Padma to eat up ADP

The Padma bridge as a single project will get the highest allocation of Tk 6,852 crore in the next Annual Development Programme (ADP) as the government has decided to implement it with its own funds.
The new ADP will be placed today at a meeting of the National Economic Council (NEC) for approval. The country's transport sector is going to get the highest 89 percent increase over the current fiscal's because of the Padma bridge project.
In contrast, allocation for the health and education sectors is going to increase by 2 and 4 percent respectively.
According to the planning ministry proposal, the Padma project will receive allocation of 11 percent of the new ADP in the next FY, though there is doubt as to how much of the amount could be spent.
At the NEC meeting the ADP for the next fiscal has been proposed at Tk 65,870 crore.
The Bridges Division has also sent a detailed plan for the Padma bridge financing to the Finance Division and sought its consent for spending foreign currency.
The government has decided to implement the project with its own finance after the World Bank withdrew its funding proposal on graft allegations.
The total cost for seven components of the bridge will be Tk 23,185 crore. Of the amount, foreign currency worth $2.03 billion, equivalent to Tk 16,240 crore, will be required for various purchases from abroad, according to the Bridges Division's proposal.
Padma Bridge Project Director Shafiqul Islam told The Daily Star yesterday work would start from the point where it stopped in 2011. In June an offer will be made to the pre-qualified bidders for the main bridge construction and in July for river training.
Shafiqul said a letter had been sent to Maunsell Ltd, the New Zealand-based consulting firm, asking it to start work on preparing tender documents and evaluation of the bids.
The Bridges Division letter to the Finance Division said work on the main construction would start in December.
However, a finance ministry official said if experienced and internationally reputed contractors did not take part in the bidding, the authorities might invite fresh bids.
The official said uncertainty still remained as to whether construction would begin by December.
Speaking anonymously, a government high official said if the present government came back to power, it might approach some development partners for funding.