China, Pakistan to have energy agreement in writing for 15 years

ISLAMABAD: Pakistan and China have agreed to establish long term plan in writing for next 15 years cooperation (2015-2030) with specific areas and expand energy sector cooperation from power sector to include oil and gas sectors, official documents available with The News reveal.

“The preparation of long term plan under CPEC initiative is underway for next 15 years under which one corridor through three passages will be developed in harmonised manner,” Major General (R) Zahir Shah, Planning Commission’s CPEC Secretariat head, confirmed to The News when this scribe contacted him on Wednesday.

However, according to official documents exclusively available with this correspondent, Pakistan and China considered draft of long term plan of CPEC by reviewing the progress made for finalising it in consultation with authorities concerned of both the countries.

Islamabad has shared its initial assessments of the draft for long term plan which was submitted by Beijing where it was pointed out that the passages identified in the Transport Plan of CPEC provide the foundation for development of spatial structure of the long-term plan and subsequently along which economic activity will be generated.

“Pakistani side argued that the long-term plan needs to be reassessed to arrive at a revised spatial pattern on the basis of agreed changes in the monographic study on transport planning of CPEC,” official document states.

 Both sides agreed changes in the transport plan of CPEC needs to be incorporated in the long term plan which require further work and frequent communications between both sides for early finalization.. They agreed that revisions will be made in the long term plan according to the adjustments made in the monographic study of transport planning of CPEC. The two sides will strengthen coordination and cooperation in this regard.

Pakistan and China have also agreed to expand energy sector cooperation from power sector to include oil and gas sector. The discussions on the planning of specific areas/projects of cooperation may be held between the energy working group as soon as possible in the near future.

On transport sector, Pakistan side presented progress of the joint feasibility study on ML-1 (Karachi-Peshawar route) and Havelian Dry Port. It was considered important to accurately determine the costs to avoid issues at implementation stage. Phased implementation of ML1 was mutually agreed. The extension from Peshawar to Torkhum will be discussed at technical level

The Pakistan side emphasized the need for moving to the next steps for timely implementation of two railways sector for early harvest programs (EHPs) i.e. ML-1 and Havelian Dryport.Both sides approved proposal of signing a framework agreement for the two EHPs between the Ministry of Railways, Pakistan and National Railways Administration, Peoples Republic of China.

They also approved that under the two EHPs, i.e. MLI and Havelian Dry Port, following priority sub-projects will be implemented by December 2017 based on the availability of the funding including ML-1 Multan ~ Lahore Section, 339 km, 160km/h (including passenger facilitation of Lahore and Multan), ML-1 Hyderabad—Multan Section: 749 km long, overhaul of track and civil works; (including passenger facilitation of Rohri / Sukkur), ML-1 Kemari-Hyderabad Section: 182km long, up-gradation and speeding up to 160km/h(including passenger facilitation of Karachi Cantt. and Hyderabad), establishment of Havelian Dry Port and education and training (in Walton Railway Academy).