Govt okays proposal to buy over 3.3m MMBTUs LNG

Staff Correspondent

8 April, 2021 12:00 AM printer

Bangladesh has approved a fresh proposal to procure 33.60 lakh MMBTUs liquefied natural gas LNG from the spot market at a cost of over Tk 2.43 billion.

The approval was given by the government on Wednesday to meet the growing demand of energy in the country.

“The government will buy 33.60 lakh MMBTUs LNG from AOT Trading, AG, Switzerland. The company quoted Tk 2.43 billion for the LNG cargo supply,” said Shahida Akter, Additional Secretary of Cabinet Division at a virtual press briefing.

The briefing was held after the meeting of Cabinet Committee on Government Purchase with Finance Minister AHM Mustafa Kamal in the chair. The approval came at the meeting.

The cost of per MMBTU LNG will be $7.29 in line with AOT Trading, AG, Switzerland’s quotation, said Shahida Akter.

The meeting also approved a proposal for procuring 50,000 metric tonnes of non-Basmati parboiled rice from India to stabilise the country’s rice market.

M/S P.K Agri Link Private Ltd, India has bagged the rice supply order from the Department of Food at a cost of Tk 1.75 billion, Shahida said.

She said per tonne rice will cost the government $411.93.

In reply to a question, finance minister said, “Many rice procurement proposals have recently been approved as some traders fail to supply.”

 He, however, assured that the government will import rice according to its necessity so that consumers don’t suffer.

The minister said the rice import will also stabilise the market without harming local farmers.

In the meeting, three procurement proposals of roads and highways department were approved. 

Under a proposal, a joint venture of Reliable Builders Ltd, Md MOYENUDDIN (BASHI) Ltd and Orient Trading & Builders Ltd bagged a public works of WP-2 of Shariatpur (Monohar Bazar)-Ibrahimpur Ferry Ghat road at a cost of over Tk 1.03 billion.

The public works of WP-3 of the same project was awarded to the joint venture of Md Badrul Iqbal Ltd, Hassan Techno                 

Builders Ltd, and Oyster Construction and Shipping Company Ltd at a cost of Tk 1.07 billion under another proposal of the same department. 

The public works of WP-3 of Ashuganj river port-Sorail-Dhorkhar-Akhaura land port four-lane highway project was awarded to AFCONS Infrastructure Ltd, India at a cost of over Tk 7.88 billion under another proposal.

The committee approved a proposal of housing and public works ministry to revoke and reevaluate TEC recommendation for public works under WD-01. It was awarded to Khulna Shipyard road expansion and development project.  

The consultancy work for constructing bridge over the Megna River on Shariatpur-Chandpur and Gozaria, Munshiganj road was approved at a cost of Tk 2.43 billion.

The joint venture of Tecnica Y. Proyectos S.A (TYPSA), Spain; Nippon Koei Co Ltd, Japan; DOHWA Engineering Co Ltd, South Korea; Development Design Consultants Ltd Bangladesh; BCL Associates Ltd, Bangladesh and Dev Consultants Ltd., Bangladesh won the consultancy work.

Earlier, a meeting of the Cabinet Committee on Economic Affairs was also held, chaired by the finance minister.

In the meeting, the committee approved in principle the procurement of 50,000 tonnes rice from the National Federation of Farmers’ Procurement Processing and Retailing Co-operatives India Ltd. (NACOF) on G2G basis through DPM method.

It also approved in principle a proposal of post and telecommunications ministry for connecting with a new submarine cable of SEA-ME-WE-6 consortium following its own procurement policy.