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China Pakistan Economic Corridor (CPEC) | Updates & Discussions

CPEC a lifetime opportunity for Pakistan to improve underprivileged areas: army chief

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CPEC’S RAIL TRACK UPGRADATION TO BEGIN WITHIN 6 MONTHS: SAAD

Multan—Federal Minister for Railways Khawaja Saad Rafiq said on Friday that work on rail track upgradation in the country under the China-Pakistan Economic Corridor (CPEC) would begin within next six months from Multan. Addressing a gathering of industrialists, the Railways Minister termed the CPEC as a game changing project to usher in a new era of prosperity in the country.
He said Multan and surroundings were plain areas and lie in the middle and hence beginning rail track up gradation from here would be easy. Saad Rafiq said rail track would be upgraded from Karachi to Multan, Lahore, Rawalpindi, Peshawar and up to Torkham. He said with the availability of upgraded modern track, trains would be operating at a high speed of 160 kilometres per hour.
Saad Rafiq announced that e-ticketing system would be operational in Railways soon that would enable people book seats from their home and make payments through fast money transfer facilities already available in the country. He said 80 per cent work on e-ticketing system had been completed and once operational it would resolve the problem of tickets sale through black marketing once and for all.
He said since the day he took over as Railways minister three year back, he encountered new problem every day. But, he added, he kept on moving forward while solving problems. The minister said Railways earnings would be around Rs 35 billion coming June 2016 which was just over Rs 18 billion when he took over the charge as minister.
He said freight trains’ earning was only Rs 1.8 billion which the Railways was projected to elevate to Rs 12 billion in June 2016. He said that provinces had the Railways land but recently KPK had transfered land to Railways and efforts would be made to get Railways land in other provinces too.
He said land record of Railways was undergoing computerization process. According to record available, Railways land measure around 167,000 acres. However, another 15000 acre land has been detected during the process of computerization of land record of Railways. Saad said double track had been laid between Lahore and Karachi, however, work on double track from La-hore to Peshawar was yet to be completed.
He said 11 railway stations were being upgraded and renovated on modern lines under the annual development plan while another 31 railway stations’ renovation including the one in Multan would be taken up in the second phase. He said air conditioned coaches would be attached to Multan-Rawalpindi Meher Express. He said that he was determined to upgrade rest of the trains but added that it would take at least three years to complete this task.
He said there was need for introduction of a fast train to run from Multan to Islamabad and a high level meet-ing would be held within next few days to discuss the matter. He said Railways was interested in running a cargo train from Karachi to Multan for transportation of business goods but business community of this area did not took interest in the initiative despite the fact that Railways was offering freight fare much below what truck containers charge and would ensure transpirtation in shortest possible time.
He said that Musa Pak train was running in losses and that is why a new train, Multan Express, was inaugu-rated today that would run from Multan to Lahore to compensate for losses incurred by Musa Pak train. He, however, added that this train was being introduced for 90 days with upgraded facilities like Wifi and oth-ers. Its financial performance would be reviewed after three months.—APP


Joint production in economic zones : Ahsan Iqbal proposes China-Pakistan business platform

ISLAMABAD: Planning, Development and Reform Minister Ahsan Iqbal on Friday proposed China-Pakistan business platform for joint production in economic zones under China-Pakistan Economic Corridor (CPEC).

He also proposed for working out a mechanism for training of Pakistani human resource in Shandong province to learn about setting up and management of economic zones in Pakistan.

The minister also proposed to establish linkages between universities in Shandong province and Pakistan for exchange of faculty and students as part of people-to-people contact and suggested for alignment of Pakistan exportable products with Chinese import needs to benefit the Pakistani manufacturers and increase trade volume with China.

He put forward these proposals in a meeting with Shandong Province of China Vice Governor Xia Gang, leading a high level delegation.

Ahsan Iqbal said that Shandong is most developed and industrialised province of China. There are enormous opportunities for Pakistan and Shandong province to collaborate in textile, energy, engineering and agro-based industry, he added.

He proposed that Shandong province could benefit at large from the lower cost labour in Pakistan, relocating its labour-intensive industries to make their products more competitive.

