Govt quietly defers key uplift projects

Sources say estimated costs of six delayed development schemes have skyrocketed again

RAWALPINDI:

The Punjab government has postponed six mega infrastructure projects in Rawalpindi for the upcoming fiscal year due to severe financial constraints and a 40-60 per cent shortfall in tax recoveries across relevant departments.

The delayed projects include the Leh Expressway, a sewage treatment plant, the Rawalpindi Ring Road, the Chahan Dam water supply scheme, Daducha Dam, and the Ghazi Barotha Dam project.

Additionally, new development schemes under the Rawalpindi District Council and the Rawalpindi Municipal Corporation have been put on hold, with no funds allocated until at least June 30, 2025.

As a result of the delays and rising construction material costs—cement, steel, sand, and gravel have surged by 30-40 per cent—the estimated costs of these projects have skyrocketed.

The Leh Expressway's initial budget of Rs17 billion has now inflated to Rs80-85 billion, while the sewage treatment plant's cost has doubled from Rs30 billion to Rs60 billion.

Similarly, the Chahan Dam water supply project has risen from Rs6.5 billion to Rs8 billion, and the Ghazi Barotha Dam project has become unfeasible due to an additional Rs100 billion in estimated costs.

The Punjab government has revised the completion timeline for the Rawalpindi Ring Road project four times within a year, pushing it to the first half of the 2025-26 fiscal year, with a potential further delay to 2026.

Meanwhile, no funds have been allocated to the Rawalpindi District Council and the Rawalpindi Municipal Corporation for any major projects until at least June 30.

However, the government is expected to release funds to Punjab Assembly and National Assembly members within the next two months, with a final decision set to be made after Eid.

Authorities have also issued strict warnings to tax-collecting agencies to meet their targets, instructing them to intensify field operations.

District Coordination Committee convener and MNA Engineer Qamarul Islam has assured that major projects like the Adiala Road expansion, Khawaja Corporation underpass, and Mall Road underpasses will be completed within the next three months.

He also promised accelerated work on the Rawalpindi Ring Road after Eid, claiming that development projects worth Rs1 billion are currently underway in Rawalpindi, ushering in a "green revolution" of progress in the district.