Funds not released for several development projects in Karachi

Updated 04 Jul, 2020

KARACHI: The release of funds for development projects in Karachi from the Centre remained a mixed story during the financial year ended on June 30 as some of the projects received full amount, but others were left out completely.

The federal government has been carrying out various development projects in Karachi which also included various projects in last year's Public Sector Development Programme (PSDP).

Data on release of funds showed that some of the projects under the Karachi Package received allocated amounts completely but others received scant or no funds during the year under review.

According to the data released by the federal government, construction of road from Dumlottee Wells up to Link Road adjacent to Education City in District Malir, construction of road over Malir Bund from Dadabhoy Town/Expressway up to the limits of PNS Mehran, District East, Karachi, and Greenline BRTS operations projects didn't receive any funds in the year.

The final data showed that the allocations made in Public Sector Development Programme (PSDP) were also omitted from it except for Rs10 million against the Greenline Bus operations project.

Similarly, construction of flyover on Jinnah Avenue M-9 didn't receive any funds, which is included in the Karachi Package.

Roundabout along Sher Shah Suri Road, re-construction of Mangho Pir Road from Jam Chakro to Banaras, re-construction of Nishtar Road and Mangho Pir Road and rehabilitation of existing fire fighting system of KMC received the allocated amount in PSDP completely.

Greater Karachi Water Supply Scheme (K-IV), planned to be executed on 50:50 cost sharing basis by federal and Sindh governments, didn't receive any funds from the federal government in these months. In the final data, no allocation was shown for this project, however it was up at Rs800 million at the start of the fiscal year.

Later on, it was slashed to Rs400 million and in the final data now allocation was shown. The total cost of the project is Rs25.510 billion, of which federal government has to contribute Rs12.775 billion.

The project is designed to provide 650 million gallons of water daily to Karachi in three phases.

Establishment of combined effluent treatment plant (CETP) for the industrial areas of Karachi received Rs250 million out of 500 million allocated in PSDP 2019-20 as part of the federal government's contribution for the construction of project. The federal government's share in the financing of the project stands at Rs3.893 billion.

Copyright Business Recorder, 2020

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