Irregularity alleged in Tk 550cr ADB-funded Khulna WASA project
A tender notice issued by the Khulna Water Supply and Sewerage Authority on 4 March 2026 for the construction of a pipe network – including District Metered Areas (DMA) and metered service connections in extended service areas – has drawn attention over several of its conditions. The project is to be financed by the Asian Development Bank (ADB).
Concerns have been raised regarding the qualification and evaluation criteria outlined in the tender, with some observers suggesting that certain provisions may limit broader competition.
It has been alleged that aspects of the tender documents and the Bill of Quantities (BoQ) may not fully align with the Public Procurement Rules or the Asian Development Bank’s procurement guidelines.
Although the maximum pipeline diameter specified for the project is 500 mm, bidders are required to demonstrate prior experience with 1,000 mm pipeline works. Observers have questioned the rationale for such a requirement, describing it as unusually high in relation to the project scope.
A review of the tender documents, particularly Section 6 under Employer’s Requirements (ERQ), clause 1.6 concerning “Manufacturer’s Experience – Materials (HDPE Pipes and Fittings),” shows that a minimum pipe size of 1,000 mm has been stipulated. In addition, manufacturers are required to have at least 10 years of experience – criteria which, according to sources, are met by only a limited number of companies in the country.
Sources familiar with the sector say that very few companies in Bangladesh have previously undertaken pipeline work involving 1,000 mm diameter pipes.
As a result, some believe the conditions may significantly narrow the field of eligible bidders, potentially reducing competition.
In Bangladesh and internationally, experience criteria are generally expected to reflect the scope and scale of the work so that all qualified contractors have an opportunity to participate. In this case, however, some industry observers argue that the evaluation framework may restrict participation to a small number of firms, raising concerns about fairness and competitiveness.
Experts note that highly restrictive tender conditions can sometimes lead to higher project costs and may affect transparency in the procurement process. They stress that ensuring open competition is important to maintaining public confidence and safeguarding the effective use of public funds.
When contacted, Managing Director Muhammad Kamruzzaman said, “I would need to review the file before making any comment. Today is Friday; please call again on Monday.”
His response has prompted further discussion, particularly as the tender notice bearing his signature has already been published in newspapers. Some observers have questioned whether senior officials should be more familiar with the details of major projects under their authority.
Deputy Managing Director (Finance and Administration) Jhumur Bala said she was unable to comment on the matter, explaining that she is not involved in preparing the tender documents.
“I serve as the convener of the tender evaluation committee and will be involved only after the tender process is completed. The supervising engineer and the Managing Director would be better placed to explain the conditions,” she said.
Supervising Engineer Khan Selim Ahmed defended the requirement, stating that it relates to the quality standards of the materials rather than restricting contractors.
“This requirement will not create any obstacle for companies to submit bids. It refers to the quality of the pipes to be procured from manufacturers. Contractors will not face any difficulty in participating,” he said.
Despite these explanations, the tender continues to attract attention, with calls for greater transparency and a review to ensure compliance with procurement regulations and the protection of fair competition.
