Assignment

On
Project Evaluation of Padma Bridge in the Context of
Bangladesh

Course Title:
Project Management (PA-324).

Submitted to:
Dr. Md. Ruhul Amin
Associate Professor
Department of Public Administration
Comilla University

Submitted by:
Name: Rubaiya Tabassum
Class ID:11803059
Session:2017-18

Date of Submission: 23-12-2021

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Table of Contents

Serial. Page
No. Topics No.

1 Essence 02

2 Preamble 02

3 Padma Bridge Project 02

4 Project Features of Padma Bridge 03

5 Project Setting 03

6 Key Project Components of Padma 04

Bridge

7 Project Financing 04

Cost-Benefit Analysis of Padma 04

8 Bridge
1.Costs of Padma Bridge
2.Benefits having Padma Bridge
3.Analysis of Padma Bridge

9 Epilogue 07

10 References 08
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Essence:
Bangladesh is a riverine country and most of the public transport and business depends on the
river. Padma is one of the vital rivers to influence the country’s economy as well as GDP.
Realizing the fact, Bangladesh is constructing the Padma Multipurpose Bridge over the
Padma river with associated facilities that are of great importance for the sustainable
development of Bangladesh. This project has significant impacts on the whole country and
contributes to the socio-economic and industrial development of the southwest region in
Bangladesh. Assessing the cost-benefit analysis of padma bridge can show the costing and
the benefits behind the dream project.

Preamble:
A reliable infrastructure plays a key role in economic growth which has positive output in
many countries. Good infrastructure enhances productive capacity and improves the
competitiveness of a country. There is ample evidence that infrastructure and output are
mutually beneficial. That is, infrastructure boosts output and higher output also leads to better
infrastructure.

The Padma Bridge in infrastructural development is estimated to increase the GDP of the
country by more than 1% in Bangladesh. It will benefit about three crore people across 21
south-western districts of Bangladesh. These districts will be connected with the growth
centers through better connectivity where economic prosperity will be ensured.

The Padma Multipurpose Bridge has great significance for the development of Bangladesh
having remarkable impacts on the whole country and contributes to the socio-economic
development of the Southwest region from economic as well as social perspective.
Additionally, industrial development will be accelerated through the connection of new
enhancement.

Padma Bridge Project:

The Padma River separates the southwest zone of Bangladesh from other parts of the country,
especially from the north central zone, where Dhaka, the national capital, is located. The
Padma River, about 5 kilometers (km) wide with braided, turbulent, and shifting flows, has
been a major transport barrier between the southwest and the rest of the country. The social,
economic, and industrial underdevelopment of the southwest zone—which encompasses
Mongla, the second major port of Bangladesh; its third main city, Khulna; and the inland port
at Benapole—is partly due to difficult access across the Padma River to the rest of the
country. At present, transportation of passengers and freight across the river is by ferries,
launches, and manually operated boats, whose services are grossly inadequate. In November
2010, the Asian Development Bank (ADB) approved loans for the Padma Multipurpose
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Bridge Project to build the first fixed crossing across the Padma River in Bangladesh. The
project is in line with the strategic directions of ADB’s South Asia Department, which
focuses on sustainable infrastructure, climate change mitigation and adaptation, human
development, regional cooperation and integration, public–private partnership, and good
governance.

Project Features of Padma Bridge:

The project built the first fixed crossing across the Padma River in Bangladesh. The project
has a 6.15-km-a; bridge-end facilities, including toll plazas and service areas; and river
training works to regulate the river flow and prevent damage to the bridge structure. An
institutional strengthening component enhanced the financial sustainability, and the executing
agency’s asset management capability.

As a consequence, the transportation system improved as movement of people also enhanced.

Supply chains within the country will be connected better as goods and services can be
moved smoothly from one place to another.

Project Setting:
The Project area is located in the south-central part - Munshiganj, Shariatpur, and Madaripur
districts of Bangladesh. The specific area at north side, Mawa of the Padma Bridge comprises
Lauhajang and Srinagar upazila in Munshiganj district whereas at south side of the bridge
comprises Janjira upazila under Shariatpur district and Shibchar upazila under Madaripur
district.

The Project influence area will broadly cover:

(a) the corridor of the Asian Highway

Tamabil-Sylhet-Sarail-Kanchpur-Dhaka-Mawa-Bhatapara-Narail-Jessore-Benapole,

(b) the corridor of Trans-Asian railway network and the railway missing link from
Gendaria-Mawa through the bridge to Bhanga-Kashiani-Narail-Jessore-Benapole and

(c) the Charland in up and downstream of the Padma River.

