The government's consent came at a tripartite negotiating meeting of Petrobangla, Tata Group and the Asian Development Bank, the private UNB news agency reported.
The Bangladesh government has agreed to construct the pipeline from city gate point of Chittagong to the proposed site of the fertiliser factory at Bashkhali in the district, a Tata Group official was quoted as saying by UNB.
The ADB will finance the proposed gas pipeline project, whose cost is yet to be determined. Earlier, Tata had expressed dissatisfaction over the Bangladesh government's response and said it would be forced to look for investment opportunities elsewhere if Dhaka does not come out with favourable contracts.
According to Tata sources, the government was also positive about implementing another gas pipeline project to ensure supply of gas to a proposed steel plant of the Group, the report said.
The steel plant site is yet to be finalised. The Tatas submitted the investment proposal worth $3 billion in April this year and have been negotiating fiscal incentives on the investment, gas security, gas price and tariff for purchase of power produced by the company's plant.
© 2025