Less than 25% of KP development budget utilised

[WAJsal]

Only 24pc of the total ADP budget has been spent on sector-wise development projects ─ Photo: KP white paper 2014 - 2015
PESHAWAR: A document released by the Khyber Pakhtunkhwa provincial government showing the sector-wise allocation of the KP budget for Annual Development Projects (ADPs) for 2014 – 2015 displays scant utilisation of the budget assigned to the province for development.

During the past nine months, of the total Rs139,764 million budget, Rs85,988m (61 per cent) has been released, of which Rs33,864m — 24pc of the total ADP budget — has been spent on sector-wise development projects.

The document reveals poor utilisation of funds allocated for the labour sector in KP. The labour sector is allocated an estimated budget of Rs26 million ─ only 0.02pc of the total budget. However, although all funds for the budget have been released, less than 1pc have been utilised.

Five sectors allocated the smallest proportion of the total budget:

• Labour ─ Rs26m (0.02pc)
• Environment ─ Rs57m ( 0.04pc)
• Auqaf, Hajj, religious and minority affairs ─ Rs149m (0.11pc)
• Transport ─ Rs200m (0.14pc)
• Information ─ Rs224m (0.16pc)

Of the largest chunk of the estimated budget assigned to the elementary and secondary education sector —at Rs19,902m ─ only 37pc has been spent of the 61pc released.

Five sectors allocated the largest proportion of the total budget:

• Elementary and secondary education ─ Rs19,902m (14pc)
• Roads ─ Rs17,307m, (12pc)
• Regional development ─ Rs16,994m (12pc)
• Health ─ Rs11,207m (8pc)
• Urban development ─ Rs8,760m (6pc) ______

According to bureaucratic sources, delays in the decision-making process, and strict rules and regulations are to blame for the poor utilisation of funds.

The source added that Khyber Pakhtunkhwa Chief Minister Pervez Khattak in a meeting expressed his displeasure over the weak utilisation of budget funds, and had ordered the expenditure of at least 40pc of the provincial budget. The previous KP government was criticised for lapsing billions of dollars allocated to ADPs.

The current KP government, however, has displayed commitment towards pursuing the Millennium Development Goals (MDGs)for 2015.

In a bid to eliminate power shortages from the province, the PTI government launched a Green Growth Initiative (GGI) in 2014, following which the itdeclared war against timber smugglers and explored various energy options for off-grid localities.

The government's 'Sehat Ka Ittehad' anti-polio drive has also been praised by Bill Gates and touted as a viable model for polio drives in other provinces.

In order to facilitate conflict resolution, PTI Chairman Imran Khan launcheddispute resolution committees to dispense quick and cheap justice for those who can't afford litigation and attorneys.

However, not all of PTI's efforts towards a 'Naya Pakistan' have been successful. The afforestation drive, a part of the GGI, has been hit by a shortage of funds and saplings ─ even though 60pc of the forestry budget has yet to be spent.

The situation for sanitation in lesser-developed areas of the province is still bleak, and under-enrollment in one fifth of the schools in the province is proving to be a financial liability on the government.

Less than 25% of KP development budget utilised - Pakistan - DAWN.COM
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[Leader]

I dont understand why KP is holding up the development budget?

 

[Muhammad Omar]

where is the rest 75%?

 

[ali_raza]

being spent on health mainly

 

[Bilal.]

I dont understand why KP is holding up the development budget?

Because much of the strategy is geared towards spending via local bodies, who are still to be elected.

 

[Leader]

Because much of the strategy is geared towards spending via local bodies, who are still to be elected.

that I heard is 37%.

 

[Bilal.]

that I heard is 37%.

I remember the plan is to spend two thirds of development budget through local bodies. That's why I want the LG elections ASAP.

Maybe @ajpirzada can shed some light on it.

 

[Leader]

I remember the plan is to spend two thirds of development budget through local bodies. That's why I want the LG elections ASAP.

Maybe @ajpirzada can shed some light on it.

Yes, there is no democracy without empowered local bodies. I also read that 30th may is the expected date for LB elections. didnt see or read the news again..

ECP to hold Local Body Elections in KPK on 30th May - Watch or Download | DownVids.net

but not confirm if its true

 

[Jazzbot]

This is definitely going to improve drastically after LB elections. The delay in LB election is badly hurting KP govt and its plans. That is why now PTI is showing intent to hold LB elections asap, even without electronic voting.

