Finance Ministry, NBR delay in clearing tender proposal

FE Team | Published: September 29, 2007 00:00:00 | Updated: February 01, 2018 00:00:00

Despite having made all preparations, the Energy Ministry could not invite the third round international gas-block bidding as the Finance Ministry and the National Board of Revenue held back the bidding document, reports UNB.
Sources said that after preparing the bidding document, the Energy Ministry sent it to the Law Ministry, Finance Ministry and the National Board of Revenue (NBR) more than one and a half month back for necessary vetting.
But the Finance Ministry and the National Board of Revenue still held back the document.
However, the Law Ministry, cleared the document on Monday after completing its careful examination to ascertain whether there was any anti-state element in it.
The Energy Ministry prepared the document a few months back to invite the third round international tender for the exploration of oil and gas in the country's offshore areas.
A source said the Energy Ministry would again send a new portion of the document to the Law Ministry for further scrutiny.
The new portion was prepared based on the suggestions given by the country's renowned lawyer Kamal Hossain for incorporation in the bidding document, the source said.
The Energy Ministry earlier sought Kamal's suggestions as he had a significant contribution to the preparation of the first and second round bidding documents and also to the drafting of the Production Sharing Contract (PSC) signed with international oil companies (IOCs).
Energy Ministry officials hope that they would get back the new part of the document from the Law Ministry shortly. "But getting back the document from Finance Ministry and NBR with their clearance is now our main concern," said an official of the Energy Ministry.
When contacted, Energy Secretary AMM Nasir Uddin admitted about the delay by Finance Ministry and NBR in giving their nod to the bidding document.
He said the Energy Ministry would take steps to remind the Finance Ministry and the NBR to expedite their process of clearance.
"We are going to remind the Finance Ministry and the NBR again in the next weekâ€¦ We are hopeful, they will consider it seriously," Nasir told UNB.
He indicated that the Energy Ministry would place the 3rd round bidding proposal to the Cabinet next month if it gets the vetting from the Finance Ministry and the NBR.
After approval of the Cabinet, the international tender will be floated in November or December this year, he added.
Sources said that at least six to twelve months would be needed to complete the whole bidding process after receiving the bids.
For the third round bidding, the Energy Ministry has divided the sea areas of the country into 27 new blocks.