The outstanding liabilities of contractors against the National Highway Authority (NHA) have increased to Rs 26 billion due to financial constraint, resulting in delaying projects, NHA informed the National Assembly Standing Committee on Communication, which met with Saeed Ahmad Zafar in the chair here on Wednesday.
The government must spend major portion of Public Sector Development Fund (PSDP) for the construction of strategic National Trade Corridor (NTC) Roads to bring prosperity and economic boom in the country. This was unanimous resolve of the Committee. The Committee expressed its grave concern over too much delay in completion of different projects and observed that timely completion of roads of national importance must be the first priority of NHA.
Chairman NHA admitted that due to resource constraints, NHA is facing great difficulties in completing its projects timely; resultantly increasing the cost escalation and huge burden on the national exchequer. While briefing the committee on National Trade Corridor (NTC), Chairman NHA informed that due to fund scarcity, construction works on most of the projects are slow. Contractors' liabilities against the Authority is soaring in the whole country and only in Sindh province, they have to pay Rs 3.5 billion to contractors.
He further said that Rs 247 billion is required for different roads under the NTC The committee expressed its displeasure over delaying in different road projects linking Gwadar port to other parts of the country. The committee also expressed its annoyance over slow progress on Hyderabad-Karachi Motorway and Lyari Expressway. The committee was informed that expression of interest (EoI) have been sought and 7 firms/joint ventures have submitted EoI and all of them are pre-qualified to implement the Karachi-Hyderabad Motorway on Build Operate Transfer (BOT) arrangements. Last date for submission of BOT proposal is October 1, 2011, the committee was informed.
The committee was further informed that Southbound Carriage (SBC) was opened in February 2008, however Northbound Carriage (NBC) is under construction and 74 percent progress has so far been made on this project. Due to land acquisition issue there are three proposals to complete the project. However option -3 according to which partial re-alignment/re-habilitation, wherever possible in Liaqatabad, Hassan Aolia and Mainwali colony areas has emerged as the most suitable option.
The said option was approved by Senate Standing Committee while President of Pakistan has given a go-ahead during his visit to Karachi. Lyari Expressway project would require 18 months to complete balance 5.3km after handing over of complete Right of Way (RoW). Delay in handing over of remaining RoW will increase overall project cost and time, the body was informed.
Over the issue of fine collection and its recovery, Inspector General, NH&MP revealed that huge amount is being siphoned off in the fine collection at Motorway. The Committee constituted a sub-committee comprising Muhammad Afzal Sandhu Convenor and Captain Rai Mujtaba Khurral (Retd) and Shaikh Salahuddin MNAs its members with the terms of reference, to investigate the malpractices in fine collection and to present its report to the Standing Committee within a month.
The committee was further informed that NH&MP imposed total fine of Rs 6906.767 million while NHA has collected Rs 6476.7 million. NH&MP received Rs 523.254 million from NHA while Rs 2.715 billion is due for payment to NH&MP. The meeting was attended by Mehboob Ullah Jan, Captain Rai Ghulam Mujtaba Khural (Retd), Sajjad-ul-Hassan, Abdul Qayum Khan Jatoi, Muhammad Afzal Sandhu, Ramesh Lal, Abdul Majeed Khan Khanan Khail, Dr Araish Kumar, Murtaza Javed Abbasi, Chaudhry Ghias Ahmed Mela, Sheikh Salahuddin, MNAs and Senior Officers of the Ministry of Communications, NHA and National Highways & Motorway Police (NH&MP).
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