Yet another validation of Neelum-Jhelum project approved

ISLAMABAD: The government on Wednesday approved to conduct yet another third-party validation of much trumpeted Neelum-Jhelum Hydropower Project (NJHPP) of 969 megawatt with another upward revised cost of Rs500.343 billion to ascertain value of money and causes of cost overrun.

The cost of project has further gone up by Rs96 billion from Rs404.321 billion to Rs500.343 billion. The CDWP has approved the revised cost of the project and referred it to ECNEC for further proceeding.

According to PC-II approved by the Central Development Working Party (CDWP) under chairmanship of Planning Commission (PC) Deputy Chairman Sartaj Aziz here on Wednesday, the main objective of the third-party validation/forensic audit for Neelum Jhelum Hydropower Project aimed to find out the lapses and bring improvement to avoid such delays in cost overrun in future. Further, the project will broadly include validation of actual cost incurred under various phases, assessment of cost of various activities awarded contracts and to evaluate/assess delays and cost overrun thereof, in order to determine value for money. The PC-II cost was rationalised and brought down from Rs104.78 million to Rs100 million for hiring consultancy services for third party validation.

Earlier, the decisions were made to conduct third party validation but all such efforts remained futile without having any reasons. So another effort is on cards and it is not yet known whether it will be succeeded or not because more than $4 billion was spent for getting 969 MW electricity. According to the statement issued after the CDWP meeting, it approved 31 projects worth Rs713 billion and 8 projects worth Rs694.879 were referred to ECNEC for further action. Secretary Planning Shoaib Ahmad Siddiqui, senior officials from federal and provincial governments also participated in the meeting.

Projects presented for approval include energy, water resources, transport and communication, education, health, manpower, food & agriculture, physical planning & housing, information technology, science & technology and mass media. A project of Rs424.42 million for expansion and up-gradation of Pakistan Petroleum Core House for its sustainable operations to facilitate oil and gas research in Pakistan was was approved by CDWP. 220 KV Jauharabad substation projects of Rs3147.12 million were referred to ECNEC for further proceeding. Evacuation of power from 2160MW Dasu Hydro Power project (Stage-I) of Rs75,859.63 million was referred to ECNEC for further proceeding.

A project for construction of Lahore-Sialkot Motorway (LSM) Link Highway (4-Lane) connecting LSM to Narang Mandi and Narowal Eastern Bypass (73km) of Rs19998.278 million was referred to ECNEC for further proceeding.

A project of 184 km for Faisalabad-Khanewal Motorway (M-4) worth Rs60,823 million was presented in CDWP which was referred to ECNEC for further proceeding. A development scheme in District Mansehra worth Rs1020.5 million and construction of roads in east Karachi and district Malir worth Rs499.81 was also approved by CDWP.

In education section, 5 projects were presented out of which one project (Baluchistan Education Support) worth Rs11800 was referred to ECNEC. CDWP approved projects including establishment of Islamabad Model College for Girls G13/1, Islamabad Model College for Boys G15, National Curriculum Council NCC, Construction of Boundry walls in government schools of KP through Tameer-e-School Programme. In health section, seven projects were presented out of which two were deferred and five projects were approved by the CDWP.

A project of “establishment of regional blood centre at Faisalabad and up-gradation of existing blood units in Lahore” worth 303.26 was approved.

A special project for development of health services in Afghanistan which includes 60-bed Kidney Hospital in Jalalabad, 200-bed Jinnah Hospital in Kabul and 100-bed hospital in Logar at the cost of Rs2010.5 million.

Other projects approved by CDWP include establishment of Safe Blood Transfusion Services in Gilgit Baltistan, Sindh and Baluchistan.

In food and agriculture section, two projects worth Rs3300 million were presented and approved by the CDWP. The projects include “National Pesticide Residues Monitoring System in Pakistan” at the cost of Rs799.3 million and “National Cotton Research and Development Programme” at the cost of Rs2500 million. In Informational Technology section, only one project of “up-gradation of Monitoring System up to 250 TV Channel PEMRA” was approved by the CDWP at the cost of Rs196.728 million. In science and technology section, six projects were presented out of which three projects were approved by the CDWP. The approved projects include “up-gradation of medicinal botanic centre as National Centre for Herbal Medicine” at the cost of Rs136, “establishment of Muslim Bagh Campus at Baluchistan University of Information Technology, Engineering and Medical Sciences” at the cost of Rs1554.234, and “up-gradation of lab equipment of Nust Schools and Colleges” at the cost of Rs462 million.