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Sunday December 22, 2024

NHA faces Rs489bn funding shortfall as government allocates only Rs161bn

Ministry urges govt of Sindh to acquire remaining 1,500 acres of land required for project, out of the total 7,500 acres

By Asim Yasin
November 15, 2024
The representational image shows a highway near the Karakorum mountain range seen in this undated photo. — AFP/File
The representational image shows a highway near the Karakorum mountain range seen in this undated photo. — AFP/File

ISLAMABAD: The Ministry of Communications highlighted in a meeting of a Standing Committee of the National Assembly on Communications about the significant funding shortfall, with only Rs161 billion allocated this financial year to the National Highway Authority (NHA), which requested approximately Rs650 billion for its 115 ongoing projects. 

It was recommended that the Motorway M-6 should be from Karachi to Sukkur, not from Hyderabad to Sukkur, as M-9 does not meet the requirement of international standards of motorway. It was apprised that M-6 is the Ministry’s top priority owing to its national connectivity and socio-economic benefits.

The meeting of the National Assembly Standing Committee on Communications was presided over by Chairman Aijaz Hussain Jakhrani here at Parliament House on Thursday in which the Ministry of Communications provided a detailed briefing on the M-6 Sukkur-Hyderabad Motorway. The Ministry said the M-6 project should be pursued through public-private partnerships (PPP) instead of relying on the Public Sector Development Programme (PSDP), citing its viability.

The ministry also urged the Government of Sindh to acquire the remaining 1,500 acres of land required for the project, out of the total 7,500 acres as funds are provided to the provincial government. It recommended that M-6 be developed in a single phase rather than in segments from Karachi to Sukkur. Chairman Jakhrani said special attention will be given to the Sukkur-Hyderabad Motorway, recognizing its strategic importance. Minister for Communications, Abdul Haleem Khan noted that NHA’s annual revenue has increased from Rs 64 billion to Rs110 billion which should be reinvested in road construction and maintenance. The committee commended the minister and Ministry for Communications for their progress.

Chairman Jakhrani directed the Ministry to submit NHA’s pre-budget road schemes for review. Additionally, the NHA was instructed to include the M-6 project in next year’s PSDP. The Standing Committee advised focusing on fewer schemes to avoid financial losses, cost overruns, and delays caused by non-payment to contractors. It emphasized that the ministry should prioritize the projects as highlighted by the members of the NA Committee.