He said that human resource development is a critical area wherein Pakistan might seek assistance from Shandong province by utilising its trained human resource. The minister also called for cooperation in agriculture sector to increase agricultural products and products in Pakistan.

Ashan Iqbal stated that Pakistan could also benefit from Shandong experiences in soil and water conservation, which is critical to Pakistan. Talking about the provision of clean water, the minister urged that Pakistan and Shandong could also join hands to purify the drinking water in the rural areas of Pakistan.

He said that Pakistan needs export-led growth by re-orienting the production models, which could be done by learning from the experiences and expertise of Shandong province. He also proposed holding of business conferences in Pakistan and Shandong, attracting the businessmen from both sides to enhance business-to-business contacts by putting in place an institutional framework.

The minister said that Pakistan greatly values its friendship with China who came to invest in Pakistan at critical juncture of the country's history. "CPEC raised investment profile of Pakistan in the world by making it safe haven for billions of Chinese investment, he added.

He said that CPEC is fusion of visions of leadership of both countries and a win-win proposition for China and Pakistan, as it would provide China the safest and shortest land route to trade with the world and would help Pakistan to become regional trading and industrialised hub through enhanced economic integration.

Ahsan Iqbal hoped that visit of the vice governor would enhance the future cooperation and collaboration between Pakistan and Shandong to further strengthen the bilateral ties between China and Pakistan.

Shandong Vice Governor Xia Gang said that his province looks forward to work with Pakistan in various areas and assured to consider proposals of the Planning and Development minister for furthering the cooperation in economic field between Pakistan and Shandong


GWADAR PORT TO OPEN NEW VISTAS OF PROSPERITY: ASIF

Sialkot—Defence Minister Khawaja Muhammad Asif has said that government was utilizing all available resources for improving the means of communication across the country.
Talking to APP at Muslim League House here on Sunday he said the basic concept to improve means of communication was to bringing far-off and neglected areas at equal par with the developed parts of the country. The linking remote areas with developed areas will bring revolutionary changes in life style and open new era of development and prosperity he added.
The minister said, the mega project of China Pakistan Economic Corridor (CPEC) would play instrumental role in bringing revolutionary change and usher of economic stability and prosperity not only in Pakistan but also in the region.
Khawaja Asif was of the opinion that Gwadar port will play a dominating role in ensuring drastic economic stability and overall development of the country.
He said that the development work on Sialkot-Lahore motorway will be undertaken in near future adding that motorway project will help in linking remote areas along with its track and reduced the distance between Sialkot-Lahore.
Asif disclosed that development work on setting up Engineering Centre of Excellence in Head Marala for providing higher skilled development education and on a ring road will be carried out in near future.
Meanwhile, Minister for Defence Khawaja Muhammad Asif Sunday demanded for a forensic audit of the funds raised by Imran Khan Foundation (IKF) for rehabilitation of flood victims in 2010.
Talking to a private TV channel, the minister said it was the right of the people to know details of the funds collected in the name of flood victims.
He said the audit should reveal to the people as how much amount had been collected and where it had been spent, besides the balanced amount.
He said the funds had been collected for reconstruction of destroyed houses of the flood victims, but “where these houses have been built,” he questioned the PTI leadership.
Expressing his doubt, the minister asked whether the raised amount had been invested in offshore business.—APP
 
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FWO at work on CPEC thus Ensuring the timely completion.

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Public transport: CPEC railway projects underway, says minister

Multan Express launched for a 90-day trial. PHOTO: FILE

MULTAN:
Torkham will be connected to Karachi via Multan, Lahore, Rawalpindi and Peshawar under the China-Pakistan Economic Corridor (CPEC) project, Minister for Railways Khawaja Saad Rafique said on Friday.

He said a new freight train would also be introduced for Karachi to facilitate the business community in Multan. He was addressing traders at Multan Chamber of Commerce and Industry (MCCI).

Rafique said work on railway projects under the CPEC had begun. He said 11 railway station were being upgraded. He said 31 railway stations would be upgraded next year.

“Pakistan Railways is looking to improve its facilities. We will be purchasing 200 locomotives next year,” he said.

