Karnaphuli Tunnel proves to be a white elephant

The mega projects in Chattogram like the elevated expressway have proved to be white elephants. The much-vaunted Karnaphuli Tunnel is now a losing concern while the Elevated Expressway is likely to count losses for lack of enough traffic.
The Chattogram Elevated Expressway, longest of the country, is likely to be opened soon. The Chattogram Development Authority (CDA) has already proposed a new toll rate for vehicles on the expressway. But, on imposition of the toll, the traffic is likely to decline on the expressway while traffic congestions are feared on the normal roads. The drivers of the baby taxis, motor cycles and other vehicles seem reluctant to pay toll for using the expressway as there is no toll for other fly-overs in Chattogram.
Aminul Islam, a driver said that the expressway had no ramp to for the vehicles to land at any spot on the way. The vehicles have to go to the beach for landing on the road. Moreover, the government did not impose any tolls for the Akterujjaman Chowdhury Flyover, GEC to Shershah flyover, etc. "Why shall we pay toll for Chattogram Elevated Expressway which is also a fly-over," he added.
One official of CDA said that traffic would decline on the expressway as soon as the toll is imposed and traffic congestions will increase on the land roads again. So, it may be used for only some vehicles.
There were restrictions on movement of two- and three-wheeler vehicles on the expressway due to risks of accidents. These restrictions were later lifted in a board meeting on October 28 last. At the same time, toll rates were also reassessed, reducing fees by Tk 20 to Tk 50 based on the types of vehicle and entry or exit points. According to the newly-proposed toll rates, motorcycles will be charged Taka 10 to Taka 15, CNG auto rickshaws Taka 20 to Taka 30, cars Taka 50 to Taka 80, jeeps Taka 70 to Taka 100, microbuses Taka 90 to Taka 100, pickups Taka 130 to Taka 150, minibuses Taka 180 to Taka 200, buses Taka 250 to Taka 280, four-wheeler trucks Taka 180 to Taka 200, six-wheeler trucks Taka 300, covered vans Taka 450, and trailers Taka 450.
Project Director (PD) of the project and Executive Engineer of CDA Engineer Mahfuzur Rahman said, "Construction of the expressway has been completed. The CDA Board at a meeting held on October 28 last proposed to open the expressway to traffic. The proposal, which includes fixing toll rate for different vehicles, has already been sent to the ministry for approval. As soon as the proposal is approved by the ministry, the expressway will be opened to traffic."
The Elevated Expressway project was scheduled to be completed in 2022, but, the implementing authority CDA sent a letter to extend the time till 2024 and increase the expenditure by more Tk 12 billion (1200 crore). The project involving Taka 42.98 billion (4,298 crore) was expected to be completed in June 2024. The project is almost completed while construction of ramps is ongoing now. Construction of the ramps will end by June in 2025.
On the other hand, the first ever under-water tunnel of the country which was inaugurated last year, now becomes a white elephant due to daily loss. Due to the lack of expected traffic, the daily loss for maintenance is Tk 2.6 million (26 lakh). The tunnel, once envisioned as a transformative infrastructure project, has now become a burden for Bangladesh.
Muhammad Fauzul Kabir Khan, adviser to the Ministries of Power, Energy, Mineral Resources, Road Transport, Bridges, and Railways said at the Chattogram Circuit House in a meeting held on November 15 last, "When I passed through the tunnel, it was almost empty. The plan was aimed to boost the economy by developing a deep-sea port in Matarbari, connecting it with the tunnel, and establishing an economic zone. But now it is causing financial losses for the country."
He termed the Karnaphuli Tunnel project as an instance of 'political showmanship' and said they were working to mitigate the huge losses from this 'unrealistic' project. "This tunnel is an unrealistic project. It was essentially a politically-motivated project, a display for earning public attention. Other countries have tunnels underwater, why shouldn't we have one? But current realities reveal that it was grandstanding."
Tk 23.923 million was collected in September last. As per monthly collection of toll, on an average Tk 797,000 was collected daily in September while it was Tk 1.180 million per day for previous10 months. A total of 91,662 vehicles used the tunnel throughout the month of September. So, on an average, 3,055 cars are running every day. The number of vehicles plying daily is only 18 per cent of the initial survey. But to keep the tunnel open for a day only, the maintenance cost is Tk 3.75 million while the collection of toll is only Tk 797,000 per day. As a result, the tunnel is now a losing concern.
According to the sources, on average of 37.5 million taka per day for the provision of artificial light and lighting in the tunnel, overall security and emergency security measures; which three times more than the income. At present there is no opportunity for bicycles, CNG Baby Taxies and motorcycles to pass through the tunnel. Besides, no industries yet to be built in the Anwara part of the tunnel. As a result traffic is not increasing.
The overall cost of the tunnel, a Chinese loan of Tk 67 billion (6,700 crore) will be repaid over the next 20 years at 2.0 per cent interest rate. The government will start repaying that debt from 2025 with the income of the tunnel. The construction cost of the tunnel along with the operation and maintenance costs is to be met mainly from the tolls collected. But, now, the tunnel cannot earn the targeted income.
On the other hand, no new industries and factories are there at Anwara in the southern part of Chattogram nor any business opportunities created. Bank branches and a handful of shops opened there are continuously making losses. Despite the acquisition of land to build a Chinese Industrial Zone (CIZ) around the tunnel, there was no progress in implementation of the project over the last few years.
In 2013, the feasibility study on the tunnel indicated that 6.3 million vehicles could move annually. On average, 17 thousand 260 cars would cross every day. But, in the last 11 months, vehicles plying the tunnel totaled a little more than three thousand. At present, the daily average rate of vehicles passing is only 18 per cent of the target. As the number of tourist cars is declining, the number of other vehicles is also falling rapidly now.
Kamrul Islam, a businessman of Anwara, said, "It was said then that the port will be expanded, business will increase. In reality there are nothing more than a handful of restaurants. All are shops and other establishments including banks, counting losses now."

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