Senate panel concerned over delay in Gwadar Safe City Project

ISLAMABAD: The Senate panel has expressed concern over the delay in the Gwadar’s Safe City Project and asked the authorities for the provision of funds to avoid delays in the implementation of the Master Plan of the port city.

The Senate Standing Committee on Planning, Development and Special Initiatives, presided over by Senator Quratulain Marri, met on Thursday at the Parliament House.

The committee also reviewed fourth quarter PSDP 2024–25 fund utilisation. The secretary, Ministry of Planning, Development and Special Initiatives (MoPD&SI), stated that total authorisation stands at Rs1,002.46 billion, with the challenge of full utilisation by June 30. While reviewing ministry-wise performance, Senator Marri expressed concern over low expenditures: only 7pc utilised by the Finance Division, 4pc by Maritime Affairs, and 0pc by the Religious Affairs and Interfaith Harmony Division. The chairperson recommended that detailed fund utilisation reports be shared with the Senate Standing Committees for further review.

In a detailed discussion on the Gwadar Master Plan, the committee reviewed fund allocations, disbursements, and investment strategies. The chairperson expressed concern over the delay in the Safe City Project and highlighted a discrepancy where the Gwadar Development Authority cited reasons for the lack of funds, while the Finance Division confirmed that no funding demand was received from the Government of Balochistan. She urged that formal demand procedures be followed. Senator Marri further stressed that basic needs must be prioritised over tourism. “A master plan is not just about tourism, it must first ensure the welfare of local residents,” she said. She also asked for a clear strategy on how proposed investments would yield tangible incentives for development in the region.

The Committee was also informed that port charges at Gwadar and Port Qasim are higher than at any other regional port. Senator Marri questioned the justification. Officials clarified that the fees are imposed by Customs and the Gwadar Port Authority. The Committee noted that despite Gwadar’s strategic importance, offering China a reduced maritime route of 2,000 nautical miles compared to the current 10,000 via Xinjiang, it remains underutilised. In 2009, 70 ships docked at Gwadar Port, while in 2024, only four arrived. Officials further pointed out that despite being developed after Gwadar, Chabahar Port in Iran is now fully operational, whereas Gwadar remains non-functional.

Senator Manzoor Ahmed raised concerns regarding the protection of small fishermen’s rights and questioned the steps taken by the Government of Balochistan. Senator Marri endorsed his concerns and directed the CPEC Chief Officer, Balochistan, to follow up. Moreover, officials from the Gwadar Development Authority denied the presence of a tanker mafia. Senator Marri expressed that a comprehensive report in July would help clarify the ground realities.

The secretary, Ministry of Communications, briefed the Senate panel on the Sukkur Karachi Motorway project and ongoing negotiations with Azerbaijan. He noted that discussions have also been initiated with the Islamic Development Bank (IsDB), with expectations that the Bank will fund Section IV (Naushehro Feroz Ranipur) and Section V (Ranipur Sukkur). It is anticipated that board approval will be given by September 2025. Senator Marri suggested that the project must not face delays beyond September and sought a list of deliverables, along with monthly progress reports. On the Hunza Khunjerab Road, officials informed that the repair of 11 damaged sections is underway.

The Senate panel also received a briefing on the inspection report by the Monitoring Wing, M/o Planning, Development & Special Initiatives, on inspection and update on projects of dam construction in Balochistan till date. After reviewing inconsistencies in progress, Senator Marri recommended summoning representatives from WAPDA and the Monitoring and Evaluation team in the next meeting to individually review each dam project and determine the causes of delay.