35466-013: Dhaka Clean Fuel Project

Project Data Sheet (PDS): Details


The objectives of the Project are to (i) improve the ambient air quality in Dhaka; (ii) develop the use of domestic natural gas resources for the transport sector to substitute for imported liquid fuels, thereby improving the foreign exchange position of the country and (iii) establish a foundation for private sector participation in the future development of CNG-fueled transport. The Project has six components: Part A: Construction of a 60 km 20 inch natural gas transmission pipeline between Dhanua and Aminbazar, Savar ad two city gate stations (CGSs) at Ashulia and Savar. Part B: Construction of 97 km of 16 inch extended natural gas distribution pipelines in Dhaka. Part C: Establishment of 3 major compressed natural gas (CNG) filling stations just outside Dhaka, 3 major filling stations along the Dhaka-Chittagong highway for buses and trucks, and 20 minor filling stations in Dhaka for cars and auto rickshaws. Part D: Purchase of 300 CNG-fueled buses, 2000 CNG-fueled four-stroke auto rickshaws, and CNG conversion kits for 10,000 petrol cars owned by governmental, semi-governmental, as well as private owners. Pat E: Establishment of two new workshops for increasing the capacity of conversion of petrol-fueled cars to CNG fuel, repairs, maintenance as well as to act as referral workshops for those workshops to be established by the private sector. Part F: Capacity building in the following areas (i) technology development and training for the workshops; (ii) implementation of new safety codes, standards, and regulations related to conversion and the use of CNG equipment for the transport sector; (iii) public consultation and awareness campaign for public safety and benefits of using CNG; and (iv) environmental management.

Project Rationale and Linkage to Country/Regional Strategy

Technical Aspects, Policy Aspects, Institutional Aspects, Social Aspects, Financial Aspects, Economic Aspects, and Environmental Aspects.

Safeguard Categories

Environment: B
Involuntary Resettlement:
Indigenous Peoples:

Summary of Environmental and Social Aspects

Environmental - The Borrower's responsilbility was to ensure, through GTCL, TGTDCL, and RPGCL, that all environmental mitigation measures and the environmental management plan described in the IEE and in the SIEE, both conducted for the Project, are followed during Project implementation in consultation with the Department of Environment and in accordance with the Bank's environmental requirements as set forth in Section 20 of the Bank's Operational Manual, and the Bank's environmental assessment requirements as set forth in Environmental Assessment Requirements of the Asian Development Bank (Environmental Division Office of Environment and Social Development, March 1998). Social Issues - The Borrower's responsibility was to ensure, through GTCL and TGTDCL, that land acquisition acitivities are implemented in accordance with all applicable laws and regulations and the Bank's policy on involuntary resettlement, as set out in the agreed upon resettlement plan, including (a) acquisition of land and rights-of-way in a proper and timely manner; (b) provision of compensation and entitlements as stipulated in the plan and the Bank's policy to prevail in the case of difference with the Borrower's laws and regulations, and compensation to be at replacement cost; (c) timely provision of counterpart funds and the disbursements to affected people; (d) guarantee to meet unforeseen obligations in excess of the budget estimate; (e) adequate supervision, monitoring, and reporting by the EAs; (f) external monitoring and evaluation by an independent agency; (g) dissemination of adequate information and consultation with affected people; and (h) regular reporting of progress to the Bank.


Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

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