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Pakistan's Infrastructure & Development- Updates & Discussions.

PSM gets second tranche of bailout package
KARACHI: The ministry of finance has released the second tranche of the bailout package worth Rs5.40 billion to Pakistan Steel Mills of Rs14.6 billion approved in July, said officials of PSM, on Wednesday.

The National Bank of Pakistan (NBP) has received a letter from the ministry, asking the bank to open letters of credit worth Rs5.40 billion for the import of raw material.

Sources said that the PSM could avail only Rs1.20 billion of total Rs5.40 billion for the import of raw materials, as the bank would deduct its pending payments from the PSM. Moreover, the PSM would also clear its utility bills pending from the tranche.

Officials said that a ship carrying 55,000 tons coal was scheduled to arrive at the PSM by Thursday (today).

“This is the first shipment of raw material, which was imported from the first tranche of the bailout package received in August.”
 
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Rural uplift: Rs130m to be spent on ‘modelling villages’ around capital
ISLAMABAD:
The Capital Development Authority (CDA) plans to spend around Rs130 million on 16 development projects in model villages around Islamabad.
The CDA Engineering Member Sanaullah Aman said this on Wednesday during a meeting of the National Assembly Standing Committee on the Cabinet Secretariat.
So far, only Rs27.5 million has been released by the CDA, Aman said, while adding that the projects will be completed within four to eight months.
“For now, we are focusing on rehabilitation work in these villages,” Aman said, explaining that the projects will deal with roads, drainage, sewerage and water supply.
There are eight model villages planned around Islamabad — Nurpur Shahan, Kuri, Margalla Town, Tarlai, Shahzad Town, Farash Town, Humak and Rawal Town — only the first three of which are within the CDA’s municipal limits, CDA Planning Member Mustafain Kazmi told the committee members.
The other five are inside the Islamabad Capital Territory, he said, while identifying why some of these villages are still without the kind of development urban Islamabad has seen.
Humak will receive the most attention in the CDA’s development plans, with Rs46 million to be spent there on five projects. Three projects will be completed in Shahzad Town at the cost of Rs18 million, according to Aman.
Farash Town, Margalla Town and Rawal Town will get Rs32 million, Rs26million and Rs12 million, respectively.
Aman said the CDA had initially devised a “stand post” water supply system for these villages, which means installing water taps over there. But now, the authority has moved towards building tube wells and a water supply network.
He said Humak has five tube wells, Margalla Town has two, Rawal Town has three, while one will be completed in Shahzad Town by December.
This is because five of these villages lie outside our municipal limits, the CDA’s municipal bylaws do not apply to them, Kazmi said. “However, the villages have still been looked after”.
“The CDA has tried to provide maximum facilities to these villages, even though we cannot charge property taxes there,” Kazmi said.
He said the civic agency had provided water, electricity and sewerage facilities to the model villages in the past.
Committee member Tariq Fazal Chaudhary, who is also the MNA for rural Islamabad, raised the issue of nonconforming use of the agro-farms around Islamabad, especially farms being used as marriage halls.
Kazmi said the deadline for the CDA’s recent notice of compliance to agro-farm owners will run out in the next four to five days. He said the CDA’s enforcement officials will take stern action against violators after the deadline, even if the farms are owned by influential individuals.
The committee was also supposed to discuss subcommittee reports on the allotment of a plot to Ilyas Cold Storage in Sector I-11/1 and the CDA-approved project for a transport system in Islamabad, but subcommittee chair Pervaiz Khan was not present at the meeting.
Meanwhile, CDA Chairman Tahir Shahbaz, who is leaving for Turkey on Thursday, did not appear at a meeting of the NA Standing Committee on the Capital Administration and Development Division on Wednesday.
Shahbaz was supposed to brief the committee members on the CDA’s development projects. Committee chair Jamshaid Ahmad Dasti ordered the committee secretary to summon the CDA chairman for the next meeting.
Published in The Express Tribune, November 8th, 2012.
Rural uplift: Rs130m to be spent on
 
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Dual track between Lahore, Karachi to be laid by March, LCCI told

LAHORE: The dual track between Lahore and Karachi will be completed by March 2013 while two more trains under public-private partnership are being started soon.

This was stated by General Manager Operations Pakistan Railways Junaid Qureshi while speaking at the Lahore Chamber of Commerce and Industry (LCCI) on Thursday.

Junaid Qureshi maintained that not a single locomotive has been added to railways fleet since 2008. He added that the Pak Railways is ready to provide track facility to private sector if it wants to run own locomotives. He said that Track Access Policy is likely to be finalized as a meeting to this regard is being held on Friday.