He said train speed was being increased to 160 kilometres per hour in the plains. He said the speed would be limited to 120 kilometres per hour in hilly areas.

The minister said a double track project from Karachi to Lahore via Multan had been completed. “The track for Lahore-Peshawar via Rawalpindi will be doubled in a few years,” he said.

The minister said arrangements for e-ticketing systems at railway stations were being completed.

“Pakistan Railways carries thousands of citizens from all over the country. Passengers should be able to pay for their tickets through debit cards, online bank transfers and micro-transactions,” he said.

He said with the launch of a digital ticketing system, passengers would be able to book and pay for tickets from their homes.

“A digital system minimises chances for corruption. Everything will be handled electronically so that a record can be maintained,” he said.

The minister said air-conditioned coaches would be added in the Rawalpindi-bound Mehr Express to facilitate the travellers from Multan, Muzaffargtarh, Kot Addu, Layyah and Bhakkar.

“A survey of 167,000 acres of railway land has been completed and its record is being computerised,” he said. He said steps were being taken to retrieve railway land under illegal occupation.

He said 28 damaged locomotives had been repaired at the railways workshop.

“Pakistan Railways can be made profitable by introducing cargo trains,” he said.

The minister said PR could not afford to connect the Multan dryport by railway track from its own resources. “Private investors will have to come forward for this project,” he said.

The minister said the Pakistan Railways (PR) budget for sports would be raised to Rs3 billion in the next financial year.

Later, the minister inaugurated the Lahore-bound Multan Express.

He said this train was being introduced for 90 days on an experimental basis. “If it fails to attract commuters, the service will be withdrawn,” he said.


Pakistan proposes deal with Xinjiang to extend scope of CPEC

ISLAMABAD:
Pakistan has proposed to sign a five-year cooperation agreement with China’s western Xinjiang province to extend the scope of the China-Pakistan Economic Corridor (CPEC) beyond infrastructure and energy projects to commerce and trade.

The CPEC, announced in April last year, is a more than 2,400km long network of roads and rail links that will connect landlocked Xinjiang region with Arabian Sea through Pakistan’s deep sea port in Gwadar.

Chinese delegation inaugurates Gwadar Port Free Zone

Pakistan expressed its desire for a long-term cooperation plan on Wednesday during a delegation level meeting between Planning Minister Ahsan Iqbal and Zhang Chuxian, Member of the Politbureau of Communist Party of China.

Both sides held extensive deliberations to explore more avenues of cooperation between China and Pakistan especially between the latter and Xingiang province of China, bordering Pakistan, said the Planning Ministry.

“There is a big economic and trade potential for Pakistan in Xingiang,” said Ahsan Iqbal after the meeting. He said cooperation between Pakistan and Xingiang could add a new chapter in the CPEC because of their close proximity.

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Iqbal proposed a five-year plan for cooperation and partnership in various sectors between Xingiang and Pakistan. “The economic integration and regional connectivity between Pakistan and Xingiang province is critical to making the CPEC successful,” he emphasised.

Army chief reassures China of CPEC security

The minister said the CPEC would not only reduce the distance for West China to trade with the outer world but would also drastically cut down the cost of their products because of faster and cheaper transportation of goods.

Zhang Chuxian extended support to the proposal of five years plan and announced that working group comprising both Chinese and Pakistani officials would work on it. He said the CPEC is a flagship project, which would benefit both countries enormously. The planning minister accepted the invitation of Chinese side to visit Kashgar region.

Chinese delegation also sought clarification on permanent opening of Karokarum Highway after it came to know that roughly 142-kilometer long road out of its 800km length would submerge in water due to construction of four mega dams on Indus Cascade.

Pakistan plans to build Akhori, Bunji, Diamer Basha and Dasu dams on Indus cascade. These dams will affect 142km part of the KKH. The NHA chairman informed that the government has prepared a plan to keep the route open.


CPEC’s western route clears another hurdle

ISLAMABAD:
In a first concrete step towards implementing the decisions of last year’s all-party conference (APC), the government cleared on Wednesday construction of the 285-kilometre long western route of the China-Pakistan Economic Corridor (CPEC).

