BR to cancel 7 projects for lack of bid response, funding

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UNB, Dhaka :
Bangladesh Railway is getting ready to ‘declare finished’ its seven projects without completing those for various reasons, including lack of repose from bidders.
These projects are collection of 264-meter gauge passenger cars and two broad gauge inspection cars, 150-metre gauge passenger cars, 125 broad gauge passenger cars and 10 DEMU (diesel electric multiple units) trains. Besides, development of export infrastructure, technical assistance for project preparation aiming to implement development of export infrastructure and technical assistance for survey, safeguard policy survey, detailed engineering design and providing of tendering service are also among the projects.
According to official documents obtained by UNB, the Bangladesh Railway has proposed to cancel the collection of 264-metre gauge passenger car and two broad-gauge inspection cars as it did not get any Indian response of the tender floated as per the specification of the Railway. “Bangladesh Railway floated tenders for two times in this regard,” the documents say. The reason behind scrapping of the collection of 150-metre gauge passenger cars is the lack of response from Indian bidders. “Non-availability of Indian response of the tender for the project abiding the specification and experience that was stated in the tender of Bangladesh Railway,” the documents mentioned.
The 125 broad gauge passenger cars could not be procured for the same reason. The DEMU project could not be implemented also for lack of response from Indian bidders. India extended a US$ 1-billion credit line to Bangladesh for developing infrastructure projects, mostly in the communications sector. The loan agreement between the EXIM Bank of India and the Economic Relations Division (ERD) of the Ministry of Finance was signed in August 2010. India also converted US$ 200 million out of the US$ 1 billion LoC as grant assistance in June 2012, enabling Bangladesh to utilise it for any priority project.
The other three projects-development of export infrastructure, technical assistance for project preparation aiming to implement development of export infrastructure with the financial assistance of World Bank and technical assistance for survey, safeguard policy survey, detailed engineering design and providing of tendering service with the financial assistance of World Bank-could not be implemented for lack of funds.
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