Pak Govt puts major CPEC power project on hold

[Kyle Sun]

Who is saying that China is doing it for ulterior motives?

As for other countries not investing...yeah it's true that they haven't done that in such a large sum as China has and for that Pakistan is thankful.

I was just replying to him since he said that Pak should ask other countries to invest...so I told him that other countries are investing and giving loans.

Okay. We both need to calm down.

 

[pzfz]

Except losing money and help Pakistan with its infrastractures such as roads,electricity,power generation plants,etc.,I see little benifits that China can get,no offense to all pakistani bro,I know this is an indian troller thread but still,I do not see so much benifits that China can get!
China builds roads and offer jobs to Pakistanis is a way to invade you?? ,why not!
Please come to invade us by building roads and railways for us,I beg you.

You're wasting your time with these idiots. Nothing of CPEC is getting cancelled by the 100s. Only 1 project that was politically motivated but has no bearing on the overall success of CPEC or of any benefit to the Pakistani economy. Same case with Lahore metro. Projects that were made to get votes in elections rather than for their technical or economic feasibility. Surprised the Chinese gave into these corrupt demands.

 

[Adam WANG SHANGHAI MEGA]

Jack ma's online business can't build the backbone of the economy of Pakistan. You won't be able to get your package delivered in 3 days like in China because of THE POOR INFRASTRUCTURE.
What Pakistan needs now is ROAD, Power Plant and so on. These kinds of projects all cost a huge amount of money and take a very very long period to get paid back. A reasonable businessman won't invest in such project in a politically unstable and bad security condition country like Pakistan.
I hope I make my point clear.

Exactly,power generation projects are money sucking monsters and can not get repaid in short term but ciuld have immediate social effects which means your relatives csn get electricity service in a second.....
apparently our Pakistani bros are not prepared for the difficulties they face.at least not prepared well for the moment.

 

[Kyle Sun]

No one accused you for bad motives. Its just that @Adam WANG SHANGHAI MEGA cant take a no. The No, Due to already explained reasons

But THE NO costs money. We have spent a lot of money to study and make a plan. Your gov shouldn't make such reckless decision to start the project in the first place.

 

[RealNapster]

Jack ma's online business can't build the backbone of the economy of Pakistan. You won't be able to get your package delivered in 3 days like in China because of THE POOR INFRASTRUCTURE.
What Pakistan needs now is ROAD, Power Plant and so on. These kinds of projects all cost a huge amount of money and take a very very long period to get paid back. A reasonable businessman won't invest in such project in a politically unstable and bad security condition country like Pakistan.
I hope I make my point clear.

Pakistan have supposedly “a poor infrastructure” still we get our package in 2-3 days anywhere in country. And forareas like 600-700 km away, the package reach the destination next day. And no one is asking jack ma to back our economy. It was an example better be understood with the help of context. I was conveying the point that chinese CEO’s are not driven by sentiments but business. And the example prive that point.

 

[Adam WANG SHANGHAI MEGA]

"It not that Pakistan is losing interest in the CPEC but it is about getting the maximum out of what is there. China has invested a lot and surely wants a payback. Pakistan has been rethinking its strategy of taking huge amount as debt, which it is unable to repay. Some projects of CPEC face feasibility issues as they were signed in haste without due consideration of outcomes"

Dr Geeta Kochhar, Assitant Professor at the Centre for Chinese and South-East Asian Studies, Jawaharlal Nehru University, New Delhi, and visiting fellow in Fudan University, China

https://twitter.com/x/status/1084835251967258624

We want to be owner of those projects (we still need to pay taxes to your gov)and want to take all the risks,responsabikities and net benifits if any of course,but your former gov said no!

 

[Canuck786]

https://timesofindia.indiatimes.com...r-project-under-cpec/articleshow/67529027.cms

https://sputniknews.com/asia/201901141071462886-pakistan-china-cpec/

end.

Below is the article you quoted from Dawn, Pakistan not the times of India or the sputnik news.

Govt puts major CPEC power project on hold
Khaleeq KianiUpdated January 14, 2019

ISLAMABAD: The Pakistan Tehreek-i-Insaf (PTI) government has decided to shelve a major power project pushed by the Pakistan Muslim League-Nawaz regime under the China-Pakistan Economic Corridor (CPEC) and will axe hundreds of other schemes under the Public Sector Development Programme (PSDP) later this month.

Background discussions with government officials suggest that Islamabad has officially conveyed to Beijing that it is no more interested in the 1,320MW Rahim Yar Khan power project in view of sufficient generation capacity already lined up for the next few years. It has requested the Chinese friends to formally delete the project from the CPEC list.

During the 8th Joint Coordination Committee (JCC) meeting held last month, a Pakistani delegation led by Minister for Planning and Development Makhdoom Khusro Bakhtyar “proposed to remove the Rahim Yar Khan imported fuel power plant (1,320MW) from the CPEC list, in order to provide structure optimisation space for the subsequent power market of Pakistan”, said an official, quoting minutes of the Dec 20 JCC meeting.

The Chinese side suggested that a joint study on optimisation of energy mix be carried out at the earliest.

The project was originally pushed as imported coal-based plant by Quaid-i-Azam Thermal Company of the Punjab government led by Shahbaz Sharif who used to attend meetings of the Cabinet Committee on Energy led by then prime minister Nawaz Sharif. A leading business tycoon had proposed the project and was expected to be one of the key sponsors.

