[🇧🇩] City Buses, Metro Rail, Urban Transport & City Road Infra

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[🇧🇩] City Buses, Metro Rail, Urban Transport & City Road Infra
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Metro rail: Construction from Motijheel to Kamalapur to be delayed
Anowar Hossain Dhaka
Updated: 19 May 2025, 16: 11

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The construction of metro rail from Motijheel to Kamalapur is set to be delayed due to the proposal of higher costs by the contractor.

Although the extended part was supposed to be opened in June 2025, uncertainty has emerged over the opening of the 1.25 kilometer-route even next year.

Sources at the metro rail project said problems has appeared over appointing contractors without open tender.

The Indian contracting firm Larsen & Toubro has submitted a bid that is more than double the estimated cost. The interim government is not interested in proceeding with the work at such a high price. In this situation, instructions have been given to either accept proposals from alternative contractors or to invite new bids.

The decision to extend the metro rail to Kamalapur was made in 2022. A contractor was appointed the following year, in 2023, for the construction of the elevated structure and the station at Kamalapur. According to the contract, the work was supposed to be completed by June of this year. However, due to slow progress, the deadline has been extended to December.

According to officials concerned, progress on the construction work of the Motijheel–Kamalapur section—such as the elevated roadway and station construction at Kamalapur—is very limited. Meanwhile, a contractor has yet to be appointed for the other tasks, including the installation of the railway line, electrical systems, and signaling (electromechanical works).

Inquiry into the complications surrounding contractor appointment revealed that the then Awami League government had planned to implement the extended section of the project from Motijheel to Kamalapur using the same contractors working on the Motijheel–Uttara segment, without issuing a separate tender. This was treated as an additional work (variation) under the existing contract. The government at that time appointed contractors for the physical construction work.

Beyond that, they spent nearly a year trying to appoint an Indian contractor for other tasks, including the installation of the railway line, electrical systems, and signaling. However, those efforts were unsuccessful. After the fall of the Awami League government during the mass uprising on 5 August of last year, the issue of the contractor's high bid came to light.

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Metro rail File photo

The decision to extend the metro rail to Kamalapur was made in 2022. A contractor was appointed the following year, in 2023, for the construction of the elevated structure and the station at Kamalapur. According to the contract, the work was supposed to be completed by June of this year. However, due to slow progress, the deadline has been extended to December.

It was found Larsen & Toubro’s bid to be excessively high. Even if just one taka of taxpayers' money can be saved, that effort should be made---DMTCL board member and BUET professor Md Hadiuzzaman.

According officials concerned, as of April, the construction work on the section from Motijheel to Kamalapur was 50.97 per cent complete.

According to projections, the metro rail from Uttara to Motijheel is expected to carry 500,000 passengers daily. However, currently, more than 400,000 people use the metro each day. Once extended to Kamalapur, the daily passenger count is expected to rise to 677,000. The longer the delay in opening the extended section, the more the opportunity to transport additional passengers will be missed. Regular commuters along that route will also continue to suffer due to traffic congestion.

Kabir Hossain works at a hotel in Kamalapur. He lives in the Farmgate area. Speaking to Prothom Alo, he said that he currently travels from Farmgate to Motijheel by metro. After getting off at Motijheel, he has to take a rickshaw to reach his destination, which costs him Tk 40. On the return trip, he again takes a rickshaw to Motijheel.

Kabir Hossain noted that many long-distance train passengers from Kamalapur railway station also commute in a similar manner. If the metro rail were extended to Kamalapur, it would significantly ease the commute for train passengers as well as people working in nearby offices and businesses.

The Dhaka Mass Transit Company Limited (DMTCL) is responsible for building and operating the metro rail in Dhaka. A source at the organisation said that completing the remaining work—including rail line installation, electrical systems, and signaling—will take at least a year and a half. Regardless of whether a new contractor is appointed or the task is assigned to the Indian company, it could take up to two more years for the metro to reach Kamalapur. In the meantime, the physical construction—such as the station and elevated track—will be completed, but they will remain unused.

After getting off at Motijheel, I have to take a rickshaw to reach my destination, which costs me Tk 40. On the return trip, I again take a rickshaw to Motijheel---Kabir Hossain.