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In fact, Padma bridge is the economic corridor which creates opportunities for employment
and income.

Key Project Components of Padma Bridge:

The project consists of the following direct components:

❖ Main bridge 6.15km long and transition structures (Bridge End Viaducts);
❖ River Training Works;
❖ Bridge Connecting Approach Roads about 2.3km at Mawa side and 12.8km at Janjira
side and associated structures;
❖ 6 bridges, 14 culverts, 7 underpasses, and 11 junctions;
❖ 2 Toll Plazas, 1 at Mawa and other at Janjira;
❖ 2 Construction Yards (area at Mawa= 81ha and at Janjira=78ha);
❖ 2 Service Areas (area at Mawa=27.2ha and at Janjira=63.7ha);
❖ 4 Resettlement Sites, 2 at Mawa: RS02: Jashaldia with area 13.96ha, RS03: Kumar
Bhog with 15.46ha and 2 at Janjira: RS04: Paschim Nadoba with area 19.95ha and
RS05: Bakhorerkandi with area 18.45ha, respectively;
❖ Future provision of Railway on the lower deck of the bridge; and
❖ Provision of utility Crossings as high pressure gas main and optical fiber
telecommunication cable.

Project Financing:
The detailed cost estimate of the project is done during scheme design; the current estimate is
about US$2.4 billion. Government of Bangladesh has been in discussion with various
co-financiers to participate in the investment of the Project. A number of co-financiers have
already shown interest and extended their commitments. These co-financiers include the
Asian Development Bank (ADB), the World Bank (WB), the Japan International Cooperation
Agency (JICA), and the Islamic Development Bank (IDB).

In addition to the Co-financiers, the government also contributed to the implementation of the
Project.

Cost-Benefit Analysis of Padma Bridge:

A systematic process for decision-making was described in the 18th century by Benjamin
Franklin (1772). He made a list of pros and a list of cons, and then struck out pros and cons of
equal importance. Such a rationalized decision process, determining the relative importance
of the pros and cons is crucial to identify the analysis of padma bridge.
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Costs of Padma Bridge:

In Cost Benefit Analysis (CBA), the importance of pros and cons of a project is determined
by the number of euros and society which is willing to pay for these impacts.

In 2007, the Executive Committee of the National Economic Council (Ecnec) approved the
Tk10,162 crore budget for the Padma bridge project. The cost increased to Tk20,507 crore
(equivalent to $2.7 billion) by 2011. Initially, the World Bank was supposed to provide funds
of $1.7 billion, and other agencies, ADB and Jica, were to fund $1.17 billion. The rest of the
cost was to be funded by the government.

However, the project hit a snag as the World Bank in 2012 canceled its $1.2 billion credit,
saying it had evidence of a corruption conspiracy.

Benefits having Padma Bridge:

The activities of Padma Bridge will bring huge economic changes to the Southwest. In
addition to transportation areas, the overall cost of creating goods and businesses, the conduct
of economic activities, and the age of new activities will change. It is expected that modern
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development will be improved due to bridges, but these will have an impact on long-term
improvement. Such as:

❖ Economic Impact

The construction of the Padma multipurpose bridge will provide government assistance to
individuals in Bangladesh and the vast majority of individuals in the southwest. The
advantage needs to be gained from the more significant involvement of the province’s
commercial sector in Bangladesh’s public economy. In addition, given the dependence on
economic activities, the direct impact of the Padma Bridge on individual regions and factor
markets may prompt a series of changes in other economic sectors.

❖ Human Resource Development

The economy of Southwest Bangladesh depends on the water system framework. Unusable
power limits the use of fuel-based irrigation siphons by nearby ranchers. Due to its
limitations and fuel consumption, its use regularly becomes uneconomical. With power, the
creation cost of agricultural projects will undoubtedly be caught, greatly increasing the
creation.

❖ Electricity, Gas and Telecommunications Connection

The Padma multipurpose bridge project involves a 6.1-kilometer main bridge spanning the
Padma River, involving waterway preparations, streets and railway lines on embankments or
viaducts, toll plaza, support offices and workplaces. The Padma Bridge includes forty 150 m
long-distance steel supports, which are supported on 41 piers in the waterway, and there are 2
changing piers on each river bank.

❖ Industrialization

No industry except those based on local resources could be established because of the
transportation and consequence-marketing problem of both raw material and finished good.
Now that the Padma Multipurpose Bridge will bring the power necessary for industrialization
at the doorstep of common people, industries of various scale and dimension will flourish in
the region ultimately boosting the national economy.

