UNB, Dhaka :
A process is underway to award a contract for the construction and operation of two jetties at Mongla Port under the public-private partnership (PPP) to enhance its capacity. According to official sources, the Shipping Ministry has already selected a private consortium of foreign and local firms to build the two new jetties in the country’s second largest sea port.
A Shipping Ministry document, obtained by UNB, reveals that GMAPS-PowerPac Consortium was picked as a qualified responsive bidder from three aspirant bidders who initially expressed interest in the project.
Of the country’s two sea ports, Chittagong Port handles around 94 percent, while Mongla Port the remaining 6 percent.
Mongla Port, located about 131 km inland off the Bay of Bengal on the Pussur River at its confluence with the Mongla River in the country’s southern part, was designed to cater to 11 concrete jetties. Of these, five jetties have so far been built while piling works for two have been completed and four earmarked for future expansion.
According to the Shipping Ministry document, the project to construct and operate the two jetties was undertaken in 2010.
Responding to the bid invited by Shipping Ministry, three private firms – United Enterprises and Co. Ltd (UECL); Consortium of Summit Alliance Port Ltd and Summit Power Ltd (SAPL-SPL); and GMAPS-PowerPac Consortium-submitted their proposals for pre-qualification of the project in 2013.
After the evaluation of the bids, the Shipping Ministry invited request for proposals (RFPs) from them and also prepared a concession agreement. But of the three firms, only GMAPS-PowerPac Consortium submitted its proposal. After the scrutiny of the proposal, the Shipping Ministry’s technical evaluation committee (TEC) found the GMAPS-PowerPac’s bid technically responsive and moved for evaluating its financial proposal.
In the financial evaluation, the GMAPS-PowerPac also came out to be qualified and responsive bidder. The Shipping Ministry, meanwhile, has sent the project concession agreement to the Law Ministry for its vetting.
Official sources said, the Law Ministry approved the concession agreement with some amendments to its terms and conditions.
As per the amended concession agreement, the estimated cost of the project looks to be $52.75 million, while the concession period 30 years.
The Shipping Ministry said once the two new jetties go into operation that will help the Mongla Port enhance its revenue by 50 percent.
According to the concession agreement’s terms and conditions, the first two years will be for construction. Of the rest 28 years, the GMAPS-PowerPac-run two jetties will get 39.20 percent of the total shipping to be arriving in the port, while the Mongla Port’s own jetties will get the remaining 60.80 percent in the first five years of operation.
For the second five years, it will be 29.40 percent and 70.60 percent respectively for two sides. For the remaining 18 years, the GMAPS-PowerPac-run two jetties will get 24.50 percent and the Mongla Port 75.50 percent of the ships coming to the port.
A process is underway to award a contract for the construction and operation of two jetties at Mongla Port under the public-private partnership (PPP) to enhance its capacity. According to official sources, the Shipping Ministry has already selected a private consortium of foreign and local firms to build the two new jetties in the country’s second largest sea port.
A Shipping Ministry document, obtained by UNB, reveals that GMAPS-PowerPac Consortium was picked as a qualified responsive bidder from three aspirant bidders who initially expressed interest in the project.
Of the country’s two sea ports, Chittagong Port handles around 94 percent, while Mongla Port the remaining 6 percent.
Mongla Port, located about 131 km inland off the Bay of Bengal on the Pussur River at its confluence with the Mongla River in the country’s southern part, was designed to cater to 11 concrete jetties. Of these, five jetties have so far been built while piling works for two have been completed and four earmarked for future expansion.
According to the Shipping Ministry document, the project to construct and operate the two jetties was undertaken in 2010.
Responding to the bid invited by Shipping Ministry, three private firms – United Enterprises and Co. Ltd (UECL); Consortium of Summit Alliance Port Ltd and Summit Power Ltd (SAPL-SPL); and GMAPS-PowerPac Consortium-submitted their proposals for pre-qualification of the project in 2013.
After the evaluation of the bids, the Shipping Ministry invited request for proposals (RFPs) from them and also prepared a concession agreement. But of the three firms, only GMAPS-PowerPac Consortium submitted its proposal. After the scrutiny of the proposal, the Shipping Ministry’s technical evaluation committee (TEC) found the GMAPS-PowerPac’s bid technically responsive and moved for evaluating its financial proposal.
In the financial evaluation, the GMAPS-PowerPac also came out to be qualified and responsive bidder. The Shipping Ministry, meanwhile, has sent the project concession agreement to the Law Ministry for its vetting.
Official sources said, the Law Ministry approved the concession agreement with some amendments to its terms and conditions.
As per the amended concession agreement, the estimated cost of the project looks to be $52.75 million, while the concession period 30 years.
The Shipping Ministry said once the two new jetties go into operation that will help the Mongla Port enhance its revenue by 50 percent.
According to the concession agreement’s terms and conditions, the first two years will be for construction. Of the rest 28 years, the GMAPS-PowerPac-run two jetties will get 39.20 percent of the total shipping to be arriving in the port, while the Mongla Port’s own jetties will get the remaining 60.80 percent in the first five years of operation.
For the second five years, it will be 29.40 percent and 70.60 percent respectively for two sides. For the remaining 18 years, the GMAPS-PowerPac-run two jetties will get 24.50 percent and the Mongla Port 75.50 percent of the ships coming to the port.
