CDWP clears three CPEC-related projects

They will now be up for discussion during JCC meeting in Beijing

ISLAMABAD: Just days before their official inclusion in the China-Pakistan Economic Corridor (CPEC), the government on Friday cleared three infrastructure projects along the western and eastern routes at a cost of Rs109 billion, fulfilling the last formality for their inclusion into CPEC.

The Central Development Working Party (CDWP) cleared these schemes so that they could be placed before the Joint Cooperation Committee meeting (JCC) - the body mandated to add or delete any project in CPEC. The JCC meetings will take place in Beijing next week.



Overall, the JCC would approve the addition of four projects in the CPEC framework. The CDWP has already cleared the $8 billion ML-I Peshawar-Karachi main rail link.

The three significant projects are related to areas situated around the CPEC alignment, which will enhance mobility and ensure socio-economic development, according to a handout issued by the Planning Ministry after the CDWP meeting. It seems that the government decided to forward these projects for inclusion in the CPEC framework after June this year. It has not made any financial allocation for these projects in the current fiscal year’s Public Sector Development Programme (PSDP).

The CDWP also approved the construction of Intelligence Bureau (IB) office along with CPEC at a cost of Rs482 million aimed at improving surveillance along CPEC.

Overall, the CDWP on Friday approved 14 projects worth Rs139.5 billion, including five projects costing Rs131 billion, which were referred to the Executive Committee of the National Economic Council (Ecnec) for final approval. The CDWP has a mandate to approve up to Rs3 billion projects.

Out of 14 projects, seven schemes did not have any allocation in the current year’s development budget. Their approvals were given in violation of standing instructions. According to planning minister’s earlier decision, any project that does not have financial allocation in the PSDP cannot be presented before the CDWP for approval.

Interestingly, the planning minister himself violated these instructions since he chairs the CDWP meetings in his capacity as Deputy Chairman of Planning Commission.

Additional projects approved

The CDWP cleared the project for rehabilitation of Karakoram Highway (N-35) between Thakot-Raikot at a cost of Rs8.5 billion. The project envisages rehabilitation of 136.4 km remaining portion of existing KKH between Thahkot and Raikot, which was damaged due to monsoon rains and flash floods in 2010.



Under this project breast walls and retaining walls will be constructed along with construction of causeway as well as culverts. While giving his observation on the project, Ahsan Iqbal directed authorities to rationalise the cost and review the design of the project.

Another significant project as part of the western route of CPEC, which was referred to Ecnec, is dualisation and improvement of existing N-50 from Yarak-Sagu-Zhob including Zhob bypass. The cost of this project is Rs80.8 billion and it is among three schemes to be taken up by the JCC.  The project envisages construction of 210 km four-lane highway starting from Yarik on N-55 to Zhob on N-50 via Sagu, Daraban, Mughal Kot and Manikhuwa.



The project will help the development of the backward areas of Khyber-Pakhtunkhwa (K-P) and Balochistan provinces.

The CDWP also recommended construction of a two-lane highway from Basima to Khuzdar at a cost of Rs19.7 billion to Ecnec for final approval. The project aims to enhance the mobility of the underdeveloped area of district Khuzdar, Balochistan province and will play a vital role in the development of deprived population of the province.

In transport and communication sector, CDWP approved development and construction of port allied structures in Mullah Band Area Gwadar at a cost of Rs2.7 billion. In energy sector, the CDWP cleared a project for enhancement in transformation capacity of NTDC system at a cost of Rs16.5 billion.

In physical planning and housing sector, the CDWP approved Wash projects in Southern districts of K-P under RAHA through Pakistan Italian Debt Swap Agreement (PIDSA) at a cost of Rs150 million.

The CDWP approved renovation and rehabilitation of physical infrastructure of 200 educational institutions under Prime Minister Education Sector Reforms Program in ICT, Islamabad at a cost of Rs2.9 billion.

In information technology sector, CDWP approved umbrella PC-1 for private cloud center FBR and strengthening FBR’s capacity in fiscal research and tax policy analysis at a cost of Rs512 million.

In science and technology sector, CDWP approved acquisition of land for establishment of King Hamad University of nursing and allied sciences in Islamabad by government of kingdom of Bahrain at a cost of Rs 313 million.

Published in The Express Tribune, December 24^th, 2016.

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