About trade with India, he said that the Pak railways is willing to enhance free day demurrage period from existing 24 hours to 48 hours. He said that the railways is fast heading towards revival as a number of steps are being taken to turn it into a profitable institution. He said that the Railways earned Rs 650 million more than what it earned last year.

He said that fuel and utility bills are eating up a bigger portion of federal government funding to railways. He said that since 1995 the fuel prices registered a surge of 800 per cent while railways made a raise of 105 per cent of freight train fares and 70 per cent in the fares of Passenger trains.

The GM agreed that Mughalpura Dryport needs uplift on urgent basis and would be done at the earliest to facilitate the businessmen and enhance traffic.

Speaking on the occasion, the LCCI President Farooq Iftikhar said that the business community is very much concerned with the present state of Pakistan Railways. Although many public sector enterprises are deteriorating due to poor performance and bad governance, but railways is one of the crucial sectors that affects the business community directly.

The LCCI President said that the political interference coupled with poor maintenance of tracks, locomotives, coaches, bridges and mismanagement at a wide scale are the major causes of failure of Pakistan Railways.

He urged the top management of railways to take immediate steps for improving the deteriorating situation. He stressed the need for Central Traffic Control system to avoid accidents and also improve the efficiency of trains.

The LCCI President said that the element of corruption either in the form of financial mismanagement in purchases or by way of not delivering the services with honesty and dedication is the main cause of this crisis in Railways. In 2003, Pakistan Railways purchased 69 completely built locomotives from China and in less than a decade almost 32 of these have been scrapped.

He said that Pakistan Railways has been left with a fleet of around 100 locomotives to run its entire operation, including 200 train and freight services. Shortage of over 400 locomotives will surely lead to further breakdowns of power vans in midways.

The LCCI former Vice President Aftab Ahmad Vohra and Executive Committee Member Amjad Chaudhry said that the railway authorities are providing facilities to Prem Nagar Dry port while ignoring the Lahore Dry Port, which is under its own possession and control.

Dual track between Lahore, Karachi to be laid by March, LCCI told
 
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Thermal Power Plants: ministry asked to ensure provision of fuel

Prime Minister Raja Pervez Ashraf has directed the Ministry of Petroleum and Natural Resources to work in close co-ordination with the Ministry of Water & Power and ensure provision of fuel to Thermal Power Plants so that power generation in the country is maintained at the optimum level.

This directive was given by the Prime Minister in his meeting with Advisor on Petroleum, Dr Asim Hussain here on Friday. The Prime Minister further directed the advisor to ensure uninterrupted supply of gas to domestic consumers during winter. He asked him to sensitise the people about the winter plan through effective media campaign. The Prime Minister said that as winter sets in, the demand for gas would increase.

It is necessary that foolproof arrangements be made to ensure that supply of gas to domestic consumers remain unaffected, he added. Dr Asim said it was expected that the flow of direct foreign investment in Pakistan for investment in petroleum and gas sectors would increase as a result of the new Petroleum Policy.

Thermal Power Plants: ministry asked to ensure provision of fuel | Business Recorder
 
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Rs100bn released so far for development projects
ISLAMABAD: The Planning Commission of Pakistan has so far released Rs. 100 billion under its Public Sector Development Programme (PSDP) against the total allocations of Rs. 233 billion for the fiscal year 2012-13, according to the latest data of the commission released here.

Out of total Rs. 55.4 billion have been released for 344 infrastructure development projects while Rs. 41.5 billion for 673 social sector projects.

Similarly, Rs. 1.1 billion have been released for 68 other projects and Rs. 2 billion for Earthquake Reconstruction and Rehabilitation Authority (ERRA).

According to data, these releases have been made against Rs. 233 PSDP allocations.

It is pertinent to mention here that the total size of the PSDP for the year 2012-13 is Rs. 360, including Rs. 100 billion foreign aid, which is managed by Economic Affairs Division and Rs. 27 billion special programmes, release of which are made by Cabinet Division or Finance Division.

According to break up details the total cost of 344 infrastructure projects has been estimated at Rs. 2346.4 billion, out of which Rs. 210.9 billion have been earmarked in the 2012-13 budget that include Rs. 85.6 as foreign aid.

Likewise, the total cost of social sector projects is Rs. 547.1, of which Rs. 136.2 billion have been allocated in the current PSDP with foreign aid of Rs. 8.4 percent.

The cost of other projects has been estimated at Rs. 40.6 billion out of which Rs. 3 billion have been earmarked in the PSDP 2012-13 while Rs 10 billion have been earmarked for ERRA in the current development programme.

The Planning Commission of Pakistan has been following a proper mechanism for the release of funds and accordingly funds are released as per given mechanism.