Contractor demands more than double

The work on the Motijheel–Kamalapur section of the metro rail has been divided into two parts (packages). The physical work includes the construction of the elevated track and the station at Kamalapur. To operate the trains, seven additional types of work are required. These include installation of the rail tracks, elevators, escalators, monitors, platform screen doors aligned with train doors, signaling systems, and automated fare collection machines. In addition, the power supply system, including substations for operating the trains and station facilities, must also be set up. All of these tasks have been grouped under a single package. However, there is no need for new trains or coaches for this segment, as 24 sets have already been imported.

To operate the trains, seven additional types of work are required. These include installation of the rail tracks, elevators, escalators, monitors, platform screen doors aligned with train doors, signaling systems, and automated fare collection machines. In addition, the power supply system, including substations for operating the trains and station facilities, must also be set up. All of these tasks have been grouped under a single package.

According to sources at DMTCL, the track, electrical, and signaling work for the Uttara–Motijheel section was carried out jointly by Japan’s Marubeni Corporation and India’s Larsen & Toubro. The previous Awami League government had planned to assign the extended section’s work to the same contractor. It was argued at the time that assigning it to a different company would complicate coordination with the Uttara–Motijheel segment. However, experts believe that this claim has no real technical basis.

According to sources concerned, for the Kamalapur section's rail, electrical, and signaling work, Larsen & Toubro expressed interest in handling the entire package alone—without Japan’s Marubeni Corporation. They were invited to submit a bid and, after nearly a year, they submitted their proposal in July last year. Their proposed cost was Tk 6.45 billiond, while the project authority had allocated only Tk 2.74 billion for this work. At the time Larsen & Toubro submitted their proposal, student and public protests were ongoing in the country, so the Awami League government could not approve the bid.

After the interim government took office in September last year, the issue was raised in a board meeting of Dhaka Mass Transit Company Limited (DMTCL). The board showed no interest in awarding the contract at such a high cost and advised reducing expenses. Following this, the project authority negotiated with the Indian contractor three times. Ultimately, Larsen & Toubro submitted a final bid of Tk 5.90 billion—still more than double the estimated cost.

In late April, DMTCL once again sought guidance from the board regarding this issue. The board recommended either accepting proposals from alternative contractors or issuing a new tender.

The physical construction work of the Motijheel–Kamalapur section is being carried out by Italian-Thai Development Public Company, based in Thailand, under a contract worth Tk 5.11 billion. They have partnered with Bangladesh’s McDonald Steel as an associate contractor.

Italian-Thai also did the physical construction work for the Uttara–Agargaon section. Additionally, the Agargaon–Motijheel section was built by Japan’s Tekken and Sumitomo Mitsui Corporation. The project authority also invited bids from them for the extended Kamalapur section.

A DMTCL official, speaking to Prothom Alo on condition of anonymity, said that although the physical construction for the Kamalapur section was not awarded through an open tender, there was still competition because multiple companies submitted proposals. However, for the package involving the rail line, electrical, and signaling work, Larsen & Toubro was the sole bidder, which has brought the high cost into question.

By virtue of his position, road transport and highways division senior secretary Ehsanul Haque is the chairman of DMTCL's board.

Speaking to Prothom Alo, he said, "A contractor cannot be appointed without competition." He also mentioned that they are discussing the matter with the funding agency JICA and that a new tender will be issued.

Recommendation to appoint contractor through open tender

The Uttara to Agargaon section of the metro rail was inaugurated on 28 December 2022. The Agargaon to Motijheel section was opened on 4 November 2023. According to the project proposal, the extension to Kamalapur is scheduled to be operational by June this year.

The official name of the metro line from Uttara to Kamalapur is MRT Line-6. The distance from Uttara to Motijheel is 20.1 kilometers, and to Kamalapur it is 21.26 kilometers—meaning the extended portion adds 1.16 kilometers. There are a total of 17 stations from Uttara to Kamalapur.

When the metro rail project was approved in 2012, the estimated cost was Tk 219.85 billion. That figure has now increased to Tk 334.72 billion. A loan of Tk 197.18 billion has been taken from JICA, Japan’s international development agency.

Md Hadiuzzaman, a board member of DMTCL and a professor in the Department of Civil Engineering at Bangladesh University of Engineering and Technology (BUET), told Prothom Alo that delays have already occurred in the overall metro rail project and in the physical construction work for the Motijheel–Kamalapur section. He said that even if it causes a bit more delay, a new contractor should be appointed through an open tender process.

