April 26, 2021: At a Central Development Working Party (CDWP) meeting presided over by Deputy Chairman Planning Commission Mohammad Jehanzeb Khan, cleared a development project with estimated cost of Rs. 5bn & and recommended one project worth Rs. 191.47bn to the Executive Committee of the National Economic Council (ECNEC) for further consideration.
Senior officials from Planning Commission and Federal Ministries/Divisions also participated in the meeting while representatives from Provincial Governments participated through video conference.
Projects related to Health and Transport & Communications were presented in the meeting.
A project related to Health namely “Strengthening of Existing DHQs, and selected THQs, RHCs, BHUs in District Awaran, Washuk, Khuzdar, Lesbela , Panjgur, Gwadar and Kech (Less Developed areas of the Balochistan)” worth Rs. 4996.60 million approved in the meeting . The project envisages strengthening of seven districts of South Balochistan through provision of civil infrastructure, medical equipment, machinery and ambulance.
A project related to Transport & Communication presented in the meeting namely “Construction of Hyderabad – Sukkur (306 km), 6 Lane Divided Fenced Motorway on BOT Basis” worth Rs. 191471.074 million. The Hyderabad – Sukkur Motorway project envisages construction of 306 km long, 06-lane wide, access-controlled Motorway. The project was discussed in the last CDWP of 12th April and CEO P3A was directed to present report on VGF financing. The said information was shared with the forum and apprised that the Public Private Partnership Authority (PPPA) board on 22nd April approved the provision of Rs92 billion from the budget and through toll charges to make the Hyderabad-Sukkur motorway project financially viable and attractive for private parties.
The P3A presented the financial model approved by its Board before the CDWP. The CDWP recommended the financial model for consideration of the ECNEC which stated that the project will be implemented on a BOT – user-charge basis with the provision of capital and operational Viability Gap Funding (VGF) to improve the financial viability and bankability of the project.