Road projects under the China-Pakistan Economic Corridor (CPEC) framework -particularly the western route-are behind the completion schedule deadline due to short releases of funds, which may escalate its cost. This was revealed by senior officials at the National Highway Authority (NHA) while talking to Business Recorder. This was confirmed from NHA mobile application (NHA-IS), which provides up to date information about work on CPEC projects.
Sources said that the projects, which are financed under the Public Sector Development Programm (PSDP), show less than 40 percent financial outlay accounting for slow physical progress and behind completion deadline. However sources added that those projects funded by China are going to be completed as per their stipulated time due to timely releases.
Hakla-D I Khan Motorway (CPEC) is 285 kilometres long and part of western route which was divided into five packages at an estimated cost of Rs 145.5 billion including Rs 20 billion for land acquisition and shifting of utilities. The project was divided into five smaller sections so that work could be completed according to the given time frame, i.e, by end 2019.
According to NHA-IS, construction of Yarik-Rehmani Khel (package-I) began in 2016 at an estimated cost of Rs 12.75 billion and was scheduled to be completed by May 15, 2019. However, only 79 percent physical and 66 percent financial progress has been achieved so far.
Package-II-A (Rehmani Khel-Kot Balian) began in 2017 at an estimated cost of Rs 9.23 billion and was scheduled to complete by June 30, 2019, however 75 percent physical and 52 percent financial progress has been achieved so far.
Package-II-B (Rehmani Khel-Kot Balian) began in 2017 at an estimated cost of Rs 17.22 billion and was scheduled to complete by June 2019, however 79 percent physical and 31 percent financial progress has been achieved so far.
Package-VI rehabilitation of national highway and bridges Fazilpure-D I Khan began in 2018 at an estimated cost of Rs 532 million and was scheduled to complete by April 2019, however 69 percent physical and only 22 percent financial progress has been achieved so far.
Construction of Package-II-C (Rehmani Khel-Kot Balian) was initiated in 2017 at an estimated cost of Rs 7.137 billion and was scheduled to be completed by December 2019. About 29 percent physical and 24 percent financial progress has been achieved so far.
Construction of Package-III (Daud Khel-Tarap) began in 2016 at an estimated cost Rs 20.618 billion and scheduled for completion by May 2019. However, 50 percent physical and 43 percent financial progress has been achieved so far.
China is currently financing two road projects under CPEC including Havelian-Thakot and Multan-Sukkur. Construction of Thakot-Havelian section (CPEC) began in 2016 at an estimated cost of Rs 133.9 billion and was scheduled to be completed by February 2020. According NHA 84 percent physical and 72 percent financial progress has been achieved so far. Construction of Multan-Sukkur financed by China with Rs 294.35 billion began in 2016 and was scheduled to be completed by September 2019. Around 95 percent physical and 88 percent financial progress has been achieved so far.
Construction of Burhan-Havelian expressway began in 2015 at an estimated cost of Rs 133 billion and was scheduled for completion by March 2019. However 89 percent physical and 93 percent financial progress has been achieved so far.
The Hyderabad-Sukkur Motorway (M-6) project, a critical component of CPEC was awarded by previous government at an estimated cost of Rs 175 billion with scheduled completion in three years on build-operate-transfer (BOT) basis.
The incumbent government cancelled the project and has yet to restart it. NHA missed the deadline several times to begin construction of Hyderabad-Sukkur Motorway project, which will raise the estimated cost of the project to over Rs 200 billion. It connects eastern route with Karachi-from Sukkur, the eastern route connects with Gwadar via Khuzdar and M-8.
Khuzdar-Quetta- Chaman section (N-25) section will form part of western route, however detailed designing and feasibility are still in progress.
Senior officials fear delay and cost escalation in road projects, including roads linked to the CPEC framework, owing to cuts in funds as well as short releases under PSDP. The estimated through-forward of road projects carried by the NHA is around Rs 1.5 trillion and massive escalation is feared if the government further delays releases or cuts funds, maintained officials.
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