International Finance Corporation (IFC) and the PSA International Pte Ltd (PSA) are considering strategic support to the Government of Bangladesh (GoB) 1 and the Chattogram Port Authority (CPA) for the development of a proposed new container terminal at Ananda Bazar, North Halishohor, Bangladesh.
Identifying E&S risks at the project conceptualization stage is a crucial aim of the IFC’s Environment, Social and Governance (ESG) Advisory strategy for Asia. Therefore, the Project aims to conduct six key studies on: E&S scoping; critical habitat analysis; gap analysis of land acquisition and livelihood impact; climate resilience; dredging and
shoreline management. These studies are intended to assist in determining project feasibility for the Bay Terminal Project in terms of:
• Early-stage input to project design based on outcomes of the study: An assessment of the siting, sizing and alignment of various proposed facilities to environmental and social parameters;
• Highlighting any critical risks at the pre-feasibility stage in order to enable planning and implementation of the required mitigation, including scope for subsequent studies to further the same;
• Identification of potential costs of mitigation in order to enable the project to meet IFC’s Performance Standards (PS); and
• Identification of any fatal flaws that represent potential reputation risks and/or significant adverse impacts and that may prevent IFC from financing the project.
This is a nationally critical project (expected to be the first-ever private port concession in Bangladesh) which will contribute to more efficient trade flows for Bangladesh, improving Bangladesh's connectivity with the regional economy. It will also help to enhance the capacity of the Chattogram Port which will reduce congestion at the port.
The coastal area adjacent to Halishahar, Chattogram was primarily identified for the establishment of the Bay Container Terminal. According to the Chattogram Port Authority (CPA), presently, ships can anchor at the Chattogram Port at the highest depth of 9.5 meters. Once the Bay Terminal Project is constructed, ships with a length of over 290 meters will be able to anchor at the terminal at highest 12 meters of depth.
The key components of the project will include:
• Three terminals – two container terminals and one multipurpose berth;
• Extensive backup yard and integrated warehousing, container freight station (CFS) facilities and proximity to customs facilities;
• Breakwater of ~11 Km planned on existing sand bar (to be further investigated); and
• Capital dredging along estimated 13 Km long stretch (specifications to be further confirmed), maintenance dredging and reclamation works.
The associated facilities are likely to include:
• Road and rail (greenfield) access without interference to existing 4-lane coastal road;
• Two to Six laning of existing port link road to Dhaka Chattogram Highway (~ 4 Km);
• New elevated highway from Bay Terminal to Chattogram Port (~ 4 Km);
• 500 m entry access to Bay Terminal with no at-grade interference with coastal road;
• Industrial zone; and
• Associated infrastructure.
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