The Central Development Working Party (CDWP) cleared the Hakla-Dera Ismail Khan four-lane expressway at an estimated cost of Rs129.8 billion, which will link the undeveloped areas of Punjab and Khyber-Pakhtunkhwa with the CPEC road network.

First phase of CPEC to be completed by 2017

The CDWP also approved another project at a cost of Rs13.6 billion to acquire land for construction of this western route.

Both the projects will now be placed before the Executive Committee of the National Economic Council (Ecnec) for final approval. The CDWP has the mandate to approve projects worth up to Rs3 billion and recommends higher cost schemes for the final approval of Ecnec.

Headed by Planning Minister Ahsan Iqbal, the CDWP sanctioned Rs218.2 billion worth of development projects, including seven projects worth Rs203.5 billion which were referred to Ecnec.

An APC had recommended that the government give priority to the western route of CPEC, which passes through some of the hinterlands of the country and can help address the issue of poverty in these areas. The government had initially preferred the eastern route and allocated more than 90% of CPEC funding for its earlier completion.

The Hakla-Dera Ismail Khan road will be completed by June 2018 and work is expected to begin by the middle of this year. The proposed motorway will be built as a controlled access facility and includes provision of 11 interchanges, 19 flyovers, 15 bridges, 74 underpasses, 259 culverts and three major bridges.

Towards assessment: Govt urged to discuss CPEC with experts, says Qaiser Bengali

The new proposed road network will facilitate the traffic in backward areas of Punjab and K-P. The proposed alignment will start near Hakla on M-1 motorway and after traversing through Fatehjang, Pindigheb, Tarap, Daudkhel, Mianwali, Isa Khel, Kundal, Rehmani Khel, Abdul Khel, Paniala and will end near Yarik on N-55.

Ahsan Iqbal said this portion of western route is being built as per the decisions of the APC held in May last year.

The project envisages acquisition of 7,575 acres of land for construction of the expressway. The average unit cost of project is Rs1.8 million per acre, which is slightly on the lower side when compared with the unit cost of the Rs1.97 million per acre of Sukkur-Multan section of the eastern route.

The proposed alignment of the project along the western route of CPEC has been taken up as agreed during the 5th Joint Coordination Committee meeting between China and Pakistan that took place in November 2015.

The CDWP also recommended a project for installation of Ship Lift and Transfer System to provide facilities to surface ships, submarines and commercial vessels up to Dead Weight 7.781 tons net lifting capacity at the cost of Rs9.8 billion. The original cost of the project was Rs3 billion. This will enhance repair and maintenance capability of by than 13 vessels at a time, provide strategic launch facility for newly constructed submarines in Pakistan and increase its ship repairing and building capacities by 300%.

PM forms committee for redressal of reservations on CPEC

In the energy sector, the CDWP recommended Golan Gol Hydro Power Project at a cost of Rs28.4 billion for the approval of the Ecnec. It also a 500KV Islamabad West project at the cost of Rs3.6 billion to Ecnec.

The CDWP deferred the approval of Nai Gaj Dam due to objections over its cost and non-availability of funding. The original PC-I of the project was approved by the ECNEC in 2009 at a cost of Rs16.9 billion, which in 2012 was revised to Rs26.2 billion. Now the Wapda has sought another revision, increasing the cost to Rs46.6 billion.
 
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CPEC western route wins tentative nod

ISLAMABAD: The government on Friday conditionally approved the 285-kilometre long western route of the China-Pakistan Economic Corridor (CPEC) after Khyber-Pakhtunkhwa objected over its alignment and claimed that it is in violation of the agreement reached at an all parties conference (APC).

The APC held in May last year was instrumental in developing national consensus on routes of the CPEC. It recommended that the government give priority to the western route which passes through some of the country’s hinterlands and can help address poverty in these areas. The government initially preferred the eastern route and allocated more than 90% of CPEC funding for its early completion.

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On Friday, the communication ministry tabled the project for construction of a motorway from Burhan/Hakla on M-1 to Dera Ismail Khan at the rationalised cost of Rs124.2 billion for the consideration of the Executive Committee of National Economic Council (Ecnec).

