.

“We will fix a date to talk on this issue with all mayors and councillors after getting the nod from the government,” he added.

The committee members also suggested splitting Dhaka City Corporation into two separate entities having two mayors,” Rahmat Ali said.

“As the chairman of the committee I did not make any recommendation over their opinion as I need to talk more on that,” he said.

Rahmat cited names of some cities including Kolkata, New York, London, and New Delhi where the city is divided into two.

Replying to a question he said all members of the committee gave their opinions in favour of Dhaka Metropolitan government.

The committee also asked all deputy commissioners to investigate the alleged misappropriation of money worth Tk 135 crore during the BNP-led four-party alliance government in giving government allocation under Gram Sarkar.

The committee asked them to place the report before the committee within next 45 days.

S: The Daily Star

Dhaka Decided to connect with Asian Highway Network

The government has decided to connect Bangladesh with the proposed Asian Highway Network (AHN), Communications Minister Syed Abul Hossain said today.

After a meeting of the UN Economic and Social Commission for Asia and the Pacific (UN-ESCAP) Intergovernmental Agreement on the Asian Highway Network, Abul Hossain told reporters at his office that the decision would benefit the country.

“We will present the summary in the next cabinet meeting for the government’s approval. We would inform the government’s decision to the UN-ESCAP after approval,” the minister said.

“The agreement would be signed as per the routes proposed by the UN-ESCAP.

“If we can be connected with the Asian Highway Network, our communications and trade with Asian countries would be boosted. It would flourish our tourism industry,” Abul Hossain added.

The communications minister ruled out the possibility of having safety of Bangladesh endangered by the highway.

The proposed three routes are Benapole-Jessore-Kanchpur-Dhaka-Sylhet-Tamabil, Banglabandha-Hatikamrul-Dhaka-Kanchpur-Sylhet-Tamabil and Dhaka-Kanchpur-Chittagong-Cox’s Bazar-Teknaf-Myanmar border.