Slow pace of work on CPEC irks Chinese companies

[FOOLS_NIGHTMARE]

A Senate panel on Thursday expressed concern over the slow pace of development on the China-Pakistan Economic Corridor (CPEC) and dissatisfaction being expressed by the Chinese companies over the negligible progress over the past three years.

While presiding over the Senate Standing Committee on Planning and Development, its Chairman Saleem Mandviwalla said the Chinese were not satisfied with the pace of work on CPEC and no progress on the portfolio was seen during the last three years. “They are crying”, said Mr Mandviwalla, adding the “Chinese ambassador has complained to me that you have destroyed CPEC and no work was done in the past three years,” he said.

Special Assistant to the Prime Minister on CPEC Affairs Khalid Mansoor also endorsed Mr Mandviwalla saying the Chinese companies were not satisfied with the government’s institutions and their pace of work. He said he himself was not satisfied with the progress of work on Gwadar Airport and assured the panel that things were now on recovery mode.

Mr Mansoor, who recently joined the government after it removed former CPEC Authority chief Asim Saleem Bajwa, briefed the committee on the issues faced by the investors in terms of compliance with investment and agreement of CPEC – Phase 1 Power Projects. These included payment issues of independent power projects (IPPs), long outstanding overdues, establishment of revolving account for automatic payments and increase in withholding tax (WHT) on sponsors’ dividends post investment to 25pc from 7.5pc.

He said the authorities now plan to set up a investment facilitation centre to offer One Window Operation to all Chinese investors. He said 135 Chinese companies were operating in Pakistan on CPEC and other projects and top priority was now to revive the confidence of those working on CPEC.

On the financial and physical progress of all major CPEC projects, the committee was informed that 21 projects of $15.7bn were completed. Of this, 10 were power projects of 5,320MW and HVDC transmission line amounting to $9.6bn, five infrastructure — Roads, Mass Transit and Optical Fibre amounting to $5.8bn, two projects relating to Gwadar Port and Free Zone and City Master Plan amounting to $300 million, four Social Economic Development amounting to $140m. A total of 31 projects amounting to $9.3bn are under implementation and 36 projects worth $28.4bn are under consideration.

Mr Mandviwalla expressed resentment that proposals and recommendations of the committee on various development projects at provincial and federal level were not considered by the Planning Ministry for inclusion in PSDP.

Planning Minister Asad Umar said the final approval of the PSDP projects was given by the National Economic Council (NEC). “The NEC approval is final,” he added, explaining that March 31 next year would be the last date for any project to be taken to the NEC. The committee directed that relevant sections should pre-plan for the next year so that projects required at federal and provincial levels could be sent to the planning ministry before February.

Slow pace of work on CPEC irks Chinese companies

Special Assistant to the Prime Minister on CPEC Affairs Khalid Mansoor assures Senate panel things are now in recovery mode.

www.dawn.com

 

[Baz2020]

I saw the word irk... Typical jaahil sahafi and fake news

 

[FOOLS_NIGHTMARE]

I saw the word irk... Typical jaahil sahafi and fake news

Govt needs to accelerate CPEC projects as China shows displeasure over progress: Saleem Mandviwalla

Govt needs to accelerate CPEC projects as China shows displeasure over progress: Saleem Mandviwalla - Daily Times

ISLAMABAD: Saleem Mandviwalla, the chairman of the Senate standing committee, in a meeting asked the government to speed up the China-Pakistan Economic Corridor (CPEC) projects as Beijing is “not happy with the current progress,” Daily Times reported. “According to my sources, the Chinese are...

dailytimes.com.pk

 

[H!TchHiker]

Lol special assistant to PM endorsed his reservation ...It looks CPeC is slow down deliberately by this government...remember the words of Razzak dawood to put it on hold ...that was actual policy ...and later many other ministers cast doubts ...no point in hiding it ...we were towing US line on this .

 

[HammerHead081]

CPEC has been halted since PTI came, it only went to Phase 2 because existing projects finished. There are no new projects.

 

[Patriot forever]

Lol special assistant to PM endorsed his reservation ...It looks CPeC is slow down deliberately by this government...remember the words of Razzak dawood to put it on hold ...that was actual policy ...and later many other ministers cast doubts ...no point in hiding it ...we were towing US line on this .

