We created seven million job opportunities, says Elahi

LAHORE: Asian Development Bank (ADB) committed $  one billion for first phase of Lahore’s four-train 97-km transit project besides arranging six million dollars for its feasibility study;  no subsidy was to be given by former Punjab government for the operations; consortium of foreign companies of international repute and standing namely France’s Systra, Germany’s Siemens and  Bombardier Canada, was formed to build underground and other stations in addition to the allied systems; the present Punjab government changed its investment priorities including Lahore Rapid Mass Transit System as officially stated by ADB in its official memo of June 4, 2009 (Project Number 40573; Loan Number: 2424).

These views were expressed by former Punjab Chief Minister, Ch. Pervaiz Ellahi, in an exclusive talk with The News here Friday.

The former CM was told that the incumbent Punjab government has pioneered the Orange Line Train project with the collaboration of time-tested friend, China. Pervaiz responded, “They are not the pioneers. In fact, it was our PML-Q government that was the first to initiate the project with the collaboration of one of the best train companies of the world, namely France’s Systra company that was to be supported by Bombardier Canada and Germany’s Siemens."

He said the project envisaged the series of rail transit systems for Lahore in this order: Green Line, Orange Line, Blue line and then Purple Line. The plan was to provide connecting railway links at different stations and 80 per cent of the system had to be underground, he added. 

In addition to that, the ex-CM said, the Punjab government had no liability to undertake as there were no subsidies involved. The international financers had committed to
extend loan at a very affordable, low rate of 0.25 per cent as compared with the present Orange Train’s two-to-three plus per cent mark-up rate.

The former CM was asked as to what was the funds-repatriation timeframe and modalities? Chaudhry replied, “The foreign companies were to operate the system for 18 years during which period they were supposed to train our people. Following the completion of this time period, the total ownership and operations of the project (that included the four trains’ lines, covering 97 kilometres), was to be completely transferred to Punjab government."

Chaudhry was then asked the most important question in the people’s affordability perspective. And that was, “What was the ticket price that was planned to be fixed for this ambitious rail transit project?” "Not more than Rs. 24 to 25 per trip per person" was the reply.

At this juncture, the former CM Punjab added, “ On the receipt of a letter from our successor government in Punjab, ADB cancelled the sanctioned loan for the project launched by our government for facilitating the public of Lahore in the transport sector. And the loan was to be repaid in 20 years’ time with a grace period of additional 10 years”.

But did one billion dollars suffice to complete this four-line project when even one-line project costs much higher. The reply came in this manner, “One billion dollars were just for the initial phase of the first Green Line Train project. The second and the following phases and other Train Lines’ projects were planned to be initiated in the midst of the Green Train project and so forth and so on.

And what about FDI (Foreign Direct Investment) during your times, The News asked Ch. Pervaiz Ellahi. The latter replied, “ At present, FDI has reduced to $ 2.6 billion whereas during our times, it stood at the prime level of $ 5.7 billion. And, according to Economic Survey report 2015, present government’s GDP growth rate is 4.2 % whereas during our times, in 2007, it stood at 7.8 %. And, the poverty has increased to such an extent that the government has stopped publishing the poverty rate in Economic Survey report. In 2014 Economic Survey report, 60 % of the population fell below the poverty line whereas in the year 2007, this percentage stood at 20%. Moreover, during the five-year period when our government was in place, as many as seven million new job opportunities were created”.

But hasn’t the present PML-N government worked hard to reduce the corruption level side by side with increasing the transparency level, as also stated in Transparency International’s latest report, the former CM was asked. He replied, “The Transparency boss, Syed Adil Gilani, has been holding the position of honorary consultant to Prime Minister’s Inspection Commission. You can judge it yourself as to how much transparent this report could be, given the proximity of the Transparency boss to the PM office.”