 

[Tameem]

Less Development; Less Corruption...wot an idea bani gala

 

[faisal6309]

where is the rest 75%?

that I heard is 37%.

Shoukat Khanum??

 

[Muhammad Omar]

Shoukat Khanum??

Imran Khan building it by Donation given by the People not From the provincial Government Development Budget

 

[Leader]

Shoukat Khanum??

nae yara, talking about Local Bodies. basically in developed democracies, MNA/MPA/PM ka kaam legislation ka hota hai.. development local tier kerti hae

 

[ajpirzada]

I remember the plan is to spend two thirds of development budget through local bodies. That's why I want the LG elections ASAP.

Maybe @ajpirzada can shed some light on it.

there are two problems here:

1) The first one is to do with the local bodies. The new Law says that 30% of the development fund is to be given to the local bodies. Since PTI manifesto was not to give funds directly to the MPAs, most of this chunk had no where to go in the absence of local bodies. KPK govt did attempt to give out these funds to the MPAs (since there was an internal panic that the govt is not doing any development work in provincial constituencies) but this lead to a social media outrage as this went against PTIs earlier claims. It seems that the govt gave up on this and stopped distributing any more funds.

2) The second issue is to do with internal capacity. PTI has introduced an additional layer of checks and balances in project execution. This is the introduction of Project consultants which you might have heard about. This has taken quite a time and im still not sure if this new system is set in place properly. Initially there were some media reports that the consultants which the govt hired for some of the projects did not fulfil the criterion. This made the govt overcautious and slowed everything down even further.

The whole idea of introducing consultants is to improve the overall supervision of the project and eliminate the culture of taking commissions at various stages of project execution. But the problem is that without having a consultant in place for every given project, the project cannot proceed. This, in my view, has increased the administrative burden on the already weak government machinery. Another problem (and i am speculating now) is that now the old project mafia in the system can no longer earn big money through development projects since there is little room to do corruption. This is a good news and a bad news. Good: no big corruption; Bad: lack of interest in development projects.



On the side note, I read another article which quoted a senior Govt official in the KPK govt. The guy said that development spending normally picks up in the second half of the fiscal year. He further said that they hope to achieve 70%+ spending ratio before June this year.

However, I will be very impressed if KPK govt manages to achieve anything close to 70%. My perception is that the consultant system is still not in-place properly and it might take another year for the KPK govt to learn the trick of project implementation without allowing for corruption opportunities..

 

[Bilal.]

there are two problems here:

1) The first one is to do with the local bodies. The new Law says that 30% of the development fund is to be given to the local bodies. Since PTI manifesto was not to give funds directly to the MPAs, most of this chunk had no where to go in the absence of local bodies. KPK govt did attempt to give out these funds to the MPAs (since there was an internal panic that the govt is not doing any development work in provincial constituencies) but this lead to a social media outrage as this went against PTIs earlier claims. It seems that the govt gave up on this and stopped distributing any more funds.

2) The second issue is to do with internal capacity. PTI has introduced an additional layer of checks and balances in project execution. This is the introduction of Project consultants which you might have heard about. This has taken quite a time and im still not sure if this new system is set in place properly. Initially there were some media reports that the consultants which the govt hired for some of the projects did not fulfil the criterion. This made the govt overcautious and slowed everything down even further.

The whole idea of introducing consultants is to improve the overall supervision of the project and eliminate the culture of taking commissions at various stages of project execution. But the problem is that without having a consultant in place for every given project, the project cannot proceed. This, in my view, has increased the administrative burden on the already weak government machinery. Another problem (and i am speculating now) is that now the old project mafia in the system can no longer earn big money through development projects since there is little room to do corruption. This is a good news and a bad news. Good: no big corruption; Bad: lack of interest in development projects.



On the side note, I read another article which quoted a senior Govt official in the KPK govt. The guy said that development spending normally picks up in the second half of the fiscal year. He further said that they hope to achieve 70%+ spending ratio before June this year.

However, I will be very impressed if KPK govt manages to achieve anything close to 70%. My perception is that the consultant system is still not in-place properly and it might take another year for the KPK govt to learn the trick of project implementation without allowing for corruption opportunities..

Why isn't there any Project Management Office that is mandated to compete projects within the sanctioned timeframe(and cost). We are still stuck it seems with the old system that the British left us with.