Ecnec okays 27 projects worth about Rs 86 billion

Executive Committee of National Economic Council (Ecnec) which met with Prime Ministers Advisor on Finance, Shaukat Tarin, in the chair on Monday approved 27 projects worth about Rs 86 billion including those projects which were recommended by the Prime Minister for Multan.
However, four important projects ie procurement of land for New Gwadar International Airport (NGIP) and manufacturing of 530 bogey wagons for Railways, procurement of non-intrusive X-Rays Inspection System (NVIS) and lining of distributaries in Sindh have not been cleared partly due to some objections raised in the meeting, official sources told Business Recorder.
Most of the approved projects are in energy sector, followed by transport and communication, higher education, health, IT, physical planning and housing and water resources. Ecnec has also cleared the most notorious project ie Clean Drinking Water Initiatives (CDWI) worth Rs 999.541 million. This project had, reportedly, been abused by the Ministry of Industries.
The sources said the representative of Balochistan did not agree with a summary of the Ministry of Inter-Provincial Co-ordination (IPC) on guidelines for funding projects launched on the directives of the President and the Prime Minister.
The committee approved seven summaries of the Ministry of Water and Power, submitted on behalf of Pakistan Electric Power Company (Pepco) relating to power distribution and enhancement projects phase-I falling under the jurisdictional purview of various Discos as under:
1. Fescos power distribution enhancement project phase-I designed to provide adequate facilities for reliable and sustainable supply of electrical power to meet growing domestic, commercial, industrial and agricultural demands of Fesco area at a total cost of Rs 1828.82 million. It envisages saving of 20 MW electricity after completion (36 months) of project which technically involves extension of existing grid stations, augmentation of transformers capacity, installation of capacitors, rehabilitation of outdated equipment and system modernisation. The project involves Foreign Exchange Component (FEC).
2. Mepcos power distribution enhancement project phase-I with similar specification (1-above) with certain technical modifications like energy loss reduction (ELR) programme at a total cost of Rs 1076 million involving FEC. It envisages saving of 16.25 MW of electricity after completion in 36 months.
3. Iesco power distribution enhancement project phase-I with similar specification with other Discos with certain technical modifications like ELR at a total cost of Rs 3429.81 million involving FEC. It envisages saving of 32.33 MW of electricity after completion of the project in 36 months.
4. Hesco power distribution enhancement project phase-I at a total cost of Rs 4171.87 million involving FEC. It envisages saving of 16.6 MW of electricity after completion of the project in 36 months.
5. Qesco power distribution enhancement project phase-I with similar specification at a total cost of Rs 2283.46 million involving FEC. It envisages saving of 14.3 MW of electricity after completion of the project in 36 months.
6. Lesco power distribution enhancement project phase-I with similar specifications with certain technical modifications like ELR at a total cost of Rs 4130.81 million involving FEC. It envisages saving of 15.36 MW of electricity after completion of the project in 36 months.
7. Pesco power distribution enhancement project phase-I with certain technical modifications like ELR, distribution of power (DOP) which includes laying of new feeders and installation of distribution transformers including system modernisation at a total cost of Rs 3948.25 million involving FEC. It envisages saving of 4.19 MW of electricity after completion of the project in 36 months.
Ecnec approved Ministry of Water and Powers project for Inter-connection of 6 IPPs with national grid for power dispersal (Phase-III) at a total cost of Rs 1680 million involving FEC. The project scope envisages construction of transmission lines for six new IPPs and its interconnection with national grid to meet power shortage and strengthen the existing system of NTDC.
The committee approved electrification of 86 villages in Dera Bugti by Qesco a total cost of Rs 717.71 million to be executed in 12 months through installation of transmission lines, transformers and other allied equipment and necessary civil work, stipulating that Balochistan government would form a committee comprising local MNAs, MPAs and District Nazim who would identify the villages needing electrification - a list of which would be provided to Ecnec.
Ecnec approved establishment of 43.5 MW Jagran-II hydropower project in District Muzaffarabad sponsored by AJK government at a total cost of Rs 4631.02 million involving FEC. The project envisages construction of 43.5 MW Jagran-II hydropower station on River Neelum, and is designed to provide additional installed capacity in the system.
ECNEC also approved establishment of 14.4 MW Jhing Hydropower Project in District Muzaffarabad sponsored by Government of AJK at a total cost of Rs 1813.85 million. It also envisages construction of 14.4 MW of hydropower station planned at Jhing Nullah which is right bank tributary of Neelum River. It would provide additional installed capacity in the system and will take 40 months completion time in both the cases.
Ecnec further directed Planning and Development Division to explore possibility of clubbing public-private sector partnership program for execution of similar projects in future, focusing reduction in GOP, GOAJK and provincial governments financial burden. It further advised Ministry of Water and Power and Planning Commission to formulate recommendations for developing public-private sector partnership model/ratio and make consensus based rules for hydro power projects below 50 MW, advising that necessary detailed framework for such an agreement be modified.
Ecnec approved Higher Education Commissions project titled faculty development program of Bahauddin Zakariya University Multan for provision of 100 PhD foreign scholarships on the directives of the Prime Minister Syed Yousuf Raza Gilani. The HEC has been directed to circulate list of scholarships allocated to other universities of the country which must address no discrimination component, adding that list explaining training disciplines be obtained and circulated. Ecnec held that projects falling under education and health development sectors may be presented before Friends of Pakistan for support.
