23 projects to find place in PPP for FY11 ADP
Tuesday, 25 May 2010
FHM Humayan Kabir
The government has included 23 projects in the public-private partnership (PPP) for the upcoming development budget, as it plans to instal nearly 4000-megawatt power plants and an elevated expressway in the capital, officials said Monday.
Planning ministry officials said considering the government's priority projects, the proposed annual development programme (ADP) for the next 2010-11 fiscal has included 23 PPP schemes aimed at developing the country's ailing infrastructure and social sectors.
"For the first time in the country's history, we have accommodated 23 projects, to be implemented under PPP. The government's priority projects have been included in the proposed ADP," a senior planning ministry official told the FE.
He said: "Under the PPP scheme, five large power generation projects have been accommodated in a bid to stamp out the present supply crunch. Besides, an elevated expressway construction project in Dhaka city has also been undertaken."
"In the next ADP, a separate list of the 23 PPP schemes will be incorporated. But those will not get any fund allocations," the official said adding: "The projects will get fund allocation letters based on their progress."
The government at the national economic council meeting on Tuesday is likely to finalise Tk 385 billion ADP budget for the coming financial year 2010-11.
The planning ministry official said under the PPP scheme, two large 2640mw coal-based power generation projects and three other 1200-1300mw capacity gas-based power projects have been undertaken.
Under the PPP scheme, the government plans to set up two 1320mw capacity each coal-based power stations in Chittagong and Khulna.
Besides, it will also instal a 450mw gas-based plant at Sirajganj, a 450mw plant in Meghnaghat and 300-400mw one at Siddhirganj under the joint-venture arrangement.
The official said the next year's ADP would also possess construction of Dhaka elevated expressway under the PPP scheme, to be constructed by the financial year 2014-15.
In addition, the planning commission has also incorporated Jatrabari-Gulistan flyover project under the PPP programme in the next year's ADP.
The senior planning ministry official said they had incorporated 23 PPP projects without any fund allocations, as those are at the very initial stage of planning.
"After processing and approval of the projects by the government authorities we would give funds from the block allocations for the non-approved projects in the upcoming ADP," he said.
The planning commission has set aside Tk 10.79 billion, 2.80 per cent of the proposed Tk 385 billion ADP outlay, as block allocations for the non-approved projects.
The government after introduction of the PPP investment paradigm in the outgoing 2009-10 fiscal has allocated Tk 25.00 billion in the national budget in bid to conduct survey and implement the projects.
A huge investment is required to achieve a double-digit growth by 2017. In addition to the existing public and private investment programmes, a finance ministry estimation said an investment of US$ 28 billion will be required by FY 2013-14 to achieve the projected growth.
The government has included 23 projects in the public-private partnership (PPP) for the upcoming development budget, as it plans to instal nearly 4000-megawatt power plants and an elevated expressway in the capital, officials said Monday.
Planning ministry officials said considering the government's priority projects, the proposed annual development programme (ADP) for the next 2010-11 fiscal has included 23 PPP schemes aimed at developing the country's ailing infrastructure and social sectors.
"For the first time in the country's history, we have accommodated 23 projects, to be implemented under PPP. The government's priority projects have been included in the proposed ADP," a senior planning ministry official told the FE.
He said: "Under the PPP scheme, five large power generation projects have been accommodated in a bid to stamp out the present supply crunch. Besides, an elevated expressway construction project in Dhaka city has also been undertaken."
"In the next ADP, a separate list of the 23 PPP schemes will be incorporated. But those will not get any fund allocations," the official said adding: "The projects will get fund allocation letters based on their progress."
The government at the national economic council meeting on Tuesday is likely to finalise Tk 385 billion ADP budget for the coming financial year 2010-11.
The planning ministry official said under the PPP scheme, two large 2640mw coal-based power generation projects and three other 1200-1300mw capacity gas-based power projects have been undertaken.
Under the PPP scheme, the government plans to set up two 1320mw capacity each coal-based power stations in Chittagong and Khulna.
Besides, it will also instal a 450mw gas-based plant at Sirajganj, a 450mw plant in Meghnaghat and 300-400mw one at Siddhirganj under the joint-venture arrangement.
The official said the next year's ADP would also possess construction of Dhaka elevated expressway under the PPP scheme, to be constructed by the financial year 2014-15.
In addition, the planning commission has also incorporated Jatrabari-Gulistan flyover project under the PPP programme in the next year's ADP.
The senior planning ministry official said they had incorporated 23 PPP projects without any fund allocations, as those are at the very initial stage of planning.
"After processing and approval of the projects by the government authorities we would give funds from the block allocations for the non-approved projects in the upcoming ADP," he said.
The planning commission has set aside Tk 10.79 billion, 2.80 per cent of the proposed Tk 385 billion ADP outlay, as block allocations for the non-approved projects.
The government after introduction of the PPP investment paradigm in the outgoing 2009-10 fiscal has allocated Tk 25.00 billion in the national budget in bid to conduct survey and implement the projects.
A huge investment is required to achieve a double-digit growth by 2017. In addition to the existing public and private investment programmes, a finance ministry estimation said an investment of US$ 28 billion will be required by FY 2013-14 to achieve the projected growth.