Govt to revise contract for capital dredging of Rabnabad channel

The government has decided to revise its contract with Jan De Nul, which was appointed for capital dredging of Payra Port's Rabnabad channel, as the Belgian company has completed the work ahead of schedule.

A meeting of the cabinet committee on government purchase yesterday approved the revision proposal of Payra Port Authority regarding its project on "Capital and Maintenance Dredging of Payra Port Rabnabad Channel".

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However, the contract's value of Tk 5,629.18 crore will remain the same following revision, according to a press release from the finance ministry.

Addressing a virtual press briefing after the meeting, Syed Mahmud Khan, additional secretary of the Cabinet Division, said Jan De Nul was originally supposed to complete the capital dredging works within one year and then maintain the channel for another six months.

Now though, the deadline for completing capital dredging has been shortened to eight months while the timeframe for maintenance has been extended to 12 months, he added.

Jan De Nul, a maritime infrastructure construction and maintenance company based in Luxembourg, handed over the channel to the port authority on March 26 after completing capital dredging works.

With the completion of capital dredging, Rabnabad channel now has the highest depth while Chattogram port, the biggest seaport in Bangladesh, only just recorded the berthing of a vessel with 10 metres draft in January this year.

Larger mother vessels will now be able to load or unload their goods directly from the jetty of Payra port instead of through lighter vessels at the outer anchorage.

Ships with a draft of up to 10.5 metres, ranging 225 metres long and 30 metres wide, can now dock at the jetty, said Rear Admiral Mohammad Sohail, chairman of Payra Port Authority.

The project was initiated in January 2021 in a bid to turn Payra port into a major shipping hub for the country by facilitating the access of larger vessels.

Port officials say that although capital dredging works are now finished, maintenance work is now ongoing to maintain navigability of the channel.

Meanwhile, the cabinet committee on economic affairs yesterday approved a proposal of Bangladesh Petroleum Exploration and Production Company Limited (BAPEX) to make a 10-year contract with Intraco Refueling Station Ltd.

Under the deal, BAPEX will supply Intraco with surplus gas produced in Bhola for distribution among industrial units of Gazipur in Dhaka by initially compressing 5 MMcfd of the fuel and later 20 MMcfd in cylinders.