PESHAWAR: NWFP government on Monday expressed optimism it will succeed to get notification as well receive schedule for payment of Rs110 billion of Net Hydel Profit (NHP) in the coming National Finance Commission (NFC) meeting scheduled for October 29-30 in Peshawar.

The National Finance Commission (NFC) team of NWFP also expected that the provinces will succeed in including Cost of Conflict (CC) of the anti-terror war in the formula to be devised for fiscal transfer from divisible pool while demand for vertical transfer will be 80:20, urging the center to give 80 per cent share to the province and keep 20 per cent share with itself.

Briefing media about the coming meeting of NFC in Peshawar, members of NWFP NFC team Hajji Mohammad Adeel, Finance Minister Hamayun Khan and Advisor on NFC Khalid Aziz said the center had agreed in principal that it will pass the mega project of Chasma Right Bank Canal (CRBC) to irrigate the barren land of NWFP. The project will cost Rs60 billion and will be approved as non-Public Sector Development Program (PSDP).

Advisor on NFC Khalid Aziz while elaborating various proposals forwarded by the NWFP government for the NFC award said the distribution from the divisible poll must be based 70 per cent on population, 10 per cent on security, 10 per cent on poverty and 10 per cent on Human Development Indicators.

Khalid Aziz informed that the situation in NWFP was demanding that at least for five years, security and war conflict must be made part of NFC as new employment in police, construction of new police stations in Malakand and providing latest equipments to security forces demands continuous expenditure which the province could not meet from its own resources.

NWFP, he said will insist on its demand to include Cost of Conflict in NFC as security situation in 11 districts of NWFP was not satisfactory, constant displacement of population was continuing in the province, suicide bombings and attacks on public were taking place, poverty was rising from 40 per cent in the province while the industrial and commercial output was decreasing in the insurgency stricken NWFP.

The indicative cost of conflict for 2011 will exceed 306 billion which includes direct cost on IDPs, additional policing cost, sector wise damage assessment, compensation to families for death, injury and damage, he added saying in addition the province will lose 2.1 per cent of GDP, provincial receipts will go down due to reduced collection rate, reduction in federal receipts, total loss of revenue, reduction in donors support and other sectors.

Hajji Mohammad Adeel, said the approval of CRBC-1 will be a big success for NWFP and that the province will succeed in getting a presidential order along with schedule sheet for the payment of Rs110 billion in NHP. We have no concern with Wapda, center will be asked to pay the amount, Adeel remarked.

To a question Khalid Aziz said NWFP had proposed Insurgency Indicators that include 60 per cent share for High Risk and 40 per cent for Medium Risk. High Risk areas will include where military was deployed, death ratio in insurgency exceeded 1,000 and 500,000 people had migrated or become IDPs.—PPI