The signal system set up under the World Bank-funded Dhaka Urban Transport Project (DUTP) was supposed to be in place by the second week of June.

But it has been delayed due to indecision about what cables to be used for the system and delay in getting power connection from Dhaka Electric Supply Company (Desco), a DUTP official said.

The two electronic traffic signals at Gulshan 1 and 2 are the first of the DUTP's 59 such signals to be installed in the capital.

"With the system in place, traffic movement will be monitored from a central control room," said Abdul Qaiyum, DUTP project director.

Gulshan signals were done on a priority basis to demonstrate the effectiveness of doing away with roundabouts by Dhaka Transport Coordination Board (DTCB).

"Initially, the DUTP had estimated a cost of Tk 24 crore to install the electronic traffic lights at 59 points. But Tk 10 crore could be saved by tendering job. ATS Hong Kong Limited won the contract by quoting the lowest price," Qaiyum said.

However, a DCC source told Star City that the signal installation cost has gone up by Tk 1.619 crore due to 'incompetence' of some officials. The government was forced to count the additional cost in customs duty as the contract did not specify who would pay it.

Ultimately, the DCC had to bear the duty as ATS refused to pay. Indecision about who to pay the duty also delayed the progress of the project. Qaiyum said September has been set as the new deadline to complete the project.

"Installation of signals depends on civil engineering work at intersections. So far, work of 36 intersections has been done and these should have the electronic signal by July," added the DUTP project director.

Sources said a number of foreign engineers would maintain the system for at least three years and train DCC staff.

The DCC decided to go for the modern signalling system as the present one has not been functioning properly due to lack of maintenance.