PPPA
Profile Of "Upgrading of Dhaka Bypass to 4 Lane (Madanpur-Debogram-Bhulta-Joydebpur) through PPP"

Updated At: 2025-09-28 16:16:49

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Information: Details
Project Summery
Project Name: Upgrading of Dhaka Bypass to 4 Lane (Madanpur-Debogram-Bhulta-Joydebpur) through PPP
Sector: Transport
Location: Dhaka
Area: Narayanganj, Gazipur and Dhaka Districts (48 km)
Background:

Dhaka, the capital of Bangladesh, is the administrative and commercial centre of the country. Its importance has been reflected by the strong growth in population which currently stands at around 14 million and is expected to continue to grow rapidly, with estimates suggesting the population could double over the next 20 years.

 

The high population density is reflected in the transport sector which consists of many different modes – both motorized and non-motorized. These various modes of transports often use the same road space resulting in high levels of traffic congestion and operational difficulties. Estimates indicate that 80% of registered vehicles in Bangladesh operate in Dhaka. These congestion challenges are exacerbated given the relatively low level of road infrastructure in Dhaka and the high growth in traffic volumes (estimated at 8 -10% per year). In order to facilitate congestion free traffic movement there is an urgent need for additional road infrastructures in Dhaka.

 

The Joydevpur-Bhulta-Madanpur Road (‘the Dhaka By-pass Road) is a 2-lane road and part of the strategically important National Highway N105. It is a key arterial route which connects the northern and north-eastern part of the country with the southern and eastern region by-passing Dhaka city. It is estimated that every day around 10,000 motorized vehicles use the Dhaka By-pass Road and the numbers are continuing to increase. Consequently the 2-lane road cannot cater for such increased traffic but there is a need to separate out the local traffic from the trans-regional traffic and create a dedicated expressway to cater for the increase in traffic demand and to reduce journey time.

 

The Project is undertaken for the development and augmentation of the existing approximately 48 km two-lane road section connecting Joydevpur to Madanpur through Bhulta on the N-105 including the designing, building, financing, operation, maintenance and transfer of a four-lane access-controlled Toll Road (“Expressway” or “Toll Road”) and the design, build, financing and transfer of two service roads, under the PPP programme of Bangladesh.

Project Scope:

The detailed responsibilities to be met by the Project Company are defined in the PPP Contract, and will broadly consist of the following:
a. ROW investigations;
b. Detailed design of the Project Highway;
c. Achievement of its condition precedents and financial close within a stipulated time period;
d. Procurement of all approvals required for the Project;
e. Development and construction of the Project Highway within a stipulated time period;
f. Operation and maintenance of the Project Highway from the Appointed Date;
g. Handback of the Service Roads upon COD;
h. Handback of the Toll Road upon expiry and/or termination of the PPP
i. Contract; and
j. Fulfillment of all other obligations in accordance with the PPP Contract.

Objective:

a. Deliver an economically viable project in an environmentally and socially responsible manner subject to any applicable laws and regulations;
b. Obtain optimal value for money;
c. Transfer the appropriate risks to the Project Company;
d. Build and maintain in accordance to the Contracting Authority safety standards;

Procurement Method:
Key Features/Output: 4 Lane Access Controlled Expressway, 2 Lane Service Road Road
Economic Life: 50 Years
Contract Term: 25 years
Construction Time: 2019 - 2024
Project Structure/Model
PPP Structure: Design, Build, Finance, Operate, Maintain & Transfer (DBFOMT)
PPP Reveneue Model: Mixed Pay
Project Estimated Cost per PFS/DFS
Total Estimated Capital Cost: BDT 3,500 Crore
Total Project Cost: BDT 3,723.79 Crore (Including VGF)
Leverage (Debt to equity ratio): 80:20 (Excluding VGF)
VGF amount %: BDT 223.79 Crore, 7.36 %
Stakeholder Details
Grantor: Roads and Highways Department (RHD)
Division/Ministry: Road Transport and Highways Division
Contracting Authority: Roads and Highways Department (RHD)
Private Partner / Project Company: Consortium of Sichuan Road & Bridge (Group) Corporation Ltd, Shamim Enterprise (Pvt) Ltd and UDC Construction Ltd.
Shareholders (with Equity %): • Sichuan Road and Bridge (Group) Corporation Ltd - 60% • Shamim Enterprise (Pvt) Limited - 30% • UDC Construction Limited - 10%
Lenders (with amount and %): China Development Bank (CDB), China International Trust and Investment Corporation (CITIC), Bangladesh Infrastructure Finance Fund Limited (BIFFL)
EPC Contractor’s: SRBG-SEL-UDC JV
O & M Contractor’s: SRBG-SEL-UDC JV
Independent Engineer: Intercontinental Consultants and Technocrats Private Limited (ICT) - Sheladia Associates, Inc. JV
Key dates
Project Screening Date: 11-09-2012
In-Principle Approval Date: 11-10-2012
Final Approval Date: 14-10-2018
Concession Signing Date: 06-12-2018
Concession Period: 25
Financial Close:
Construction Commencement Date: 15-05-2022
Construction Period: 25
Construction Complete:
Commercial Date of Operation(COD):
Project Completion Date:
Construction Contractor
Not Yet
TA Service Provider
MMM Group Limited
Present Phase
Construction Stage (Construction Begins)
Note:

Construction work is ongoing. The progress of the work is 68%.