Survey finds poor accountability key challenge for development work

More than 80% of project officials in Bangladesh have identified the lack of transparency and accountability as a major challenge in implementing the country's development works marred by chronic problems like inadequate feasibility study and flawed design, resulting in cost- and time overruns and reducing intended benefits, according to a government study.  

Conducted by the Implementation Monitoring and Evaluation Division (IMED) of the planning ministry, the study found that three-quarters of the respondents believed that 40% of the projects are affected by such challenges. 

Moreover, 75% of government officials expressed their concerns that projects are approved without proper feasibility studies and consultations with stakeholders.

In addition, the study , titled "Issues and Challenges of Implementation of Development Projects in Bangladesh with Special Focus on Time and Cost over-run",  revealed that 85% of officials involved in project implementation believed that the engineering design of civil works is crucial to the successful completion of projects. However, most civil works lack proper engineering drawings, leading to design changes for 61%-100% of the projects.

The Dhaka Elevated Expressway Project authorities built chain-link fences along the rail track from the airport citing public safety, but the fence was cut open in places, rendering the whole initiative pointless. Even then the fencing work was extended- a common practice of waste of public money and poor planning in development works, big or small.

Dhaka Airport-Gazipur BRT, the Moghbazar flyover and a water-logging project in Chattagram are a few other projects that faced issues like design flaws, and experts and economists have raised concerns to the government about them. 

Though the findings of the IMED study are not groundbreaking, this is the first-time government officials recognised the lack of transparency and accountability, inadequate labs and equipment to monitor project quality, a lack of skill among project crew members and capacity constraints of IMED itself among the project hurdles. 

"Accountability must be ensured from the beginning. It should not be desired only at the end," Abul Kashem Md Mohiuddin, secretary of IMED, told The Business Standard.

Noting that lack of accountability is responsible for slow implementation, former secretary of the Planning Division Md Mamun-Al-Rashid told The Business Standard that it is possible to hold the officials accountable for every cause of delay in implementation, but that is not happening now.

In the study report, the IMED cited Padma Multipurpose Bridge, Padma bridge railway link and Dhaka Mass Rapid Transport as examples of high-priority projects with poor and sluggish implementation rates.  

"Bangladesh lags behind in completing most projects on time and within budget, causing cost overruns and lowering the expected benefits. The implementation rates of the much-publicised fast-track projects are worth noting," reads the report.

After analysing 1,557 projects for the 2020-21 fiscal year, the IMED said about 30% of the projects were from the Local Government Division and Road Transport and Highways Division – the two largest utilisers of the Annual Development Programme (ADP) allocation.

Explaining why public investment is more important for a developing country like Bangladesh where private investment is low, the IMED study report suggests that a large number of development projects are subject to time and cost overrun, having significant implications for the public exchequer, overall economic growth and the welfare of the people.

"Hence it is important to identify the major causes of time and cost overruns and take necessary actions to prevent such misgovernance of public projects," reads the report, which is set to be discussed in a high-level meeting next month.

Not isolated issues 

The study identified other issues such as chronic problems with land acquisition, insufficient capacity and efficiency, weak sustainability and exit plans, and lack of coordination among implementing agencies. 

Specifically, 72% of officials identified weak project documents as a problem, and 82% noted inadequate skills among project staff. Additionally, 74% of officials believed that work and procurement plans are not closely followed, leading to further delays and cost escalations.

The results of the survey suggest that the deficiencies in feasibility study and design are not isolated incidents, but rather are part of a broader set of issues that have plagued development projects in Bangladesh for a long time. 

The IMED said the authorities need to take these issues seriously and work towards finding sustainable solutions to ensure timely and cost-effective implementation.

Make the secretary accountable 

Zahid Hussain, a former lead economist of the World Bank, Dhaka Office, believes accountability must be ensured alongside transparency to eliminate the project implementation discrepancies. 

"Accountability must be ensured from the highest level. A secretary is the topmost executive of any ministry. The secretary should be held accountable first," Zahid Hussain told The Business Standard.

He said if accountability is ensured, the secretary will be more cautious before sending any project for approval. They will consider whether the feasibility study of the project has been conducted, construction work is properly designed, procurement and work plan are consistent and land acquisition has any complications.

"When the minister will be accountable to the cabinet, he or she will take up the matter with the secretary if there is any cost escalation or time overrun," he added.

According to Zahid Hussain, the survey did not question government officials about corruption, which is a limitation of the study.

Other challenges 

Among the other challenges found in the survey, the IMED noted flawed design, projects taken on political consideration and lax monitoring by the Planning Commission. 

The report said it is essential to have a sustainability plan to ensure the full benefits of the project. But three-fourths of the respondents said such a sustainability plan was missing in their Development Project Proposal (DPP).

The report said ministries and divisions often take up projects beyond the medium-term budgetary frameworks (MTBF). The projects face a fund crunch eventually and are more likely to register delays.  

The IMED report said about 73% of the respondents agreed that projects do not follow the cost ceiling of MTBF.

On the uncoordinated project approach by the utility service providers, the report mentioned Dohazari-Cox's Bazar railway project, after the implementation began in 2010, took ten years to shift the power poles. 

About 80% of the respondents think that there is a lack of coordination among the implementing agencies.

Besides, more than 90% of officials agreed that recruitment issues and frequent transfer of project directors and staff members delay implementation.

"Corruption and use of influence and discretionary powers in selection of implementing contractors and in the course of implementation also affect the quality of projects and the deliverables from the projects," the IMED report said. 

Procurement anomalies, syndication and an absence of results based monitoring undermine the cause of good governance in implementing public infrastructure projects, it added.

Recent initiatives undertaken in the areas of release of funds, land acquisition, retention of project directors and public procurement must be continued and further strengthened, it suggested, calling for enhancing institutional capacities of IMED, the government agency meant for ensuring project quality.