Govt bypasses approval process
Secretary of planning did not respond when asked whether requirements of the Public Finance Management Act were met before the meeting. photo: file
Pakistan’s economist and technical service groups, on Friday, boycotted a project sanctioning authority meeting over a dispute about pay structure. The government, however, still managed to acquire the approval of six schemes.
While, Planning Minister and Chairman of the Central Development Working Party (CDWP), Ahsan Iqbal supported the economist group’s demand for a salary increase, in line with other groups, he urged the members not to resort to “agitation and blackmailing”.
Speaking to The Express Tribune, Iqbal said, “I tried to persuade them that when the minister and secretary planning support their demand, they being officers should not resort to unionism which creates repulsion in the system by giving an impression of agitation and blackmailing.”
On Thursday, the CDWP met without participation from the core members of the committee, including the chief of the Public Investment and Authorisation (PIA) section, according to the details that emerged after the meeting.
According to the Planning Ministry officials, the economist and technical groups – that form the backbone of the Planning Commission’s project processing – neither participated nor prepared the working papers. They also did not undertake the technical appraisers of the schemes approved by the CDWP.
The details suggested that the six projects that the CDWP cleared on Friday were approved apparently without fulfilling the Public Finance Management Act of 2019 requirements. “The majority of the projects that the CDWP approved on Friday landed in the Planning Commission three days ago and were not processed as per the law and the Commission’s Manual,” said the officials.
The secretary of planning, however, did not respond when asked whether the requirements of the Public Finance Management Act of 2019, particularly sections 14 and 16, were met before the CDWP meeting was called where six projects were presented and approved.
Section 14, of the Public Finance Management Act of 2019, states that all development projects shall be prepared in conformity with procedures, processes and templates defined by the Planning Commission. It adds that, the cost and benefit analysis and risk assessment of all development project proposals, over a threshold size prescribed by the Planning Commission, shall be undertaken. This, however, was not observed.
Section 16 of the same act reads that all development project proposals shall be subject to a technical approval process. Technical approval shall only be granted to projects that comply with the standards and procedures set by the Planning Commission.
The officers of the Planning Commission boycotted the meeting after they were denied 150% executive allowance, discriminating against officers belonging to other service groups.
Due to the pen-down strike, a formal meeting agenda was not issued and the meeting notification was signed by the staff officer of the secretary planning.
The government pushed the project approval process aimed at taking loans from the Asian Development Bank (ADB) for flood rehabilitation-related projects.
The Secretary of Finance, Hamed Yaqoob Sheikh, met with the protesting officers but the group decided to continue the pen-down strike until the notification for 150% executive allowance was issued. The threat to call 30 officers from other groups and post them to positions in the Planning Commission also did not help rein in the protesting officers. The officers plan to gather again at the front of P-Block, on Monday, November 14, 2022, at 10 am to continue their protest.
Meanwhile, the CDWP approved the ‘Improving Workforce Project’ worth Rs110 billion that also involves an ABD loan of $100 million. The body also cleared the ‘Rehabilitation of the M5 Moro to Ranipur section Project’ for Rs36.2 billion.
The CDWP chairman showed his annoyance over the National Highway Authority’s (NHA’s) decision to divert Rs32 billion in public funds to the provincial road projects without proper authorisation. The NHA, however, was of the view that the Prime Minister’s office has issued instructions to give the said funds to the provinces.
The CDWP also approved the KP-government’s ‘Irrigation Rehabilitation Project’ costing Rs15 billion. A $57 million ‘Balochistan Irrigation Rehabilitation Scheme’ was also approved for the rehabilitation of 23 storage dams, 20 flood and perennial irrigation projects, two flood management sub-schemes and 73 flood protection schemes. The ADB will provide a loan for this scheme at a 1% interest rate.
The CDWP approved the Rs48.4 billion ‘Sindh Flood Emergency and Reconstruction Project’, which also involves a $200 million ADB loan.
Published in The Express Tribune, November 12th, 2022.
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