Explaining his reasoning, he said he also found Larsen & Toubro’s bid to be excessively high. “Even if just one taka of taxpayers' money can be saved, that effort should be made,” he added.​
 

Metro rail expansion encountering hitches

FE
Published :
Jul 10, 2025 23:03
Updated :
Jul 10, 2025 23:03

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The Dhaka Mass Transit Company Limited (DMTCL) finds itself in a dilemma over the expansion of the metro rail network, particularly involving the Contract Package (CP) 6 of MRT Line 5 North. Despite notable interest from global firms, the tendering process appears to have been shaped by Japan-specific conditions that have effectively excluded all but a handful of Japanese bidders. This limited competition has culminated in a staggering 162 per cent cost overrun in CP 6, raising concerns about transparency and long-term sustainability.

According to a report in The Financial Express, the lowest bid for CP 6 of the MRT Line 5 North was submitted at over Tk 155 billion-substantially higher than previous estimates and placing the DMTCL in a tight corner. Matters have been made more complicated by the rigid financing rules imposed by the Japan International Cooperation Agency (JICA), which limit little room for price negotiation. The DMTCL is currently tasked with developing a 128-kilometre-long MRT network comprising six lines that will span both the north-south and east-west corridors of Dhaka.

Procurement experts and engineers have flagged concerns, warning that the procurement framework for metro projects is increasingly being monopolised by Japanese firms. The tender documents, they argue, carry systemic limitations that stifle open competition, ultimately raising questions about fairness and technological self-reliance in a flagship infrastructure project. Presently, DMTCL is implementing two JICA-funded metro rail lines-MRT Line 1 and MRT Line 5 North. In the case of CP 6, while 15 firms initially expressed interest during the prequalification phase launched in August 2024, only four-all Japanese-were eventually shortlisted. Of these, just two firms submitted final bids. The lowest bid stood at Tk 155.27 billion, with the second at Tk 164.30 billion. These figures far exceeded the revised cost estimate of Tk 59.51 billion, which itself was an increase from the Tk 39.67 billion approved in the original 2019 Development Project Proposal (DPP). The bids even surpassed the engineering estimate of Tk 61.26 billion prepared in 2025 by the project's Japanese consultant. Officials involved in the bidding process believe this pattern reveals a broader structural issue. The tendering terms, they argue, are skewed in favour of Japanese firms, deterring other capable international companies. The JICA's guidelines which prohibit price negotiation once the lowest bidder is identified, further complicate matters by tying the hands of the DMTCL even when costs surpass rational thresholds. On the other hand, sources associated with the Japanese consultants defend the current model, noting that many donor-funded projects around the world-whether backed by China, India, or others-tend to prioritise firms from the donor country. Japan, they point out, has played a pioneering role in metro rail technology and project execution, which should not be overlooked.

Under the circumstances, the issue should not be viewed as merely monopolistic. While donor priorities and technological expertise must be acknowledged, experts should work towards reaching balanced outcomes. There has to be a framework that allows reasonable negotiations for avoiding project deadlock.​
 

Cost of 2 MRT projects set to rise by Tk 1,600cr
Shahin Akhter 13 July, 2025, 00:52

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Costs of two of the three ongoing projects for the construction of mass rapid transit lines, popularly known as metro rail, are likely to increase by about Tk 1,600 crore.

After the contractors of the MRT Line 6 project’s extension on the Motijheel-Kamalapur route increased the cost of the installation of all systems, the authorities concerned are now analysing an offer for raising the project cost by about Tk 191 crore to Tk 976 crore.

For the MRT Line 1 project, the estimated cost is to be increased by about Tk 1,400 crore to Tk 53,977 crore due to land acquisition.

Project officials said that the cost of the MRT Line 1 project was going to increase following the inclusion of building a construction yard, site offices and a station plaza on 18 acres of land in Aftabnagar area in the project.

‘Initially, these were not in the plan,’ they said.

The deadlines for the three ongoing projects that also include the MRT Line 5 are also likely to be extended due to sluggish pace of the projects.