The commission releases 20pc of funds in first quarter (July September), 20pc in second quarter (October December), 25pc third quarter (January March) and 35pc in fourth quarter (April June).

Copyright APP (Associated Press of Pakistan), 2012
Rs100bn released so far for development projects
Why cant we have elections every year? :D
 
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Government wants to establish EPZ in Multan
Government wants to establish export processing zone (EPZ) in Multan to boost up the exports from southern Punjab, said Saif-ur-Rehman of Export Processing Zone Authority (EPZA) while talking to the body of Multan Chamber of Commerce and Industry (MCCI) headed by its president Muhammad Khan Saddozai here today.

He said that MCCI should establish an office of EPZA in its building to execute this project as early as possible. Saif-ur-Rehman told that Export processing zone would be exempted of load shedding of electricity and gas and the investors could import machinery, spare parts and tools free of duty for a specific period. He further said that 80 percent products manufactured there would be exported and 20 percent could be sold in local market. There would be a separate security system.

The meeting was also attended by Senior Vice President Bakhtawar Tanvir Sheikh, former presidents of MCCI Khawaja Muhammad Abdullah, Mian Mughis'A Sheikh, Khawaja Muhammad Hussain, Khawaja Muhammad Usman and Khurram Javed. They said that EPZ project was pending since 2003 due to the reasons best known to the authorities.

| Business Recorder
 
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In 2010, plagued by ceaseless monsoon rainfall, Pakistan encountered its worst recorded flooding in recent history. In the Khyber Pukhtoon Khwa, the river Swat flooded its banks, and within days, engulfed huge areas of the local countryside. The unrelenting water swept away everything in its path causing death and destruction of an unheard scale in the popular tourist destination. Situated almost entirely amongst a chain of mountains and dissected entirely by the mighty river, the Swat valley is home to some of the roughest terrain imaginable, making relief and rehabilitation efforts a laborious undertaking for the Pakistani government as well as for local and international relief organizations.

Severely affected by the flood, the people of Swat lost bridges, schools and hospitals, and got their crops destroyed and their livestock washed away. This complete extermination of infrastructure has resulted in a widespread outbreak of disease as access to clean water and medical care is no longer available. Similarly, the loss of a great number of schools has cast a dark shadow over the education future of thousands of students, as the bridges, vital connecting points between communities and sources of access to commerce and mobility have been wiped out. Forced into living and studying in tents, confined to communities struggling for survival and cut off from the rest of the world, the people of Swat have lost not only their lives, homes and belongings; they have also lost hope. Unable to cope with the sheer scale of the disaster, Pakistan issued an international call for aid and assistance. Fittingly, the first country to answer that call was the United Arab Emirates. The government of the UAE felt that it was not a matter of responsibility but a call of duty to provide any support that the people of Pakistan required in their darkest hour. A duty born out of years of trust, friendship and solidarity between the two countries; this would be one more act of brotherhood between two nations that have always shared each others’ pain and joy over the years.

On the 12th of January, 2011, the UAE Pakistan Assistance Program was launched in order to help and provide assistance to Pakistan and mitigate the impact of floods by redeveloping infrastructure, as per the directives of His Highness Sheikh Khalifa Bin Zayed Al Nahyan, the President of the United Arab Emirates. The UAE PAP has worked along a comprehensive redevelopment plan that takes into account the harsh geography and the rough weather conditions of the region while focusing on four main areas of social redevelopment: health, education, water and infrastructure. The Program has taken some vital steps to ease the pain and suffering that the people of Swat have become accustomed to as it provided for the construction and rehabilitation of two bridges, 52 schools and 7 hospitals, as well as the implementation of 64 water supply schemes.

In unified collaboration, the Pakistan Army and the UAE PAP have handed over all 64 water schemes, 21 schools and a bridge in one year of operations. Projected to service 5000 cars daily, the bridges have ensured access to transport and commerce to communities in desperate need of economic and social uplift while the water supply schemes have provided around 1200 families with the most precious gift of all: clean drinking water. Most importantly, 21 schools are already operational and providing countless children with access to education and the chance that they deserve for a better future, not only for themselves but for the people and valley of Swat.
Partners

The UAE Pakistan Assistance Program signed a Memorandum of Understanding with Pakistan on the 10th of December, 2010 in Islamabad. After an immediate survey of the affected areas, work started at a rapid pace, keeping within schedule on all fronts. The Sheikh Khalifa Charity Foundation has provided funds for all infrastructure projects.

SOS English on Vimeo
 
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Dual track between Lahore, Karachi to be laid by March, LCCI told

LAHORE: The dual track between Lahore and Karachi will be completed by March 2013 while two more trains under public-private partnership are being started soon.

