Govt. saves Tk.185 cr in electro-mechanical work at Kamalapur section

The interim government has saved Taka 185 crore from electro-mechanical work of the metro rail in Motijheel-Kamalapur section.

The contracting company that submitted the tender in June 2018 for the electro-mechanical system work of the Motijheel to Kamalapur section has been recently appointed, according to a road transport and bridges ministry release issued today.

The official said the Revised Development Project Proposal (RDPP) (Second Amendment) had allocated Taka 274 crore for this section, which was also approved as expenditure.

The release said, the actual expenditure was fixed through tender evaluation, which depended on inflation, currency exchange rates, complexity of raw material supply and transportation costs, etc.

It said the proposed price of Marubeni-L&T was about Tk.650 crore in July 2023, but the interim government expressed reluctance to spend such huge amount. 

Following the interim government’s instruction, the DMTCL authorities engaged negotiation in this regard and after long discussions, both parties agreed to do the work at Taka 465 crore. 

The release said that as per the DMTCL negotiation, the government saved around Tk.185 crore, which is the reflection of the government’s ‘cost optimization’ policy.

Earlier, Marubeni-L&T carried out the electro-mechanical work from Uttara North to Motijheel, in which the same contractor will facilitate system integration in the work from Motijheel to Kamalapur, the release said.

Metro rail work is being completed through JICA’s nominated contractor as per the agreement signed with the project financing agency.

The government also completed repair works of Kazipara and Mirpur-10 at a cost of Tk.18 crore, which was estimated at Tk.350 crore during the previous government.