❖ Cultural Integration

In Bangladesh, diversity in language, food habits and culture is seen in different regions.
People from one region sometimes find it difficult to understand the language of another. The
Bridge, which will play the role of a development catalyst for the nation's culture. The
cumulative socializing effects of all this will bring people closer in thought, outlook,
interaction and action, which are likely to be more uniform than what it is now.

❖ Easy and Safe Communication

The construction of the Padma bridge will solve the communication problem in southwestern
Bangladesh, which involves 25% of the entire land. The introduction of streets and railways
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will help transport crude oil from Chittagong Port at a lower price. By building bridges,
currency development in the Southwest will promote mechanical and commercial actions,
and increase financial and job opportunities for residents in the neighborhood.

❖ Acceleration of living standard

The project is expected to generate employment opportunities for more than 743,000 people
in the impeded region which will accelerate the living standard of people in that area.

Essentially, Padma bridge has a gross national impact on our economy as well as in the way
of improvement.

Analysis of Padma Bridge:

Padma bridge is a testament on how a country with limited resources can achieve its goal if
there is determination.

The experts said the double-deck Padma Bridge, with road and rail tracks, is expected to
contribute around 1.3 to 2% to the annual GDP growth, reduce poverty and increase
economic activities of the people of the neglected southwestern region.

Despite cost escalation by almost 3 times over the original estimate in 2007, the project
would remain viable according to most of the revised BCR estimates.

Truly, Delay in project implementation has escalated costs as usual. Some additional features
have been added to this bridge which were not originally planned. Also, devaluation of the
taka against the US dollar has pushed the cost upwards. High cost of the bridge could
increase the toll for crossing the bridge. Higher transportation costs will raise commodity
prices. Cost escalation of the bridge could also delay the recovery of the project cost. But
how efficiently resources have been used and how wastage of resources have been managed
should also be taken into consideration.

Therefore, once the bridge is fully functional, monitoring and evaluation of the infrastructure
will be critical to get the expected return. The construction of the bridge has been a landmark
achievement of the government. But without its efficient management and governance, the
rate of return from this mega project will be low.

Epilogue:
Terming the construction of Padma Bridge a “tremendous achievement” for Bangladesh, it
will play a great role in employment generation, alleviation of poverty and industrialization in
the southwestern region as well as the entire country.
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Additionally, the new Padma Multipurpose Bridge will provide a vital missing link in the
transport network of Bangladesh. The bridge will provide significant travel time savings,
particularly between the Dhaka division to the south-east of Bangladesh and possibly onto
India. The operation of the Padma Bridge, with its large step change in transport costs, will
result in significant economic changes to the southwest region.

References:
Jalil, M.A. & Mia, M.T. (2021). The Role of Padma Multipurpose Bridge in the National
Sustainable Development in Bangladesh. Journal of Asian and African Social Science and
Humanities, 7(1), 38-53.

https://www.researchgate.net/publication/352258329

Khondker, B.H. & Rahman, A. (2016). Economic Cost-Benefit Analysis:Padma Bridge

Project. Copenhagen Consensus Center.

Koopmans,C. & Mouter,N (2020). Cost-Benefit Analysis.

https://www.researchgate.net/publication/345186254_Cost-benefit_analysis

Bangladesh Bridge Authority (BBA), (2010). Environmental Assessment Report: BAN:

Padma Multipurpose Bridge Project.

Islam, M.M., Hossain, A.S.M.F., Abbas, S.M., Silvy, S. & Hasan, M.S. (2020). A STUDY
ON IMPACTS, CONSTRUCTION CHALLENGES AND OVERCOMES OF PADMA
MULTIPURPOSE BRIDGE, BANGLADESH. 5th International Conference on Civil
Engineering for Sustainable Development (ICCE).

Khatun, F. (2020, December 14). Padma Bridge and the pursuit of inclusive growth. The
Daily Star.

https://www.thedailystar.net/opinion/macro-mirror/news/padma-bridge-and-the-pursuit-inclus
ive-growth-2010893?amp

Haider, A.Q. (2021, February 19). Padma Bridge: Its huge impact on economy. The Financial
Express.

https://thefinancialexpress.com.bd/views/analysis/padma-bridge-its-huge-impact-on-economy
-1613752119?amp=true

Mahboob, F. (2020, December 12). How the country paid for the dream project. The Business
Standard.

https://www.tbsnews.net/bangladesh/transport/how-country-paid-dream-project-169891?amp
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