Rs573bn roads, hydropower plants approved for Punjab, Khyber Pakhtunkhwa

Saiyan0321 · Oct 8, 2020

ISLAMABAD: The Executive Committee of the National Economic Council (Ecnec) on Thursday approved seven major road projects worth Rs162.607 billion along with three power projects of Rs410.66bn for Punjab and Khyber Pakhtunkhwa.

The Ecnec meeting presided over by Adviser to the Prime Minister on Finance and Revenue Dr Hafeez Shaikh also approved in principle the Locust Emergency and Food Security Project. The World Bank will provide $200 million for the locust project.

The Ecnec approved a road project of 221.95 kilometer (Shikarpur-Rajanpur section) at a cost of cost of Rs44.703bn. The Asian Development Bank (ADB) will share the cost of this project which will be completed in three-years. It envisages construction of additional two-lanes and widening/rehabilitation of existing two-lane carriageway of Shikarpur-Rajanpur section of Indus Highway N-55.

The total length of Shikarpur-Rajanpur section is 221.950 km which will be upgraded to a four-lane dual carriageway facility with each lane 3.65m wide. The National Highway Authority (NHA) will be responsible for the execution, operation and maintenance of the project. Federal Public Sector (PSDP) Development Programme has allocated Rs1bn for the completion of this project in 2020-21.

The Ecnec approve an amount of Rs33.172bn for construction of Rajanpur-DG Khan Section of N-55 as four-lane Highway 121.50 km. The ADB will provide an amount of Rs28.528bn. The NHA will complete the project in three years. The project road starts from Rajanpur and passes through Fazilpur, Muhammad Pur Dewan, Jampur and terminates at Dera Ghazi Khan. Federal PSDP has allocated Rs500m for the completion of this project in 2020-21.

The apex body approved an amount Rs52.276bn for dualisation and rehabilitation of DG Khan-DI Khan Section of N-55(208.19 km). ADB will provide Rs44.957bn for the project which will be completed in three years by NHA. The project road starts from DG Khan then passes through Shah Sadar Din, Kala, Shahdan Lund, Taunsa, Tibi Qasrani, Mahra, Paroa and terminates at DI Khan. Federal PSDP has allocated Rs500m for the completion of this project in 2020-21.

The Ecnec approved rehabilitation and upgradation of 79.890 km, Jhaljao- Bela Road at the total cost of Rs11.118bn without any foreign exchange component. The project will be completed in three years by the NHA. The project road starts from Jhaljao and terminates at Bela, District Awaran.

The road traverses through towns of Augani, Sipai sing, Chauki and finally terminates at Bela. It is expected that the completion of the project will save vehicle travel time and vehicle operating costs of commuters. It will also contribute to ensure efficient movement of trade, goods and traffic in relatively shorter time.

The Peshawar Northern Bypass Project-32.2 km was also approved at the second revised cost of Rs21.338bn. The project envisages construction of 32.20 km, four-lane bypass with service roads on either side, on the northern side of Peshawar city.

The total 32.2 km distance of the bypass has been divided into three packages for construction purposes. Section I includes the M-1 Intersection-Charsada Road Interchange (7.60 km in length). Section II has Charsada Road Interchange-Warsak Road Interchange (11.6 km). Section III has been subdivided in Section 3A and 3B; Warsak Road to Nasir Bagh Road (5.50 Km), with the end point at Takhtabaig Khwar checkpost (7.50 Km).

The Ecnec approved an amount of Rs79.374bn for construction of 157 MW Madian Hydropower project, District Swat, under the World Bank assisted Khyber Pakhtunkhwa Hydropower and Renewable Energy Development Programme. The foreign exchange component of the project is Rs57.339bn.

The ECNEC directed that the sponsors will adhere to the IPP regime followed by the National Electric Power Regulatory Authority (Nepra). All costs will be rationalised as per the regulator’s cost structure. The sponsors will hire financial consultants to negotiate tariff and ensure least cost generation at affordable price/tariff of the hydropower project.

The meeting approved an amount of Rs36.430bn for construction of 88 MW Gabral Kalam hydropower Project. This will include the FEC of Rs8.815bn. The Ecnec directed that the sponsors will adhere to the IPP regime followed by Nepra and all cost will be rationalised as per Nepra cost structure.