Dhaka Metro Rail: Two more lines to cost Tk 93,800cr (11.5 Billion USD)

[Black_cats]

12:00 AM, October 15, 2019 / LAST MODIFIED: 02:07 AM, October 15, 2019
Dhaka Metro Rail: Two more lines to cost Tk 93,800cr

Project proposals for Airport-Kamalapur, Hemayetpur-Bhatara lines up for Ecnec nod today; physical work to start soon

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Rejaul Karim Byron and Tuhin Shubhra Adhikary

Construction work on two more metro rail lines will begin soon as the government aims to reduce traffic congestion and pollution in the capital.

Two project proposals with an estimated cost of Tk 93,800 crore are scheduled to be placed before today’s Ecnec meeting for approval, a Planning Ministry official said.

The first proposal is about building Mass Rapid Transit-1 from Hazrat Shahjalal International Airport to Kamalapur Railway Station at the cost of Tk 52561.43 crore. This would be the country’s first underground metro rail system.

However, the 31.24km lines will have an elevated section from Notun Bazar to Purbachal. The project commits to a 2026 deadline.

The second proposal is about building MRT-5 (northern route) from Hemayetpur of Savar to Bhatara via Gabtoli, Mirpur and Gulshan at the cost of Tk 41,238.55 crore. The 20km lines will have underground and elevated sections. This one commits to a 2028 deadline, officials said.

The Japan International Cooperation Agency will provide the lion’s share of the costs in soft loans, they added.

These projects are part of a long-cherished metro rail network for Dhaka and its adjacent areas. They are expected to ease traffic congestion and pollution in the capital, the two major problems facing the mega city of more than 1.5 crore residents.

The government aims to build five metro lines -- an elevated, an underground, and three combining both -- in the capital and its adjacent areas by 2030.

In the last 10 years, the average traffic speed in Dhaka has dropped from 21kmph to 7kmph, which is slightly above the average walking speed, said a World Bank analysis in July 2017.

“Congestion in Dhaka eats up 3.2 million workhours per day. This costs the economy billions of dollars every year,” it said

On the other hand, Dhaka is the second most polluted capital city in the world, according to the World Air Quality Report released in March. Greenpeace and AirVisual, who monitor global air quality, prepared the report based on last year’s data collected from different public monitoring sources.

Work on MRT-6 between Uttara and Motijheel, the country’s first metro rail project, has made 30.05 percent progress as of September and the lines are expected open on December 16, 2021, when the country would be celebrating the golden jubilee of independence.

Once completed, the 20.10km metro rail service with 16 stations will be capable of carrying 60,000 passengers every hour and significantly reduce travel time from Uttara to Motijheel from at least two hours to 36 minutes.

State-run Dhaka Mass Transit Company Ltd is implementing the projects according to the Revised Strategic Transport Plan (2015-2035).

MRT Line-1
These lines will begin from the proposed Terminal-3 of Hazrat Shahjalal International Airport.

It will carry an estimated 14 lakh people a day, officials said.

It will also have an elevated part to connect Purbachal with Notun Bazar. The authorities are planning to extend MRT-6 to Kamalapur, instead of Motijheel, an official said.

The 31.24km MRT Line-1 will have around 19.87km from the airport to Kamalapur with 16.4km underground and around 11.36km of elevated rail lines from Notun Bazar to Purbachal.

Transition from underground to elevated and vice versa will take 3.65km.

The route will have underground stations at the airport, terminal-3 of the airport, Khilkhet, Jamuna Future Park, Notun Bazar, Uttar Badda, Badda, Hatirjheel, Rampura, Malibagh, Rajarbagh and Kamalapur.

The Purbachal part will have stations at Notun Bazar, Jamuna Future Park, Bashundhara, Police Officers’ Housing Society, Mostul, Purbachal West, Purbachal Centre, Purbachal Sector-7 and Purbachal depot. Of these stations, Notun Bazar and Jamuna Future Park would be underground.

Of the total cost, the government will provide Tk 13,111.11 crore and Jica Tk 39,450.32 crore.

MRT-5 (NORTHERN ROUTE)
MRT-5 has two sections -- northern and southern.

The northern lines will be from Hemayetpur of Savar to Baliyarpur, Modhumoti, Aminbazar, Gabtoli, Dar-Us-Salam, Mirpur-1, Mirpur-10, Mirpur-14, Kochukhet, Banani, Gulshan-2, Notun Bazar to Vatara.

This 20-km route will have 14 km underground lines with nine stations and six km elevated lines with five stations, according to the project documents.

Of the total cost, the government will provide Tk 12,121.50 and JICA Tk 29,117.05 crore.

The southern route is still being planned.

TWO OTHER MRTS
MRT-2 will connect Gabtoli with Chattogram Road via Basila, Jhigatala, Science Lab, Azimpur, Shaheed Minar, Golap Shah Mazar, Motijheel, Mugda and Demra.

MRT-4 will connect Kamalapur with Narayanganj with underground lines.

https://www.thedailystar.net/frontpage/news/dhaka-metro-rail-two-more-lines-cost-tk-93800cr-1813843

 

[rishav]

Metro is very important for populous cities like dhaka

 

[maxpayne]

why we are against metroes In Pakistan?

 

[Chhatrapati]

Are they gold plated metro rakes? 11 billions of USD? I hope it's a conversion error. (1.1 Billion USD)

 

[monitor]

Are they gold plated metro rakes? 11 billions of USD? I hope it's a conversion error. (1.1 Billion USD)

Unfortunately it's not wrong . It costing us whopping 12 billion dollar to build. Current mrt-6 also costing nearly 3 billion dollar .

