NHA ‘saved govt billions of rupees’
AGP report acknowledges transparency in award of contracts, NHA chairman tells PAC sub-committee
Shahid Ashraf Tarar.
ISLAMABAD:
The Auditor General of Pakistan (AGP) has, in his audit report for year 2016-17, acknowledged that the National Highway Authority (NHA) saved the government billions of rupees by ensuring an open and transparent process in the award of contracts for highways and motorways.
This was claimed by Chairman Shahid Ashraf Tarar during a meeting of the sub-committee of the Public Accounts Committee (PAC) held at the parliament house on Friday.
According to Tarar, the annual audit report says that the NHA management has carried out an independent review of cost-effective procurement of major projects undertaken by the authority during the period between July 1, 2013 and December 31, 2016.
The report reveals that the NHA signed 104 work contracts for Rs761.90 billion against the bid price or engineer's estimate of Rs978.29 billion, resulting in a saving of Rs261.39 billion.
‘NHA has launched road projects worth Rs1.4 trillion’
In addition, another saving of Rs134.889 billion has been observed by undertaking certain important and imperative projects on the BOT basis without any financing from or through the exchequer.
The NHA chairman informed the committee that the entire process of bidding was made open and was competitive as a result of which 56 highway construction projects that were initiated between January 2013 and September 2017, were awarded at 21.56% below the original bid or engineer's estimates.
Similarly, 129 maintenance projects were awarded 22.51% below the original bid or engineer's estimate for the same period.
The chairman informed the meeting that works on several projects was initiated during the last four years. These projects were not only revived but also successfully completed.
NHC approves budget estimates and discusses future plans
Tarar gave the example of the Lowari Tunnel which, according to him, was completed and opened for traffic in July.
Similarly, in Balochistan, roads spanning 650km were added to the network, connecting with Gwadar, he told the committee, adding that Lyari Expressway, another project, was in the final stages of completion and would be inaugurated next month.
Meanwhile, the sub-committee also reviewed NHA's replies against audit observations on Khanewal-Multan Motorway (M-4), Indus Highway (N-55) and Hazara Motorway projects, and recommended their settlement after accepting the department's reply.
The Auditor General of Pakistan (AGP) has, in his audit report for year 2016-17, acknowledged that the National Highway Authority (NHA) saved the government billions of rupees by ensuring an open and transparent process in the award of contracts for highways and motorways.
This was claimed by Chairman Shahid Ashraf Tarar during a meeting of the sub-committee of the Public Accounts Committee (PAC) held at the parliament house on Friday.
According to Tarar, the annual audit report says that the NHA management has carried out an independent review of cost-effective procurement of major projects undertaken by the authority during the period between July 1, 2013 and December 31, 2016.
The report reveals that the NHA signed 104 work contracts for Rs761.90 billion against the bid price or engineer's estimate of Rs978.29 billion, resulting in a saving of Rs261.39 billion.
‘NHA has launched road projects worth Rs1.4 trillion’
In addition, another saving of Rs134.889 billion has been observed by undertaking certain important and imperative projects on the BOT basis without any financing from or through the exchequer.
The NHA chairman informed the committee that the entire process of bidding was made open and was competitive as a result of which 56 highway construction projects that were initiated between January 2013 and September 2017, were awarded at 21.56% below the original bid or engineer's estimates.
Similarly, 129 maintenance projects were awarded 22.51% below the original bid or engineer's estimate for the same period.
The chairman informed the meeting that works on several projects was initiated during the last four years. These projects were not only revived but also successfully completed.
NHC approves budget estimates and discusses future plans
Tarar gave the example of the Lowari Tunnel which, according to him, was completed and opened for traffic in July.
Similarly, in Balochistan, roads spanning 650km were added to the network, connecting with Gwadar, he told the committee, adding that Lyari Expressway, another project, was in the final stages of completion and would be inaugurated next month.
Meanwhile, the sub-committee also reviewed NHA's replies against audit observations on Khanewal-Multan Motorway (M-4), Indus Highway (N-55) and Hazara Motorway projects, and recommended their settlement after accepting the department's reply.