The project was removed from the CPEC priority list when then bureaucracy highlighted that surplus generation capacity had already been contracted and more contracts would lead the country to ‘capacity trap’. The government had already notified a ban on capacity addition on imported fuels as early as June 2016 and the Rahim Yar Khan and Muzaffargarh coal-based plants were removed from the CPEC priority list. Among other reasons, this led to unceremonious removal of the then power secretary and head of the National Transmission Company — the system operator.

The Punjab government had pushed for revival of the plant which was included again in the priority list in subsequent CPEC negotiations, according to a federal secretary. It was not needed at all and would have been a burden on the already deteriorating financial condition of the power sector, he said, adding that Diamer-Bhasha dam was also included in the CPEC list when the coal-based projects were removed, but the dam project could also not move forward under the CPEC for unrelated reasons.

The official said the PTI government had already made up its mind to remove almost 400 “politically motivated” projects from the development portfolio as part of a comprehensive mid-year review of the PSDP later this month. Giving an example, the official said the last government had included hundreds of gas schemes in the PSDP and allocated funds even though there was no additional gas available for new connections. Many of these schemes could not take off.

“We are reviewing all such schemes in detail; we do not want to waste public funds where lien has been created or sufficient progress achieved, but we definitely don’t like to throw good money after bad,” a cabinet member told Dawn, claiming that more than 20 seats went to the PML-N in the last elections due to constituency politics of gas connections.

He said the mid-term review of the PSDP would be held in the last week of January and about Rs2 trillion worth of development projects would be revised. He said that most of the unapproved projects at the level of the Central Development Working Party or the Executive Committee of the National Economic Council and unfunded schemes would be excluded from the PSDP.

The cabinet member said that at least 400 projects included in the PSDP did not receive funding over the past four years and yet they were part of the programme. But he hastened to add that the Rs675 billion federal development budget approved by parliament in September this year would not be reduced further even though adjustments would be made where necessary to divert funds from problematic projects to more deserving ones for effective funding utilisation.

He said the PSDP used to get average Rs55bn additional funds over the past five years for development projects but most of them had not been given funds because the overall development portfolio expanded significantly. He said that all secretaries would be asked to provide unnecessary schemes under the respective ministries and divisions during the mid-year review so as to complete maximum projects in the minimum time period.

The federal government’s overall development portfolio stood at about Rs6tr and with the current pace, allocation of funds would take 9-10 years to complete even if no fresh development project was taken up, an official said. The PSDP size would remain unchanged at Rs675, but throw-forward would be significantly reduced through revision in the number of projects and their rationalised costs, he added.

Published in Dawn, January 14th, 2019

 

[RealNapster]

They still need to answer to CCP and do not give aid for free

Lets go back and repost whatwe just did.

You said china is doing a favor.

I said : loans with zero or say 1% interest rate. That would be a favor. Not a market rate of 5-5.5%.

No one asked you to give free aid.

 

[Kyle Sun]

Pakistan have supposedly “a poor infrastructure” still we get our package in 2-3 days anywhere in country. And forareas like 600-700 km away, the package reach the destination next day. And no one is asking jack ma to back our economy. It was an example better be understood with the help of context. I was conveying the point that chinese CEO’s are not driven by sentiments but business. And the example prive that point.

You really think those Chinese private companies invest that much of money in Pakistan for pure business?

 

[RealNapster]

But THE NO costs money. We have spent a lot of money to study and make a plan. Your gov shouldn't make such reckless decision to start the project in the first place.

Not actually. The government of Pakistan made a plan a did studies (if done any ). This project was part of PSDP. The fund that finance all national projects. But previous government asked china to include this in CPEC.

 

[Canuck786]

@WebMaster , @Horus , @Oscar please explain @KhalaiMakhlooq the forum rules and its violations when doctoring the news title to make it misleading.

 

[Adam WANG SHANGHAI MEGA]

China have government owned banks holding 100’s of billions of dollars.

Thank you

And give them in 0 rate to Pakistanis for 30 years and then you would feel thankful?!
If this is so,Pakistan should be a Province of CHINA not just a close ally.

Jesus,Those banks do not even give tibet and xinjiang or mongolian local gov 0 interest rate loans,no need to mention foreign gov,except some aid or special support projects with small amount.

 

[RealNapster]

You really think those Chinese private companies invest that much of money in Pakistan for pure business?

I cant be sure of any sentiments hence yah. I think so.

 

[Kyle Sun]

Not actually. The government of Pakistan made a plan a did studies (if done any ). This project was part of PSDP. The fund that finance all national projects. But previous government asked china to include this in CPEC.

Good information. Your gov is really complicated. We Chinese are used to long term plan. We won't change such huge plan overnight.

 

[RealNapster]

A

And give them in 0 rate to Pakistsnis for 30 years and then you would feel thankful.
If this is so,Pakistan should be a Province of CHINA not just a close ally.
Those banks do not even give tibet and xinjiang local gov 0 interest rate loans,no need to mention foreign gov,except some aid or special support projects with small amount.

What the flying Fcuk. I am out bro. I am out. Its morning 8 am here and i can not waste all brain cells that i intended to waste the whole day.