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Minister for Construction and Infrastructure Dr Abdulla Muthalib gives an interview to Atoll Times. Dhauru Photo/Hussain Sunain

Construction minister slams Gulhifalhu dredging deal

When Boskalis was awarded the land without a bid, some experts in the field said the cost would be high due to the depth of some parts of the lagoon.

16 February 2024

By Fathmath Ahmed Shareef

Construction and Infrastructure Minister Abdullah Muthalib said on Thursday that the agreement signed by the previous government to dredge the Gulhi lagoon adjacent to the west of Villimale does not seem like an agreement that was made by people that wished well for the country.

The port project started dredging in June 2020. As the presidential election approached, then President Ibrahim Mohammed Solih decided to reserve part of the area for land for the people of Male. The current government has recently said that 100 of the 150 hectares of land has already been dredged. The dredging work is being carried out under an agreement with Boskalis.

A day after the High Court stayed the dredging of Gulhifalhu until a final decision was taken on a civil suit alleging that the reclamation of Gulhifalhu would cause irreparable damage to the environment, the Supreme Court on Thursday stayed the implementation of the High Court's decision and passed an interim order to continue Gulhi lagoon dredging. 

After the order was issued, in an X post on Thursday, Muthalib denied that the High Court ordered the work stopped because the government wanted it, and that those who were trying to deceive the people are the same one who made agreements detrimental to the nation.

"The agreement for the dredging of the Gulhi lagoon is not an agreement that people who want good for Maldives will make”, Muthalib's post said.

However, he did not elaborate on what was damaging in the said agreement. Commenting on social media, the then State Minister of Housing Akram Kamaluddin asked Muthalib to explain his comment.

"When you say that the agreement is harmful to the state, you did not mention exactly what harm you refer to, because this is an attempt to deceive the public and there is nothing harmful. Why don't you reveal it," Akram wrote.

Muthalib could not be reached for comment as he did not answer the phone.

Timeline of the Gulhi Port Project:

  • 19 September 2019 - Singapore's HQ company hired to develop port masterplan; MVR 10 million

  • 30 September 2019 - A JV company formed by Niras of Denmark and Maritime and Transport of the Netherlands was awarded as a consultant for the port project; MVR 15 million

  • 22 October 2019 - Boskalis awarded contract to dredge 6 million cubic meters of land for dredging; MVR 817.26 million

  • 28 May 2020 - Dredging started

  • The then government later made changes to the port project at Gulhi and decided to allocate 2,000 plots of land for the people of Male

The funds for the dredging of the Giraavaru lagoon were obtained from the lease of N. Dhigufaru lagoon and a nearby island, Dhekenanfaru, to a foreign company for USD 27 million (MVR 416 million) for a period of 99 years.

When Boskalis was awarded the land without a bid, some experts in the field said the cost would be high due to the depth of some parts of the lagoon.

The government has also decided to dredge an additional 50 hectares from the Giraavaru lagoon and another 85 hectares from the Gulhi lagoon.

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