This was stated by General Manager Operations Pakistan Railways Junaid Qureshi while speaking at the Lahore Chamber of Commerce and Industry (LCCI) on Thursday.

Junaid Qureshi maintained that not a single locomotive has been added to railways fleet since 2008. He added that the Pak Railways is ready to provide track facility to private sector if it wants to run own locomotives. He said that Track Access Policy is likely to be finalized as a meeting to this regard is being held on Friday.

About trade with India, he said that the Pak railways is willing to enhance free day demurrage period from existing 24 hours to 48 hours. He said that the railways is fast heading towards revival as a number of steps are being taken to turn it into a profitable institution. He said that the Railways earned Rs 650 million more than what it earned last year.

He said that fuel and utility bills are eating up a bigger portion of federal government funding to railways. He said that since 1995 the fuel prices registered a surge of 800 per cent while railways made a raise of 105 per cent of freight train fares and 70 per cent in the fares of Passenger trains.

The GM agreed that Mughalpura Dryport needs uplift on urgent basis and would be done at the earliest to facilitate the businessmen and enhance traffic.

Speaking on the occasion, the LCCI President Farooq Iftikhar said that the business community is very much concerned with the present state of Pakistan Railways. Although many public sector enterprises are deteriorating due to poor performance and bad governance, but railways is one of the crucial sectors that affects the business community directly.

The LCCI President said that the political interference coupled with poor maintenance of tracks, locomotives, coaches, bridges and mismanagement at a wide scale are the major causes of failure of Pakistan Railways.

He urged the top management of railways to take immediate steps for improving the deteriorating situation. He stressed the need for Central Traffic Control system to avoid accidents and also improve the efficiency of trains.

The LCCI President said that the element of corruption either in the form of financial mismanagement in purchases or by way of not delivering the services with honesty and dedication is the main cause of this crisis in Railways. In 2003, Pakistan Railways purchased 69 completely built locomotives from China and in less than a decade almost 32 of these have been scrapped.

He said that Pakistan Railways has been left with a fleet of around 100 locomotives to run its entire operation, including 200 train and freight services. Shortage of over 400 locomotives will surely lead to further breakdowns of power vans in midways.

The LCCI former Vice President Aftab Ahmad Vohra and Executive Committee Member Amjad Chaudhry said that the railway authorities are providing facilities to Prem Nagar Dry port while ignoring the Lahore Dry Port, which is under its own possession and control.

Dual track between Lahore, Karachi to be laid by March, LCCI told

Pakistan Govt. should privatize the railways by selling 21% shares in Stock Market and 49% to those Pakistanis who can manage the railways well and keep 30% share on it as to gain some profit from it.... I am sure this can change the whole railways as well as PIA too...
 
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Pakistan voids gold, copper lease held by Barrick consortium ISLAMABAD — AGENCE FRANCE-PRESSE Last updated Monday, Jan. 07 2013, 8:44 AM EST A man walks past the Supreme Court building in Islamabad on July 12, 2012. (FAISAL
MAHMOOD /REUTERS) Pakistan’s top court on Monday declared invalid a lease for one of the world’s richest
deposits of gold and copper held by a Canadian-Chilean consortium that includes
Vancouver-based giant Barrick Gold Corp. Barrick, the world’s largest gold producer, and Chile’s Antofagasta Minerals, each own a
37.5-per-cent share, as the Tethyan Copper Company, in the largest Foreign Direct
Investment mining project in Pakistan. precious metals Wooing shareholders back to gold mining precious metals Gold producers need to stop piling on debt, S&P
warns Canadian miner’s innovative undersea project halted in Papua New
Guinea Their plan was to build and operate a copper and gold open-pit mine at Reko Diq in the
Chagai district of the southwestern province Baluchistan, the most deprived part of
Pakistan, rife with Taliban, sectarian and separatist violence. Barrick and Antofagasta say the proposed plant could produce 600,000 tons of copper
and 250,000 ounces of gold a year, but in 2011 work came to a standstill after the local
government refused to renew the consortium’s mining lease. The provincial government in Baluchistan is also the sleeping partner in the Reko Diq
project with a 25-per-cent stake. Reasons for the dispute are murky, but some analysts suggest that China, a close
Pakistan ally, is also interested in the deposits. Pakistan’s Supreme Court on Monday declared “not valid” the initial 1993 exploration
agreement between the Baluchistan government and Australian mining group BHP,
since BHP Billiton Ltd. It said the agreement ran counter to Pakistan’s mineral development act and mining
concession rules, and therefore to transfer it to the Canadian-Chilean consortium is also
“illegal, void and non est”. Experts say mining in Baluchistan is dominated by small companies focused primarily on
marble and granite, which waste up to 80 per cent of mined minerals because of poor
blasting techniques. They also call for more transparent polices to allow business to flourish.
 
