ISLAMABAD: The Ministry of Communications informed the National Assembly Standing Committee on Communications that, despite requesting a budget allocation of Rs164 billion last year, only Rs64 billion was allocated.
This shortfall is a key factor contributing to delay in project’s completion. In the light of these challenges, the committee decided to hold separate meetings to discuss and address projects from each province, with the goal of facilitating their resolution.
The NA standing committee held its meeting with the panel chairman Aijaz Hussain Jakhrani in the chair, here at Parliament House on Friday. The M-6 Sukkur-Hyderabad project was also discussed in the meeting and it was explained that the project was divided into five sections, with a revised total cost of Rs399bn under a PPP model. Once the PC-1 is approved by Executive Committee of the National Economic Council (ECNEC), bidding for the first phase would begin for Section-I (Hyderabad-Tando Adam) and Section-II (Tando Adam-Nawabshah). The bidding process is expected to start in April 2025, with the contract award anticipated by October 2025.
The committee was also informed that a special steering committee, chaired by prime minister and comprising Minister for Planning, Development and Special Initiatives, Minister of Communications, and Minister for Economic Affairs Division, was actively pursuing financing for M-6, M-8, and N-25 projects.
The steering committee is currently in Baku, Azerbaijan, to secure funding for the priority projects. Additionally, the secretary informed the committee that M-6 project was considered one of the most feasible for revenue generation via toll tax, with the project cost expected to be recouped within the first eight years. The Islamic Development Bank has shown interest in financing the M-6 project, with representatives expected to visit for a feasibility assessment next month.
The committee also discussed the Karachi Northern Bypass, focusing on the congestion issues and potential solutions. It was noted that the only viable solution to alleviate Karachi’s traffic congestion was the Northern Bypass. It was further highlighted that the Lyari Expressway, a two-lane road, is inadequate to handle heavy traffic. The committee directed the ministry to provide a one-page summary of all the ongoing projects, outlining their costs, completion timelines, significance, and reasons for any delays. It would allow the committee to prioritise projects and ensure their timely completion.
The committee was informed that toll tax rates were revised every three years and recommended that the revisions be accompanied by a comprehensive public awareness campaign. Furthermore, the committee said that no new schemes should be introduced in the PSDP until the completion of existing projects, in order to avoid cost escalations and ensure timely delivery.
The committee reviewed the PSDP schemes for the upcoming financial year 2025-26, in line with Sub-Rules (6) and (7) of Rule 201 of the Rules of Procedure and Conduct of Business, 2007, as directed in two previous meetings. The Ministry of Communications informed the committee that the Ministry of Planning and Development and Special Initiatives had not yet issued necessary budget call circular to finalise the guidelines for preparing the next year’s PSDP.
The Ministry of Communications said that once the circular was received, it would be able to submit the proposed schemes to the committee. The committee expressed its dissatisfaction, as the previous two meetings’ recommendation had specifically called for the Ministry of Communications to expedite the process and involve the relevant ministries to ensure timely submission, enabling the committee to scrutinise and offer recommendations before the deadline of March 1.