 

[Chhatrapati]

Unfortunately it's not wrong . It costing us whopping 12 billion dollar to build. Current mrt-6 also costing nearly 3 billion dollar .

Yeah, I think I have asked this before and the replies seems in line with 'acquiring property is expensive, lots of imports' etc... I still don't get it. You're building one Km at nearly half a billion dollars. How long will it take to break even?

 

[Nilgiri]

Yeah, I think I have asked this before and the replies seems in line with 'acquiring property is expensive, lots of imports' etc... I still don't get it. You're building one Km at nearly half a billion dollars. How long will it take to break even?

They only need to break even in local taka terms, not USD terms.

BAL monetary policy is extremely good, well managed one, as you can see by the forex reserves totally not stagnating....and there being no over reliance on loans (from china etc) to compensate.

 

[leonblack08]

I understand that there is definitely a couple of billions going to the pockets of BAL contractors and land acquisition is also very expensive in Dhaka. Can anyone shed a light if it is actually difficult to build a metro in places like Bangladesh owing to the composition of the soil?

 

[Nilgiri]

I understand that there is definitely a couple of billions going to the pockets of BAL contractors and land acquisition is also very expensive in Dhaka. Can anyone shed a light if it is actually difficult to build a metro in places like Bangladesh owing to the composition of the soil?

@bluesky has done some good analysis on such matters.

 

[Yaseen1]

why we are against metroes In Pakistan?

For political gains

 

[bluesky]

I understand that there is definitely a couple of billions going to the pockets of BAL contractors and land acquisition is also very expensive in Dhaka. Can anyone shed a light if it is actually difficult to build a metro in places like Bangladesh owing to the composition of the soil?

About extra expenses, BD is full of corruption. However, land prices are also very high in Dhaka. On the other hand, a long portion will be built underground although most of it is supposed to be under the existing or future roads. It means less money is required for acquiring land for this section.

As for corruption, I cannot say that JICA will pay huge money to build and again pay bribes to the politicians. In Japan corruption culture is absent. Rather, JICA will try to provide big contracts for Japanese Contractors which is also necessary considering the high technology involved.

However, local Contractors will be paying bribes, there is little doubt about it. By the way, two components are missing in the cost estimation. It is the cost of purchasing railway cars and electrification works. Or is it that the GoB is considering the trains with imported steam locomotives? I hope, it is not so.

 

[Realtalk108]

I understand that there is definitely a couple of billions going to the pockets of BAL contractors and land acquisition is also very expensive in Dhaka. Can anyone shed a light if it is actually difficult to build a metro in places like Bangladesh owing to the composition of the soil?

Mumbai metro line 1 - $65 million/km
Lahore metro line 1 - $60 million/km
Dhaka metro line 1 - $130 million/km

All three are fully elevated lines. Dhaka metro cost is absurdly high.

And I don't get this land acquisition meme. The entire route in Dhaka's first line follows a major road. That's already public property.

 

[leonblack08]

Mumbai metro line 1 - $65 million/km
Lahore metro line 1 - $60 million/km
Dhaka metro line 1 - $130 million/km

All three are fully elevated lines. Dhaka metro cost is absurdly high.

And I don't get this land acquisition meme. The entire route in Dhaka's first line follows a major road. That's already public property.

It's all corruption, BAL affiliated contractors are getting the work and stealing with impunity.

As for the land acquisition, there are some areas which needed people's sign off. I heard of some cases that were dragging the progress longer than expected. But still, that much of a difference per kilometer compared to Lahore and Mumbai is completely absurd.

 

[Nilgiri]

It's all corruption, BAL affiliated contractors are getting the work and stealing with impunity.

As for the land acquisition, there are some areas which needed people's sign off. I heard of some cases that were dragging the progress longer than expected. But still, that much of a difference per kilometer compared to Lahore and Mumbai is completely absurd.

Friend of mine (who's dad owns big construction company in BD) has told me lot of nasty details for these big ticket projects. There is lot of corruption in the early litigation scene itself (involving say the eminent domain etc to acquire land)....compared to regional average. Lawyers, judges etc being bribed and bought off, cases being manufactured to gum up the process etc.

This causes all kind of delays and cost overruns (because remember often the liquidity is loaned with interest, rather from existing saved buffer given region still has very low private credit prevalence to GDP).

Simply the companies price this all in to begin with now, after having bitten lot of times before (so they know where the "actual" market price is rather than theoretical ideal one). Basically X amount is needed for Y amount of raw push to deal with the heavy starting inertia/friction.

Then add to this what you mention here (greater nepotism + corruption etc)...i.e the rolling inertia/friction, you gotta use the "correct" people to do contract work etc and they all want their BAL-extortion cut on top.

That's because as bad as it is in say India, there are enough political parties, social groups and media interests (all competing against each other, esp for internal matters) to keep a basic check on each other....i.e the extortion competes against itself in its own market dynamic which helps to keep those prices quite lower (as much as they shouldnt be there in first place).

But BD has gestated a monolith now and that too this early in its economic trajectory (and it was only claimed duality at best before), that simply created a monopoly of extortion, sleaze and nepotism in its wake now.

Simply put, if you don't have system in place to have good bureaucratic meritocracy and competition system to handle it inside like East Asia (which is always vaunted somewhat simplistically as a good reason for monolith i.e stability it creates) .... then political monolith is actually a very lousy thing.

@Tanveer666 @Mage