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Now Talibans are in Rekodik¿
Most likelgovt and Dawn of judiciary need re-negotiate .
 
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Federal Minister for
Finance Dr Abdul Hafeez Shaikh
invited the General Electric Company
(GE) to invest in Pakistan particularly
in sectors where it had global expertise
like aviation, transport, railways,
energy and alternate energy.
General Electric Company Vice
Chairman John Rice expressed keen
interest for investment in various
sectors in Pakistan particularly
supplying locomotives to Pakistan
Railways and set up a wind energy
projects in the country while
exploring other investment
opportunities.
Shaikh said that Pakistan offered a
favourable environment for foreign
investment and assured full support
and facilitation of the government
for investment by the Fortune 500
company.
GE’s vice chairman Rice expressed
his gratitude to the Government of
Pakistan for providing attractive
opportunities for foreign investment
in the country. He thanked finance
minister Shaikh for his continuous
support to the private sector
businesses and attracting
investment by guiding foreign
investors.
Rice appreciated the policies of the
Ministry of Finance in promoting a
business-friendly environment.
GE is a US-based multinational
conglomerate corporation and
operates through four segments:
Energy, Technology Infrastructure,
Capital Finance and Consumer and
Industrial. In 2011, GE ranked
among the Fortune 500 as the sixth-
largest firm in the US by gross
revenue, as well as the 14th most
profitable.
 
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Pakistan-Mining and Quarrying



Through the 1980s, development of mining was discouraged by the absence of venture capital and the limited demand for many minerals from domestic industries. The slow development of mining was due in part to the remoteness of the areas where most minerals are found, which adds greatly to the costs of exploration, production, and transportation. Moreover, some of these areas have a poor reputation for law and order. By the early 1990s, mining was of little importance to the economy, despite the presence of fairly extensive mineral resources. Foreign companies have been invited to bid for concessions for mineral extraction.

Minerals include antimony, bauxite, chromite, copper, gypsum, iron ore, limestone, magnesite, marble, molybdenum, rock salt, and sulfur. Much of the mineral wealth is found in Balochistan. In FY 1992, mineral production included 8.5 million tons of limestone, 833,000 tons of rock salt, 471,000 tons of gypsum, and 6,333 tons of magnesite. Some iron-ore deposits are of good enough quality for use in the country's steel plant, but in FY 1992 production was only 937,000 tons.

The Saindak Integrated Mineral Project, managed by the stateowned Resource Development Corporation, was developed in the 1980s and early 1990s, but in 1993 there were as yet few results. Located in Balochistan, the project area contains three separate large deposits of copper ore, gold, iron ore, molybdenum, silver, and sulfur.

what are we doing about these resources - nil / nada / zilch
 
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A memorandum of understanding (MoU) was signed between Punjab government and German company AEG for cooperation in solar energy sector a few moments ago. “German Power Generation Company AEG will invest 1billion dollar for 400MW solar energy projects in Punjab”, said the CM while addressing a press conference after the MoU was signed. “50 to 100 megawatt solar energy projects will be set up in Cholistan and groundbreaking ceremony in this regard will be held soon. These projects will start functioning by June 2013 inshaaAllah”, remarked the CM. CM Shahbaz Sharif also said that there are vast opportunities of investment in hydropower projects in Punjab as well as a great potential of investment in coal and solar power projects and he is glad that German company is investing around 100billion rupees here in Punjab on solar projects. Another MoU was signed with Austrian Company “Andritz Hydro” which aims at generating 300MW through Windmill and Hydropower.
“I have brought foreign investment in Punjab to cope with energy crisis but the sovereign guarantee is yet to be provided by the Federal Govt. as per law and I hope they don’t create any hurdle in these power generation projects. It is the credibility of my govt. that these companies are investing in Punjab Alhumdulillah”, said the CM
 
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18 rs/unit for solar power..will this solve our problem..answer is a very big no...we need hydro power with 6rs/units for private investment and 1 unit if govt does investment that can be brought online within 5 years..
for short term we need coal converstion that will give 6rs/ units for local coal(which isnt ready thnx to zardari) and coal importd (10-12 rs/unit)

our policy makers are pure idiots..even the biggest econmies(like india and china) are not going for solar due too much due to cost(instaead relying on coal) otherwise all of govt would have signed the document to decrease CO2 out put /green house gases..!!!!!
 
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