21.5 percent funds released for CPEC-related projects | China-Pakistan Economic Corridor (CPEC)

21.5 percent funds released for CPEC-related projects


Category : Latest News   Source : Business Recorder   Date : 10-01-2017   By : NAVEED BUTT 

21.5 percent funds released for CPEC-related projects

The federal government released 21.5 percent (Rs 28 billion) by January 6 for projects related to the China-Pakistan Economic Corridor, against the budgeted allocation of Rs 130 billion for 2016-17. CPEC consists of 38 development projects of various sectors, including the Aviation Division, the National Highway Authority (NHA), the Finance Division, the Information Technology and Telecom Division, the Interior Division, the Planning Development and Reforms Division, the Port and Shipping Division, the Railway Division and the Water and Power Division (Power Sector).

For the 14 NHA projects, the government released Rs 26.87 billion until January 6, out of the budgeted Rs 117.8 billion. For two projects of Finance Division, Rs 40 million have been released out of the budgeted allocation of Rs 600 million. Rs 72 million have been released for two projects of the Information Technology and Telecom Division against the budgeted Rs 280 million.

The government has yet to release funds for each project of the Interior Ministry and the Ministry of Planning, Development and Reforms, out of the budgeted allocations of Rs 1.3 billion and Rs 10 million, respectively. It released Rs 255 million for seven projects of port and shipping against the allocation of Rs 6.3 billion, and Rs 754.8 million for seven projects against the allocation of Rs 1.89 billion. The government has released Rs 30 million for three projects of the Water and Power Division (Power Sector), out of the allocation of Rs 175 million for the current fiscal year.

The funds released for NHA projects during the first six months of this fiscal year are: (i) Rs 5.8 billion for the construction of Burhan-Hakla on M-I to the Dera Ismail Khan Motorway, against the allocation of Rs 22 billion; (ii) Rs 2.8 billion for widening and improvement of N-85 Hoshab-Nag-Basima-Surab road from Khuzdar to Panjgur (459-km) out of the estimated cost of Rs 4 billion; (iii) Rs 120 million have been released for Zhob-Mughal Kot road (81-km) N-50 against the budgeted allocation of Rs 3 billion; (iv) Rs 40 million for rehabilitation of the Dera Ismail Khan-Myghal Kot road, 50-km section, N-50, out of the estimated cost of Rs 1 billion; (v) Rs 708.3 million have been released for land acquisition, affected prosperities' compensation for construction of Burhan-Hakla to Dera Ismail Khan Motorway against the allocation of Rs 1.8 billion; (vi) Rs 460 million have been released for construction of Burhan-Havelian Expressway (E-35) 59.1-km; (vii) Rs 13.6 billion for Lahore-Abdul Hakeem section (230-km) have been released against the allocation of Rs 34 billion; (viii) Rs 650 million for the Multan-Sukkur section (387-km) against the allocation of Rs 19 billion; (ix) Rs 310 million for Basima-Khuzdar (110-km), against the total cost of Rs 1.3 billion; (x) Rs 600 million for Thakot to Havelian 118-km against the allocation of Rs 16.5 billion; (xi) and Rs 1.8 billion for phase I of Thakot to Havelian (118-km) against the allocation of Rs 1.86 billion.

The government has yet to release any funds for the NHA development projects of Gwadar-Turbat-Hoshab section (200-km) of the Gwadar-Ratodero Road (892-km), M-8, including Khuzdar-Shahdadkot-Ratodero (143-km) - (Gwadar, Turbat, Khuzdar in Balochistan and Kamber, Shahdadkot and Larkana in Sindh) and dualisation of Yarik-Mughalkot-Zhob section of N-50 (254-km) CPEC Western Alignment, including the Zhob bypass and land acquisition.

There is one New Gwadar International Airport project of the Aviation Division but the government has not yet released any funds against the budgeted allocation of Rs 1.5 billion.

There are two CPEC projects of the Finance Division; construction/black topping of access road from Makran Costal Highway to New Gwadar International Airport (CPEC) and necessary facilities of fresh water treatment, water supply and distribution in Gwadar. The government is yet to release funds for facilities of fresh water treatment, water supply and distribution in Gwadar.

About the Information Technology and Telecom Division, there are two projects; construction of cross-border OFC system between China and Pakistan for international connectivity of voice/data traffic (SCO) and provision of seamless GSM coverage along KKH for proposed Gwadar-Kashighar Economic Corridor in Gilgit-Baltistan (SCO). The government has released Rs 72 million for construction of cross-border OFC system between China and Pakistan for international connectivity of voice/data traffic (SCO) against the allocation of Rs 230 million. Funds for the project of provision of seamless GSM coverage along the Karakoram Highway for the proposed Gwadar-Kashighar Economic Corridor in Gilgit-Baltistan (SCO) are to be released.

The Interior Ministry has the Provision for CPEC-related security project for which the government has yet to release funds. The Ministry for Planning, Development and Reforms has one project, Pak-China Year of Friendly Exchanges Programme, under the CPEC but the funds have not been released for it so far.

About the Ports and Shipping Division, there are six projects under CPEC, and the government has resealed funds for four so far. The government has released Rs 100 million for construction of Gwadar's Eastbay Expressway, against the allocation of Rs 4.7 billion, Rs 15 million for establishment of the CPEC Support Unit (CSU) for projects and activities in GPA, out of Rs 17.6 million, Rs 120 million for feasibility study for construction of break waters out of Rs 300 million, and Rs 20 million have been released for the Pakistan-China Technical and Vocational Institute at Gwadar, out of Rs 250 million.

The government is to release funds for the project related to upgrading of Gwadar's existing 50-bed hospital to 300 beds, and capital dredging of berthing areas and channel for additional terminal. The Railway Division has seven CPEC projects for the current fiscal year. The government has released funds for five projects out of seven. It has also released Rs 43.23 million for (i) PC-II for a feasibility study to connect Gwadar with Karachi; (ii) the Gwadar to Jacobabad highway via Basima against the budgeted allocation of Rs 125.5 million, Rs 12 million for CPEC support at the Ministry of Railways out of Rs 100 million, Rs 28 million for comprehensive feasibility study for upgrading/rehabilitation of mainline 1 (ML-I) and new dry port at Havelian (Bukdhair) district of Haripur out of Rs 28 billion, Rs 534.65 million out of Rs 1.17 billion for doubling/improvement of existing track from Port Qasim to Bin Qasim station and Rs 137 million for feasibility studies for upgrading of existing Mainline-II (ML-II) and upgrading and extension of ML-III against the allocation of Rs 165.7 million.

The government is to release funds for a feasibility study for rail link from Havelian to the Pakistan-China border and rehabilitation/upgrading of ML-I, including acquisition of land for a new dry port at Bildhair in Haripur district.

Water and Power Division (Power Sector) has three projects under CPEC but the government has released funds for only one project. The government has released Rs 30 million for 132KV sub stations at deep sea port Gwadar (QESCO) (Revised PC-I cost Rs 235 million) against budgeted allocation of Rs 150 million. The government is to release funds for the projects of 132KV sub-stations at Down Town, Gwadar, (revised PC-I Cost Rs 321 million) and pre-feasibility-installation of 300MW coal fired power plant at Gwadar.