Amid speculations, the Rawalpindi Development Authority (RDA) and relevant authorities have said the Rawalpindi Ring Road project will be completed within stipulated time frame and budget.
They said 37 per cent work on the project has been completed. The road, once completed, is expected to significantly reduce traffic congestion and promote economic development in the region.
According to an RDA official, the much-anticipated project has seen 37 per cent of its construction completed and the project would speed up after the approval of the revised PC-I.
The project was originally approved by Executive Committee of the National Economic Council (ECNEC) in December 2021 for Rs23.606 billion, with a completion period of 36 months. Later on, the project's cost was revised to Rs26.969 billion on February 4, 2022. The project has seen its cost revised multiple times, reaching Rs39 billion, as per the latest estimates.
The official said the RDA submitted the first revised PC-I of Rs44 billion and later re-submitted the document after the PDWP asked it to rationalise the cost. Subsequently, Rs32.9 billion PC-I was submitted in May, 2024.
The revised PC-I of the instant project was cleared to be placed before CDWP/ECNEC for approval. In this regard, the instant scheme was discussed in a pre-CDWP meeting in July 2024. The Pre-CDWP decided to extend the completion date to September 2025 due to the project's complexity and to ensure quality.
It was also agreed that project escalation costs would be adjusted within the total revised cost by reducing the other overhead charges, ensuring the overall project cost remains unchanged. Subsequently, in light of the meeting, Rs39bn PC-I was submitted with a gestation period of 46 months till September 2025. These revisions come as a result of inflation, rising material costs, and adjustments mandated by the Central Development Working Party (CDWP), which directed the inclusion of escalation charges in the revised project plan.
The provision of price escalation had been made for the smooth execution and timely completion of the project.
RDA, which is overseeing the project, recently submitted a new Project Concept-1 (PC-1) with the revised cost to the Secretary of Housing. The proposal will now pass through the Punjab Planning and Development Wing (PDWP) and CDWP before being sent to the Executive Committee of ECNEC for final approval.
The 38.8 kilometres long Rawalpindi Ring Road begins at Banth Mor on GT Road, ending at the Thalian Interchange on the motorway. However, progress on the project has been slow, with only 37 per cent of the work completed so far. Earthwork is 100 per cent complete. The initial completion deadline has now been extended to Sept 2025, reflecting the challenges the project has faced in its implementation.
The original contract for the project was awarded to Frontier Works Organization (FWO) at a cost of Rs26 billion. However, due to inflationary pressures and increased material costs, the RDA was forced to revise the project's cost, raising it initially to Rs44 billion.
The PDWP later reduced this figure to Rs32.9 billion before it was sent for approval to the CDWP. Subsequently, the CDWP instructed the RDA to prepare a further revised PC-1 incorporating updated cost escalation figures, which led to the current estimate of Rs39 billion.
The Ring Road project has been in the pipeline for over three decades, facing delays and modifications under various governments. Despite the progress, the pace of construction has remained behind schedule, with significant portions of the work still incomplete.
Currently, 63 per cent of the project's construction remains to be done, and the contractor has been instructed to complete the remaining work by Sept, 2025.
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