Officials of the Dhaka Mass Transit Company Limited, the implementing agency of the metro rail system, said that they would likely to start metro train services to Kamalapur by the fourth quarter of 2026, originally scheduled for December 2025.

The utility relocation work of the MRT Line 1 project has remained halted for about two months due to traffic congestion in the capital’s Natun Bazar, Badda and Aftabnagar areas.

DMTCL managing director Faruque Ahmed said that the proposal for increasing the MRT Line 6 extension project cost was given due to the local currency devaluation and price rise of land and materials.

Proposal was also given to extend the project deadline till December 2028 for a major overhaul of the 24-set of metro trains, he mentioned.

For the MRT Line 1 the proposal for increasing the cost was given due to land acquisition, he said.

‘In no country the construction of a metro line is completed before six to seven years,’ he said, adding, ‘I do not know which project in Bangladesh was completed in time.’

The work to build a network of about 141 kilometres of six MRT lines, comprising both elevated and underground ones, by 2030 started in 2016 in the Dhaka city to reduce traffic congestion and improve the environment in the capital and its suburbs.

Out of the six projects, metro trains are now running on the Uttara–Motijheel portion of the elevated MRT Line 6 project. The portion took about six years to be completed.

The construction work of two more lines started in 2023 with the Japan International Cooperation Agency and the government of Bangladesh as the financers, while the construction work of three more lines are yet to start.

The MRT Line 5 was scheduled to have two routes — northern and southern — but the interim government has planned to ditch the MRT Line 5 southern route, citing that it would be less useful.

DMTCL officials said that after the August 2024 political changeover, some of the projects went slow due to delays in JICA approvals and bidding processes.

On August 5, 2024, the authoritarian Awami League regime was ousted in a mass uprising and the interim government assumed office on August 8.

The construction of the 21.26-kilometre MRT Line 6 on the Uttara–Kamalapur route began in 2016.

Metro rail services on the Uttara–Agargaon section was inaugurated on December 28, 2022, which were later extended to Motijheel.

For the extension of the route to Kamalapur, the project is being implemented under two packages – civil and installation of all systems like tracks, electrical and signalling systems. The extension project deadline is this December.

A contract has been signed for Tk 511 crore with the contractors for the civil package.

As of May, the progress of the civil works of the Motijheel-Kamalapur section was 55.5 per cent.

The contractor of the second package, Marubeni (Japan)-L&T (India) joint-venture which also worked for the main project, proposed Tk 651 crore in July 2024 for the work.

As per the detailed project proposal, formed in 2020 and approved in 2022, the estimated cost for the second package was Tk 274 crore. During the project approval, the rate of the dollar was Tk 84.8. on Wednesday, the dollar rate was Tk 123.

Following negotiations by the interim government, the JV offered Tk 465 crore for the work in June.

The 31.241-kilometre MRT Line 1, on the Hazrat Shahjalal International Airport-Kamalapur route, will be the first underground metro rail system in Bangladesh and its construction work started on February 2, 2023, while its deadline is December 2026.

Till June, the overall project progress was about 6 per cent.

In the next revised DPP, the increased cost would be included, said the sources.

While the land development works for the Pitalganj depot under the package 1 was completed, the calling of tenders for 11 other packages of the project are in process.

Once the procedures are completed, a new deadline for the project will be set, said project office sources.

The project’s utility relocation works in Notun Bazar, Badda, Uttar Badda and Aftabnagar areas are now suspended.

The sources said that officials of the Dhaka Metropolitan Police and Dhaka North City Corporation requested them to start the works at first in Bashundhara and Aftabnagar areas.

The construction of the 20-kilomgere MRT Line 5’s Northern Route, on Hemayetpur-Bhatara route, started on November 4, 2023 with an estimated cost of Tk 41,239 crore and the December 2028 deadline.

The progress of the land development works for the depot at Hemayetpur was 54.04 per cent till this May while tenders for other nine works are now in process.

‘I believe we will run trains from Uttara to Kamalapur by the fourth quarter of 2026 if we can sign the contract for the installation of all systems by this month,’ Faruque said.

He also said that at present it was not possible to appoint new contractors for the MRT Line 6 extension as such as action would delay the project by about two years.

Replying to a question on the slow pace of these projects, Faruque said that it was not their intention to sign contracts only but to achieve the optimum benefits from the contracts.​
 

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