PAC annoyed at non-completion of development projects

By Asim Yasin
October 26, 2017

Islamabad:It was revealed in the Public Accounts Committee that how the billions worth of development projects effected due to raise in their costs further into billions of rupees due to delay in completion just because of flawed and poor planning of the Planning Commission of Pakistan.

Due to poor conceived planning of the Planning Commission, the cost of ongoing development project had accumulated to Rs5 trillion (Rs 5000 billion) while the funds of Rs1000 billion were sanctioned for the development projects.

The PAC held its meeting on Tuesday with the chair of its Chairman Syed Khursheed Shah in which the Ministry of Planning and Development briefed the committee with regard to development projects.

The PAC has also expressed its annoyance over the non-preparation of the secretaries of the ministries with regard to development projects.

PAC Chairman Syed Khursheed Shah said the development budget for the current fiscal year was over Rs1000 billion and some of the projects were pending since decades of 80’s and 90’s. “The Neelum-Jehlum project was initiated with the cost of Rs19 billion and now its cost reached at over Rs404 billion. Who was responsible for the raise in its cost, and who was responsible for its poor planning”, he asked.

The officials of the Ministry of Planning and Development told the PAC that there were total 1022 development projects out of which 573 were ongoing development projects, 492 were new projects while 12 were special development projects that were being carried out. Total budget of these development projects was set at Rs1007 billion, out of which Rs534 billion were allocated for ongoing development projects, Rs151 billion for new development projects while 119 billion were allocated for 12 special development projects and Rs135 billion allocated for other payments.

The project of Chief of Army Staff to link Peshawar with Mehmand Agency through a project of tunnel also came under discussion.

PAC Member Senator Hadayatullah Khan told the PAC that the project of construction of tunnel to link Peshawar with Mehmand Agency has been completed which was inaugurated by Chief of Army Staff but here it was told to the committee that only 20 percent of the funds were released for this project. ‘When the funds were not released then how the project is completed,” Senator Hidyatullah Khan questioned.

Secretary Ministry of Planning and Development told the committee that he could only tell that the work on project was started before the approval and it was the project of the Ministry of States and Frontier Region (SAFRON) so only it could brief on this project.

The NHA officials told the committee that it was a small tunnel and development work on this project was sped up due to special circumstances and the project was completed by FWO. On which member PAC Sheikh Rasheed Ahmed remarked that there is no need to get further information.

The officials of the Ministry of States and Frontier Regions told the committee that the project was completed in six months time and there was no direct link with this project.

Chairman PAC Syed Khursheed Shah remarked that it was good sign that the projected was completed in time due to fear and in same line that project of Karachi Water Supply project should also be handed over to FWO for the completion in same spirit. Sheikh Rasheed Ahmed remarked that it would be better to handover all the thing in their hands and do not make any hurdles.

Mahmood Khan Achakzai questioned that how the project was completed without planning and who arrange the funds for the project and on whose order this tunnel was constructed.

Chairman PAC Syed Khursheed Shah remarked that though the PPRA rules were not followed yet if the powerful did it then it should be appreciated as the country was facing troubles due to poor planning. There were no funds for the ongoing development projects while new project was initiated and the old projects were not completed in time due to which their costs were increased,” he remarked.

Secretary Planning Commission Shoaib Siddiqui told the committee that the costs of the projects were increased due to non-releasing of funds on time and change of priorities. “It’s necessary that priorities be made for the completion of the projects on time,” he said.

He told the committee that for the PSDP of the current fiscal years, 1032 development schemes were initiated in which more than 400 were new development schemes while 537 were ongoing projects. The total funds of over Rs1000 billion allocated for the PSDP and out of it Rs534 billion allocated for the ongoing development projects, Rs151 billion for the new development projects and Rs62 billion allocated for the special areas, and Rs119 billion for the special development projects.

To a question of the PAC, Secretary Planning Commission told the committee that cost of Karachi sewerage projects of Rs7.9 billion was increased to Rs39 billion. “Karachi Water and Sewerage Board was responsible for implementation of the project, which is responsible of increase in cost of project.

Secretary Aviation Division told the committee that work on new Gwadar Airport was not started yet as the China has agreed to give a grant of Rs22 billion but it was not received so far.

During the meeting, the Cabinet Division revealed that ECNEC had approved the project of 400-bed hospital in Rawalpindi in 2005 and now it has revised to 200-bed hospital and its total cost was over Rs one billion and so far 63 percent of the project was completed but the funds were stopped for it.

The PAC took a strong notice of absence of Deputy Commissioner of Rawalpindi from the meeting saying that PAC was also highest forum of the country.

The PAC also took a strong notice of the absence of the Secretary Ministry of Human Resources and Development while directing the Secretary Establishment to take a notice of it and issue a show cause notice to Secretary HR&D and also sent the copies to Speaker National Assembly and Chairman Senate.