NFC Award: Senators for allocating resources on basis of poverty, backwardness

Senators from two smaller provinces have proposed the government to revise National Finance Commission (NFC) Award to allocate resources on the basis of poverty, backwardness and socio-economic development among the federating units.
Senator Usman Khan Kakar from Balochistan and Senator Shibli Faraz from Khyber Pakhtunkhwa (KPK) while taking part in the proceedings of the Senate Standing Committee on Planning and Development, which met here with Senator Shahzeb Durrani in the chair, said that instead of considering population to distribute national resources under the NFC Award, it should be on the basis of development.
They said that current distribution of resources under the NFC Award is made on the basis of population ratio which needs to be based on the ratio of development where less-developed areas should get more share. More share of the resources should be awarded to less-developed areas, they added. The secretary planning said that records funds have been allocated for water supply schemes and dams in Balochistan.
The Senate Committee on Planning, Development and Reforms discussed the functioning and performance of various subordinate departments of the Ministry of Planning and the allocations of funds in the PSDP 2018-19 for various uplift schemes. The meeting was attended by Senators Shibli Faraz, Usman Khan Kakar, Gianchand and Dilawar Khan, Secretary Planning Shoaib Siddiqui and other senior officials of the Ministry of Planning.
While briefing the participants Secretary Planning and Development Shoaib Ahmed Siddique said that the government has earmarked Rs 1030 billion for various developmental projects, adding that the federal government will provide Rs800 billion while Rs 230 billion will be spent by public-private partnership basis.
The panel directed the ministry to take immediate steps for improving the performance of various under-performing entities and complete the delayed projects.
The secretary planning said that all the projects are approved in consultation with the concerned departments of the provincial governments.
Senator Usman and Senator Shibli Faraz urged the chairman committee to present the findings of the Senate subcommittee on China-Pakistan Economic Corridor, constituted under the chairmanship of Senator Taj Haider, in the next meeting of the committee.
Briefing on Pakistan Institute of Development Economics, the officials said, that it is a research institute mainly focusing on economic related issues. They added that in past five years the institute conducted 173 research studies on various economic related issues, adding that 517 students were enrolled in PhD and other masters and MPhil level courses and in 2017-18 session 709 students were enrolled in the institute.
The chairman committee said that according to International Monetary Fund (IMF), in Pakistan project completion takes double time as well as double cost and the concerned quarters need to check the phenomenon.
The secretary planning admitted the fact and said that owing to various issues, project completion keeps on delaying and as a result cost also escalates. He said that due to ill planning and interference, the projects face delays. He told the committee that one reason of the delay is ill planning.
The chairman of the committee said that by pointing out those causing delays and introduction of the culture of punishment, not only time but also billion of rupees can be saved.
The committee took serious notice of the delayed projects and directed for providing details of all the delayed projects as well as reasons for the delay along with the list of the officials responsible for the delay, during the next meeting of the committee.
Senator Shibli Faraz said that planning is the most important ministry but the information it is providing is not credible. "Who does determine the national priority and procedure and how is the data being prepared?" the senator questioned.
The official of the Planning Ministry said that short-term, mid-term and long-term planning is being done by the ministry on the basis of workshops, seminars and the recommendations of the experts and ministries. The secretary planning said that projects are prepared in consultation with the provinces and ministries.
The committee asked the ministry of Planning to submit the report of Special committee on CPEC along with other documents of CPEC.
The panel was informed that by December 2019, 10,000 megawatts power projects will be completed, adding that to deal with the water crisis, the government has increased the financial allocations for building water resources from Rs 36 billion to Rs80 billion. The officials also said that the government has set growth target at 6.5 percent for next financial year.