The cabinet committee on economic affairs on Monday approved the draft of Public Private Partnership Act 2013 with some observations, said cabinet officials.
The decision was taken at a meeting in the secretariat which was presided over by
finance minister Abul Maal Abdul Muhith.According to the draft of the PPP Act 2013, the private equity providers will have maximum 25 per cent voting rights under the partnership.
It said the parties interested in the PPP would have to form a consortium with one member holding 26 per cent shares in the company.
The member cannot leave the company in three years after the partnership and will serve as the single largest shareholder of the company.
The PPP office will collect the technical assistance fund and maintain and oversee the implementation of the projects, the draft act said.
In Monday’s meeting the committee also approved the overhauling proposal of Keru and Company which Bangladesh Machine Tools will do under direct contract.
The committee also approved transfer of two textile mills in Rangamati and Magura to textile and jute ministry from the Privatisation Commission.
‘The concerned ministries will later allocate the two factories to Power Division,’ additional secretary of the cabinet Nurul Karim told reporters.
Earlier, the Privatisation Commission called for tender to sell the two mills and received Tk 60 crore offers from the bidders.
The Privatisation Commission put forward the proposal to the committee but the proposal was rejected.
The cabinet committee said the total value of the two mills would be approximately Tk 114 crore and if the sales took place in the quoted price the government would have loss Tk 174 crore.
Nurul Karim said the committee approved six purchase proposals in the meeting.
‘25,000 tonnes of urea fertiliser will be purchased from Qatar at the cost of Tk 71.82 crore,’ he said.
The committee increased the allocation to Tk 72.72 crore from existing Tk 66 crore for construction of a bridge on the river Brahmaputra to connect Saltia-Habiganj-Dewanganj, he said.
A consultant will be appointed for Tk 22.26 crore to formulate operational and business model for greater Dhaka sustainable transport project, he also said.
The committee also approved a proposal for feasibility test for setting up a railway in Navaron, Jossore.
-With New Age input
