KARACHI, Sept 30: Differences have cropped up between the officials of the Planning Commission of Pakistan and the provincial and city governments on the mode for construction of a light-rail project on Corridor-I.
A meeting of the high-powered committee, constituted by the planning commission department, failed to reach a conclusion with regard to construction of the light rail project.
The meeting was attended by officials of the provincial and city governments, National Highways Authority, Planning Commission of Pakistan, Pakistan Railways, Karachi Mass Transit Cell, and the Secretary, Board of Revenue.
Well-placed sources said here on Thursday that the Sindh and the city governments have insisted that Corridor-I, from Sohrab Goth to Mere weather Tower, should not be built on BOT (build-operate-transfer) basis.
The officials and public representatives of the Sindh government and the CDGK were of the view that the City Nazim, Naimatullah Khan, had signed a memorandum of understanding with a Chinese firm about the construction of a light-rail project on Corridor-I at a meeting at the Sindh Governor's House. The Sindh governor was also present at the time of the signing of MoU.
They insisted that the MoU be honoured as it had been signed with consensus of the provincial and city governments which was in the larger interest of Karachiites. They said that the Chinese firm had finalized its feasibility report which would cost 600 million US dollars.
The elevated tracks would be built from Sohrab Goth to Teen Hatti bridge and underground tracks would be constructed from Teen Hatti to Mere weather Tower. The company had assured that the construction would be carried out without disturbing the traffic flow.
In the MoU, it was agreed that the funding of the project would be on the basis of suppliers/ buyers credit on easy terms on the rates prevailing in international market.
The city government would provide 10 per cent of the funds, the sources said and added that the ground-breaking ceremony of the project by the Chinese company was likely to be held in the first week of December, provided the federal government approved it.
They said that the Sindh government and the CDGK officials were of the view that the project was in the interest of the city. They contended that no such project had been built in the country so far on BOT basis and the experience of BOT should not be carried out in Karachi.
However, the officials of the planning commission opposed the project to be built on credit financing. They were of the view that the project should be built on BOT basis.
A company, Maglev, had proposed that the project be built on BOT basis which would have elevated tracks from Sohrab Goth to Tower. The Sindh and city governments had opposed the condition of the company that it should be provided land free of cost. The recommendations would be submitted to the federal government for a further action, the sources added.