The Planning Commission’s Central Development Working Party (CDWP), in a meeting, presided over by the Deputy Chairman Planning Commission, Mohammad Jehanzeb Khan, cleared a development project with an estimated cost of Rs. 5 billion, and recommended one project worth Rs. 191.47 billion to the Executive Committee of the National Economic Council (ECNEC) for further consideration.
Senior officials from the Planning Commission and Federal Ministries/Divisions also attended the meeting, and representatives from the provincial governments attended video conferences.
Projects related to the Health and Transport & Communications were presented in the meeting.
A project related to Health, called ‘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 was approved in the meeting.
The project envisages the strengthening of seven districts of South Balochistan through the 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. 191,471.074 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 on 12 April and the CEO PPPA was directed to present a report on the VGF financing. This information was shared with the forum and apprised that the Public-Private Partnership Authority (PPPA) board approved the provision of Rs. 92 billion from the budget and through toll charges on 22 April to make the Hyderabad-Sukkur motorway project financially viable and attractive for private parties.
The PPPA presented the financial model approved by its Board before the CDWP. The CDWP recommended the financial model for the 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.