Yes many Chinese companies projects were cancelled in the energy sector. 2 imported coal power projects were rolled back.

You need to think for your country first whether they are in our interest or not, and not become a golden goose for others.

Except the energy sector all other projects are on track.

Besides instead of flat out high ROI sovereign backed investments, many projects are being considered on BOT basis.

 

[Falconless]

Isn’t the railway project on hold because of Pakistan insisting on open and transparent bids for the construction contracts while China is insisting on a single turn key contract given to the companies she deems suitable?

 

[LeGenD]

Lol special assistant to PM endorsed his reservation ...It looks CPeC is slow down deliberately by this government...remember the words of Razzak dawood to put it on hold ...that was actual policy ...and later many other ministers cast doubts ...no point in hiding it ...we were towing US line on this .

Not true. Pakistan's economic situation and capacity to accomodate CPEC projects are significant factors. CPEC have its costs as well (nothing is free).

How CPEC hurdles can be overcome - Global Times

www.globaltimes.cn

Pakistan should also decide which projects can be best for its needs.

 

[Patriot forever]

Not true.

How CPEC hurdles can be overcome - Global Times

www.globaltimes.cn

Yes exactly apart from some projects in the energy sector. CPEC is on track.

Renegotiation on some running energy sector projects by Chinese companies is also a bone of contention. Pakistan can not afford such high cost of electricity be it our public or industries.

Pakistan is trying to rollover $3b payment in terms of interest and profits to these companies, which is calculated to cost an increase in tariff of upto 4Rs / unit.

Direct Chinese government projects in CPEC based on concessional loans and grants are well on track. Pakistan is negotiating on some major projects (especially ML1) to get funded on direct concessional loans instead of sovereign backed high rate commercial loans with high guaranteed returns by Chinese companies.

 

[H!TchHiker]

Yes many Chinese companies projects were cancelled in the energy sector. 2 imported coal power projects were rolled back.

You need to think for your country first whether they are in our interest or not, and not become a golden goose for others.

Except the energy sector all other projects are on track.

Besides instead of flat out high ROI sovereign backed investments, many projects are being considered on BOT basis.

The person in charge of CPEC as PM special minister endorsed the headline or wording ...I think he is in charge ..also words of federal advisors carry more weights

Not true. Pakistan's economic situation and capacity to accomodate CPEC projects are significant factors. CPEC have its costs as well (nothing is free).

How CPEC hurdles can be overcome - Global Times

www.globaltimes.cn

Pakistan should also decide which projects can be best for its needs.

Ok then special advisor to Pm on CPEC is lying ... Government itself is lying ..don't know then who to believe the one in charge or others

 

[Patriot forever]

The person in charge of CPEC as PM special minister endorsed the headline or wording ...I think he is in charge ..also words of federal advisors carry more weights

This is what I am saying if you understood my post.

We are not willing and negotiating further on terms and conditions, mode of funding via commercial banks ROI etc. Many of these projects we simple don't need like imported coal based IPP's. He was highlighting those aspects. Most of them are concentrated in energy sector. The story covers just one negetive aspect and trying to make a narrative about whole of the project ( typical Dawn).

Even the hydro projects signed and work ongoing are better negotiated and progressing.

The projects that are crucial such as mitriari power transmission or DI Khan motorway etc are well on track and became operational ( DI motorway in Oct I think) . Gawadar east bay road etc. Shipward expansion and new facilities are all progressing well.

If you want to see the overall picture listen to Chinese ambassador statements. CPEC phase 2 especially the industrial zone part is progressing excellently, even the land prices is rising.

The projects where we hit a snag, don't fret on it, it's a normal component of investment deals. Both sides negotiate to get the best for themselves. Unlike in the past we need to make sure that these projects are actually affordable.

 

[tower9]

It is very slow. Compare the speed at which sihanoukville in Cambodia is being built vs gwadar, which is still sand at this time.

 

[Microsoft]

CPEC has been halted since PTI came, it only went to Phase 2 because existing projects finished. There are no new projects.

What's the benefit of adding new projects if the old ones are not showing progress?

 

[HammerHead081]

What's the benefit of adding new projects if the old ones are not showing progress?

What old projects haven't shown progress? All the energy projects have helped us massively and there is very low loadshedding.

 

[Chris Logan]

unfortunately, the AF-Pak region will be more unstable. there will be more delays.