Ring Road project cost likely to escalate beyond Rs47b

Chinese bank to provide funds


Jamil Mirza August 10, 2018
PHOTO: FILE

RAWALPINDI: The price tag on the Ring Road project will escalate beyond the estimated amount of Rs47 billion, it was observed during a meeting called by Rawalpindi Commissioner Saif Anjum.

The meeting approved revised PC-II of the project and constitution of a 10-member Project Management Unit (PMU) to complete the project.

It was decided to send the revised PC-II to Planning and Development Commission, Punjab for final approval.

The meeting further decided that PMU director will be the commissioner of Rawalpindi and the executing agency will be Rawalpindi Development Authority (RDA).

It also concurred that except for the subordinate staff under RDA, officials and experts from other institutions will also be called in for the PMU.

The PMU, set up for two years, plans to spend at least Rs1.84 billion in the first and Rs1.7 billion in the second year. These expenses include the salaries of PMU staff, operating cost, library training, transport vehicles, fuel, maintenance and repair of vehicles, purchase of computer hardware and software, plant and machinery and other required equipment. Engineering, administration and finance wings have been formed for PMU. The team of project director commissioner Rawalpindi includes director general RDA, chief engineer and others. Involved in preparation of PC-II NESPAK will supervise the feasibility study, designing with cultural supervision and tender document process supervision.

In the revised PC-II, prepared by NESPAK, the investment from public exchequer has increased from Rs26 million to Rs87 million. Upon the finalisation of revised PC-II it is likely that the cost of the project may rise above the earlier estimate of Rs47 billion in the PC-I.

The long delayed project has already been shifted from public-private partnership mode to loan mode. And for this purpose, Asian Infrastructure Investment Bank of China was willing to extend loan, albeit on its conditions. One such condition was NOCs from all relevant departments so that no one jumps in half way through the project saying it was illegal.

The meeting decided to further review the PC-II paper to remove any flaws.

The idea of Commissioner Anjum to include historical and cultural centres, public parks in the Ring Road route has been included in the PC-II. The Ring Road in Rawalpindi, once completed, is likely to connect to heritage sites of the city, allowing visitors and tourists a sightseeing experience, official sources said.

Rawalpindi Commissioner Captain (r) Saif Anjum had suggested changes in project’s concept paper and PC-I to attach Ring Road Project to national heritage sites and community development projects.

Through the new changes in Ring Road’s alignment, historical places like Qila Rawat and recreation spots like Rawal Dam and public parks will be linked, they explained.

Other important places which were not present on Ring Road’s route will be connected through link roads. Besides, community development projects will be launched for benefit the residents of the areas along the project’s route.

Meanwhile, on the demand of Asian Infrastructure Investment Bank of China, letters have been sent to Ring Road’s concerned departments IESCO, Railway, NHA among other relevant departments to issue NOC. Before issuance of NOC, representatives of those departments along with Rawalpindi Development Authority’s officers will do a site visit of Ring Road Project’s route.

Ring Road, once completed, will start from Rawat Chani Pul and end at Thaliyan Interchange, the total of length will be 38 kilometres. Previously the length of Ring Road was 70 kilometres and the cost was Rs73 billion but now not only the length has been decreased but the idea of an economic zone on both sides of the road has been closed.

Published in The Express Tribune, August 10th, 2018.

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