However, K-P Finance Minister Muzaffar Sayyed objected to the proposed alignment, officials told The Express Tribune after the meeting. They said he claimed that the alignment was not final yet and that the route was in violation of the APC agreement.

The communication ministry informed the meeting that the route for the motorway was as per the joint declaration issued after the APC, a handout issued by the finance ministry said.

Ecnec was also informed that the proposed alignment of the project along the western route of CPEC has been taken up as agreed during the 5th Joint Coordination Committee meeting between China and Pakistan

The finance ministry said Ecnec approved the project, subject to formal confirmation of the route being in accordance with the understanding contained in the joint declaration of the APC. Ecnec Chairman Finance Minister Ishaq Dar said the K-P should not change the goalposts as the matter has already been resolved at the highest political level.

Ecnec also conditionally approved a Rs11.98 billion project for acquisition of land for western route, compensation for affected properties and relocation of utilities for construction of the Burhan/Hakla to DI Khan motorway.

According to the project documents, the Hakla-DI Khan road will be completed by June 2018 and work on it is expected to begin by the middle of this year.

However, the last-minute objections may create difficulties in timely completion of this project. Another issue that can affect timely completion is the availability of the requisite funds as the project requires huge funds for its completion by June 2018.

The proposed motorway will be built as a controlled access facility and includes provision of 11 interchanges, 19 flyovers, 15 bridges, 74 underpasses, 259 culverts and three major bridges.

The land acquisition project envisages acquisition of 7,575 acres of land for construction of the expressway. The average unit cost of the project is Rs1.8 million per acre, which is slightly on the lower side when compared with the unit cost of the Rs1.97 million per acre of Sukkur-Multan section of the eastern route.

Ecnec approved the project for construction of bridge across River Indus connecting Larkana and Khairpur districts with approach roads and river training works at a revised cost of Rs13.4 billion.

Published in The Express Tribune, April 23rd, 2016.
 
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China would provide $4.2 billion loan to Pakistan next week for Peshawar-Karachi (Multan-Sukkur) Motorway project and K K Thakot-Havelian project under China Pakistan Economic Corridor (CPEC), it is learnt. According to sources, the agreement between China and Pakistan would be signed next week for $4.2 billion loan for the construction of two development projects. After signing the agreement, China Exim Bank (Export-Import Bank of China) would provide loan for the construction of Peshawar-Karachi (Multan-Sukkur) and K K Thakot Havelian project.

The China Exim Bank would provide $2.8 billion loan for Peshawar-Karachi (Multan-Sukkur) Motorway project and $1.38 billion for K K Thakot-Havelian project. An official source said that after the completion of Karachi-Lahore section of Peshawar-Karachi Motorway, the port city (Gwadar) will be linked with Multan, Faisalabad, Lahore, Islamabad, Rawalpindi, Peshawar, Gilgit-Baltistan and Azad Kashmir directly through a 6-lane, high-speed access-controlled road network.

An official of the National Highway Authority (NHA) on condition of anonymity revealed that contracts for construction of 230 kms Lahore-Abdul Hakeem Section of Karachi-Lahore Motorway now renamed as Peshawar-Karachi Motorway (PKM) (Multan-Sukkur) has been awarded to M/s China Railway 20 Bureau Group Corporation while the 393 km Multan-Sukkur Section contract has also been awarded to M/s China State Construction Engineering Corporation Limited.

The sources said that the project would facilitate transit between Karachi and other cities including Hyderabad, Matiari, Tando Adam, Shahdadpur, Nawabshah, Khairpur, Sukkur, Pano Aqil, Ghotki, Abaro, Sadiqabad, Rahim Yar Khan, Zahir Pir, Jalalpur Pirwala, Multan, Khanewal, Abdul Hakim, Pir Mahal, Samundri, Jaranwala and Nankana Sahib. The sources said that motorway from Havelian to Thakot as phase-I of the Islamabad-Raikot section of the corridor would be constructed. The Havalian to Thakot section of the corridor is being financed by China while other phases will be carried out on the basis of build-operate-and-transfer (BOT).

The firms that would invest in the CPEC project would be paid through collection of road tax (toll). "We would not give any prior financial guarantee to the firms but they will be given toll plazas, service areas and the right-of-way of the sections they will execute," sources added.
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Prof Ahsan Iqbal & CM Balochistan witnessed signing of an MoU of collaboration between Pak-China Investment Company.

