The federal government has proposed Rs 12 billion Block allocations for Azad Jammu and Kashmir (AJK) and Rs 9 billion for Gilgit-Baltistan for development projects in budget 2016-17, it is learnt.
According to documents available with Business Recorder, the block allocation of AJK is Rs 11.5 billion in current financial year 2015-16, in which Rs 500 million have been enhanced and the allocation proposed is of Rs 12 billion in 2016-17. Due to heavy throw forward of government of AJK, Kashmir Affairs Ministry and Gilgit-Baltistan proposed Rs 3 billion additional over and above the Indicative Budget Ceiling (IBC) to complete the ongoing portfolio of AJK. Therefore, Rs 15 billion have been proposed for ADP/Block allocation of AJK.
Public Sector Development Programme (PSDP) of Kashmir Affairs and Gilgit-Baltistan projects for AJK for the year 2015-16 is 1860 million, however, Ministry of Planning, Development and Reforms has increased the PSDP of Kashmir Affairs and Gilgit-Baltistan for AJK projects to Rs 2550 million. For timely completion and to avoid time and cost over in Federal PSDP projects, Ministry of Kashmir Affairs & Gilgit-Baltistan demands to enhance the allocation of Rs 5513 million in addition to IBC of Rs 2550 million.
The Block allocation of Gilgit-Baltistan of financial year 2015-16 is Rs 8.2 billion. However, Ministry of Planning, Development and Reforms enhanced the allocation of Rs 9 billion (increase of 800 million). Due to heavy throw forward of Annual Development Plan (ADP) projects and inclusion of mega foreign funding project "ETI" (Economic Transformation Initiative), Ministry of Kashmir Affairs & Gilgit-Baltistan proposes enhancement of Rs 3 billion and their allocation may be considered Rs 12 billion.
The PSDP of KS&GB projects for G-B for the year 2015-16 is Rs 1.7 billion, however, Ministry of Planning, Development and Reforms has increased the PSDP of KA&GB project to Rs 1950 million. For timely completion and to avoid time and cost over run in Federal PSDP projects, Ministry of Kashmir Affairs & Gilgit-Baltistan demands to enhance the allocation of Rs 4641 million in addition to IBC of Rs 1950 million.
According to documents, Ministry of Planning, Development and Reforms has deleted as many as four important projects, two on-going projects (i) 26 MW Shagarthang HPP and (ii) 4 MW HPP Thack Chillas and two new projects (i) 30 MW HPP at Ghowari (ii) Establishment of Regional Grids in Gilgit-Baltistan. For this, Ministry of KA & G-B wrote letter to Ministry of PD & R to include the said project in PSDP 2016-17 within IBC without any additional demands of funds.
The documents further revealed that 50 bedded cardiac Hospital (Phase-I) approved by the CDWP (under PM directives), which needs to be included in PSDP of KA&GB with allocation of Rs 150 million within IBC of the Ministry, without any additional demands of funds. However, Ministry of Planning has suggested this to Ministry of Finance the said project from Block Allocation of G-B. Ministry of Kashmir Affairs and Gilgit-Baltistan is of the view from ADP funds of G-B is already over committed and this mega project cannot be executed from ADP funds of G-B, therefore, it needs to be included in federal PSDP of KA & GB, for smooth execution of the project.
According to document, new schemes as per working paper are 20 MW Hydro Power, Project, Hanzil estimated cost Rs 6.25 billion, Technical College Gilgit, Rs 100 million and Medical College Gilgit, 2.7 billion.
The proposed new schemes are Establishment of 200 Bedded Cardiac Hospital at Gilgit estimated cost Rs 1.5 billion, Up-gradation of road from RCC bridge Konodas to Naltar Airforce Base via Nomal (PM directive) Rs 2.9 billion, off shore development of Atabad Lake Rs 450 million and Geo Technical Appraisal and Assessment of Known Mineral Prospects (GAAKMP) of GB, etc.