EDITORIAL (May 23 2009): The Federal Minister for Communication, Dr Arbab Alamgir Khan, while presiding over a high-level meeting of National Highway Council has said that the government will spend Rs 366 billion on construction of a network of world-class highways to establish communication links with the neighbouring and Central Asian states, so that Pakistan could exploit its unique geo-strategic location and serve as a hub for future trade in the region.
The most crucial component of the National Trade Corridor (NTC), according to the minister, will be the construction of expressways, linkages with Gwadar Port and the upgradation of KKH. The Chairman of National Highway Authority informed the meeting that the NTC project envisioned execution of as many as 18 mega road projects in different parts of the country that would be completed by 2015.
(With only six years to go till 2015, this means that three mega projects will have to be completed each year to meet the target.) To be funded jointly by GoP, ADB and the World Bank, the total length of the planned highways will be around 4,000 kilometres.
He also informed the meeting that the NHA would require Rs 51 billion in the next fiscal year for completion of the ongoing projects, though he did not specifically name these projects. Efforts will be made to encourage implementation on Public-Private Partnership basis so as to reduce pressure on the national resources.
A well-planned and well-constructed logistic base serves as the life-blood of an economy, and the government's decision to construct a network of world class highways to establish linkages with neighbouring countries is a step in the right direction. The aphorism, "transport is civilisation," contains a universal truth because an efficient transportation and communication network is of as critical an importance as industrial infrastructure, for the economic development of a country.
Unfortunately, Pakistan's logistic base has remained under-developed since Independence, which has played a critical role in restricting our economic growth. Secondly, despite the complementary nature of road and rail networks, the logistic infrastructure in the country has suffered from lack of a coherent, long-term strategy, which has been instrumental in blocking realisation of the country's full economic potential. A major cause of this has been pursuit of a policy of adhocism as well as endless delays sustained in project execution.
According to the plan, the Karachi-Northern Bypass will be constructed as a two-lane facility in the first phase, but will be later converted into a dual carriageway facility, to help in its integration with the RCD Highway and the Mekran Coastal Highway. However, there is no word on how much of the work has been completed.
In fact successive governments have often expressed their resolve to overhaul the logistic system, but have failed to achieve the set goals. Even the donors at times have pointed out the vast discrepancy that exists between our ambitious goals, and our restricted delivery capacity, due largely to the constraints of our industrial infrastructure.
A cynical view holds that credible practical action on the ground for implementation of the projects has been gradually supplanted by statements, to create an illusion of progress. Despite astronomical allocations made over the decades for communication and infrastructure projects, this sector has remained the weakest link in the economic chain.
As we have mentioned in this space earlier, as many as 632 projects worth a whopping Rs 2.36 trillion, were approved in eight years of the last government though there is hardly a word on how many of these were actually implemented. Was the massive allocation made for the projects fully utilized, partially utilized or remains unutilised?
There is a perception that successive governments in the country have been fast on planning and approval of projects, but painfully slow on implementation, which has generated a huge credibility gap. Despite what the NHA chief has said at the National Highway Council meeting, will we be able to construct 4,000 kilometres of road by the year 2015?
There is a need for the government to bring about a policy reorientation so that whatever project is unveiled it is completed well within the timeframe as well as the financial outlay set for it. This will help restore our credibility not only with the donors but with the prospective investors as well. Secondly, a multi-pronged expansion needs to be achieved in our cement and steel production.
Thirdly, the government should keep closer tabs on utilisation of funds through fast-track auditing and other measures, to combat misuse of funds. These steps will help combat not only the cost overruns but also the delays. If possible, a permanent project execution assessment commission, with due representation to professionals drawn from related fields, needs to be set up.