The committee, which comprises representatives of federal, provincial and AJK governments also approved Northern Area Health Development Project Phase-II at a total cost of Rs 796.050 million that would provide basic health services to under-served population and strengthen primary health care services besides improving secondary and tertiary health care services.
According to an official statement, Ecnec approved Suparco/Ministry of Defence Pakistan Communication Satellite System Project (PAKSAT-IR) which is designed to develop/manufacture and launch a Geo-Synchronous Orbit Communication Satellite replacing the existing Leased Satellite PAKSAT-I. It constituted an independent project management committee comprising representatives from Suparco, MoD (SPD), Ministry of IT and other stakeholders to oversee implementation of defence as well as civil benefit related components.
Ecnec approved Punjab governments sewerage and water supply project at Multan City (Part-I) at a total cost of Rs 2817,208 million which is designed to provide basic facilities of sewerage and water supply in un-served areas of Multan city. This project has also been recommended by the Prime Minister.
Ecnec approved Ministry of Housing and Works project for construction of new Secretariat Block at Constitution Avenue Islamabad at a total cost of Rs 3476.363 million, advising Ministry of Housing and Works and Planning Commission to incorporate a financial statement mentioning total saving accruing to GoP in terms of rentals saved.
The committee conditionally approved the Ministry of Railways project for procurement/manufacturing of 530 new design bogies/wagons including break vans at a total cost of Rs 4134.732 million, directing that a committee comprising Ministers for Privatisation, Communication, Finance and representatives of Planning Commission and Provincial governments be set up to finalise and recommend Pakistan Railways strategic and credible business plan that meets business criteria laid down by Ecnec within one month where after the committees approval shall stand formalised.
Ecnec advised Ministry of Defence and Planning Commission to submit a background report on Aviation Divisions project titled New Gwadar International Airport - acquisition of land project, explaining as to how an earlier budgetary outlay was released during 2005-06. The project was deferred for further consideration until the preparation of the report.
Ecnec approved withdrawal of government of Punjabs project on widening and improvement of Gujranwala bypass on technical reasons. Ecnec approved Punjab governments project for construction of Multan southern bypass (dual carriageway) to Bahawalpur Chowk at a total cost of Rs 1569.323 million.
The committee approved Balochistan governments construction of blacktop from Sui to Uch Field (57 KM) in Dera Bugti Balochistan at a total cost of Rs 797.711 million. The project would facilitate various oil and gas exploration companies engaged in production of gas and minerals in the area besides providing better transportation facilities to the local people through shortest route from Balochistan to Sindh.
Ecnec approved CDAs construction of Cherah Dam project across the Soan River to be executed jointly by Punjab government and CDA at a total cost of Rs 5307.22 million. The project after completion will provide additional drinking water supply of 15 MGD to twin cities of Rawalpindi and Islamabad.
Ecnec approved the Ministry of Water and Power and Irrigation and Power Department, Sindhs joint project for lining of distributaries and minors in Sindh covering Guddu, Sukkur and Kotri Barrages Area of the province of Sindh at a total cost of Rs 13828.322 million. Ecnec advised the Planning Commission to give details of budget expenditure amount of each province for similar projects. The project is designed to control seepage losses from canal system to improve irrigation efficiency for provision of assured water supply to existing irrigated land under cultivation.
Ecnec approved the Ministry of Water and Power and NWFPs joint project titled Bazai Irrigation Scheme NWFP located in Districts of Mardan and Malakand Agency of NWFP at a total cost of Rs 1796.621 million for provision of better irrigation facilities to an area of about 20,200 acres through construction of 41.1-km long canal system.
The committee also approved the Minister for Railways recommendations for replacement of old and obsolete signals gear project from Lodharan-Khanewal-Shahdara Bagh Main Line Section of Pakistan Railways at a total cost of $129,496,782.
Ecnec approved Ministry of IPCs summary on finalisation of guidelines for funding of projects launched on the directives of the President/Prime Minister including vertical projects launched by federal government in provinces and federal projects launched by federal government in provinces according to a pre-set formula, advising that AJK-IPC representation be given in the federal IPC.
The forum approved various transport and communications related projects of Punjab titled construction of Bosan Road in Multan city at a total cost of Rs 910.850 million; NHAs project for rehabilitation of road from Gharo to Ketti Bunder at a total cost of Rs 3036.466 million in District Thatta and another NHA project for rehabilitation of Kambar-Shahdadkot Road in District Khambar, Shahdadkot Sindh Province at a total cost of Rs 966.00 million.
The committee approved a project-titled training and support of levy forces in Fata at a modified cost of Rs 558.891 million. The objective of the project is to build essential infrastructure, training, transport and communication facility enabling law enforcing agencies to effectively discharge their law and order duties.
Ecnec conditionally approved the Ministry of Interiors project titled procurement/installation of non-intrusive vehicle X-Ray Inspection System (NVIS) at a total cost of Rs 1000.34 million including FEC. The project is designed to improve law enforcement agencies capabilities to scan high volumes of vehicles and detect contraband cargos in normal flow of traffic.
The committee, however, advised the Planning Commission to undertake further technical study of project feasibility. The FBR component for duties/taxes be incorporated, and it be sent to Ecnec for confirmation of its conditional approval by circulation.