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CM Sanaullah Zehri with Fedrl Minister Planing & Development had invited Chinse invstrs to estblish Steel Mill in Baluchistan
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Modern transport infrastructure under CPEC would make Pakistan's economy competitive. Ahsan Iqbal.

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CPEC EMPLOYMENT POTENTIAL AS WELL AS SHORT & LONG TERM PROJECTS IMPACTS ON PAKISTAN's ECONOMY (As Per Planning Commission of Pakistan).



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Prime Minister Nawaz Sharif on Thursday performed ground-breaking of Havelian-Thakot motorway in Mansehra, a project under China-Pakistan Economic Corridor (CPEC).

“I have started my journey for the country’s progress and not for protests and rallies. We have an agenda of making Pakistan and its people prosper as we are determined to make it a progressed nation,” the prime minister said while addressing a huge gathering in Mansehra, Khyber-Pakhtunkhwa (K-P).

“Five-hour journey will take only 90 minutes after completion of this project.”

The prime minister reminded the people of several development projects being carried out by the ruling Pakistan Muslim League-Nawaz (PML-N) government.

“Let me ask the people, if all these roads and motorways are being built by the federal government, then where is ‘Naya Pakistan’ [K-P government],” he said.

Meanwhile, the prime minister also announced Rs1 billion for Hazara University.

Earlier, the PM laid the foundation stones of two gas supply projects


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CPEC to include $26bn Diamer, Dasu dams: Ahsan



ISLAMABAD - Federal Minister for Planning, Development and Reforms, Ahsan Iqbal has said that the Diamer-Bhasha and Dasu dams are a part of the China-Pakistan Economic Corridor (CPEC).

Briefing a meeting of the special committee on CPEC here, the minister said that the dams would be built at a combined cost of $26 billion. “Diamer-Bhasha and Dasu will be built at a cost of $14 billion and $12 billion, respectively.”

He said that energy projects worth $11.3 billion and $9.1 billion would be initiated in Sindh and Balochistan, respectively. The city of Gwadar will receive 300 megawatts of power projects, he added.

Ahsan said an airport built as per international standards was a part of the economic corridor project, adding that work on the western route is progressing rapidly.

The meeting was informed that the Chinese government was keen to complete the China-Pakistan Economic Corridor (CPEC) on time, and was taking measures in this regard.

The meeting was attended by Gilgit Baltistan Chief Minister Hafiz Hafeezur Rehman and his Balochistan counterpart Nawab Sanaullah Zehri, Senator Mushahid Hussain and other members of the committee.
 
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Glad to see progress at a much faster pace MA..Praying for an early,safer and successful completion of the projects.Kudos to ur efforts for sharing the progress @muahammad umar
 
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1320 MW imported coal based power project at Hub, Balochistan

Private Power and Infrastructure Board (PPIB) today issued Letter of Support (LOS) to China Power Hub Generation Company (Pvt) Limited (CPHGCL) for development of 1320 MW imported coal based power generation project at Hub, Balochistan. The project is being sponsored by Hub Power Company Limited and China Power International Holdings. Minister for Water & Power Khawaja Muhammad Asif, Secretary Water & Power Mr. Mohammad Younus Dagha and other senior officials of PPIB and Ministry of Water & Power witnessed the ceremony. The document was signed by Mr. Shah Jahan Mirza, Managing Director PPIB and from the company's side it was signed by Mr. Zhao Yonggang, CEO of CPHGCL.

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HUBCO to set up 330MW coal power plant in Thar.

Hub Power Company (Hubco) has announced that it will set up a 330-megawatt coal-based power project in Thar at a cost of $500 million in partnership with other investors, subject to approval of the Private Power and Infrastructure Board (PPIB).

“It would take one year to achieve financial close of the project after the PPIB gives its stamp of approval to the project,” Hubco Chief Executive Officer Khalid Mansoor told The Express Tribune.


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Gwadar Free Trade Zone Foundation Stone Ground Breaking

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Multan Sukkur Motorway

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