ERL 2nd unit freed from S Alam's clutches

CHATTOGRAM, Nov 26: The project to build Eastern Refinery Limited's (ERL) second unit is finally free from the grip of the controversial S Alam Group as the interim government has cancelled the conglomerate's proposal to be a partner in the venture. The proposal was cancelled in a meeting of the energy ministry last week.

ERL's new Managing Director Md Sharif Hasant told The Financial Express the ministry, Bangladesh Petroleum Corporation (BPC), and the state-run refinery had already cancelled S Alam's proposal and other proceedings.

He said there was no chance for the conglomerate to be a partner of the project, which the interim government would now implement with own funds and international loans. He further said the government was considering the project a fast-track one as it was very important for Bangladesh.

Sharif said the government had earlier allocated 70 per cent of the total fund as a loan, while the remaining 30 per cent would be allocated by BPC.

"We submitted the development project proposal (DPP) earlier. The finance ministry has allocated funds. Later, we sent the final DPP to the cabinet committee concerned.

[email protected]