Sindh 3 More Cpec Projects

China Pakistan Economic Corridors (CPEC) authorities approve inclusion of 3 Sindh projects (CPEC News)

China Pakistan Economic Corridors (CPEC) have in principle approved inclusion in the China-Pakistan Economic Corridor (CPEC) of three development projects in Sindh including the Karachi Circular Railways, Keti Bandar and Special Economic Zones, Sindh Chief Minister (CM)  Murad Shah House said Friday (cpec news Media) .

The decision was taken in the 7th Pakistan China Joint Cooperation Committee (JCC) meeting regarding China Pakistan Economic Corridors (CPEC) held in Beijing which Sindh Chief Minister (CM) Murad Shah attended along with his provincial cabinet members.

The Pakistani delegation led by Planning and Development Minister Ahsan Iqbal also included Chief Ministers of Punjab Mian Shahbaz Sharif, Baluchistan and Khyber Pakhtunkhwa (kpk). The Vice Chairman of National Development and Reforms headed the Chinese delegation.

After a presentation by the Sindh Chief Minister, the China Joint Cooperation Committee (JCC) decided to include the projects and asked the Sindh government to present a feasibility report within next three to fourth months (CPEC News Media).

It was expected that the Chinese government would announce financing of $1.1 billion Dollars for the completion of the three projects under the China Pakistan Economic Corridors (CPEC). The amount was to be spent on the construction of three additional routes related to the western route of the China Pakistan Economic Corridors (CPEC), according to the CPEC Media News officials.

 Sindh Chief Minister (CM) Murad Shah case for Karachi Circular Railways (KCR)

Sindh Chief Minister (CM) Murad Shah made a case for Karachi Circular Railways at the meeting, saying to CPEC Media News that the provincial capital is one of the most populated cities in the world, with an estimated population of around 25.5 million people in 2016 ─ which is a number greater than other city of countries like Tokyo, Guangzhou, Seoul, Delhi, Mumbai, Mexico City, New York, Sao Paulo, Manila and Jakarta.

Karachi's population estimated to touch 34.4m by 2030 Sindh Chief Minister (CM) Murad Shah said!

The population of the city will touch 34.4m by 2030, Chief Minister (CM) Murad Shah said "Therefore, there are ample returns on investment if made in the city."

Why Chief Minister (CM) Murad Shah thinks there is a need for Karachi Circular Railways (KCR):

Daily ridership on Karachi Circular Railways (KCR) of 70,001 passengers per day
3.8m registered vehicles in Karachi
25m trips generated daily
6,458 buses run 193 routes
2,716 contract carriages operating in Karachi
86pc buses over two years old, inefficient fuel consumption and poor service
47.4pc of all vehicles are motorcycles, 36.6pc private vehicles, 4.6pc public transport, 1.8pc contract carriages and 10.1pc Para transit

41pc of passengers use public transport, 22pc private cars, 20pc motorcycles, 11pc contract carriages and 9pc para-transit (CPEC News Media Reports)
Chief Minister (CM) Murad Shah pointed out that the burden of about 41pc of passengers fell on public transport, whereas private vehicles catered to only 22pc of commuters.

Chief Minister (CM) Murad Shah said to cpec News Media that solution of the problem lies in an effective mass transit system which includes the revival of the Karachi Circular Railways (KCR), the Bus Rapid Transit System, and the Light Rail Transit.

The Karachi Circular Railways (KCR) was first commissioned in 1964 and remained an effective transportation system until 1984, he said. Due to certain reasons such as increased running time and lack of investment reduced its operational efficiency, Chief Minister (CM) Murad Shah added. As a result, ridership fell and finally caused its closure in 1999.

The Karachi Circular Railways (KCR) project has been approved by the Executive Committee of the National Economic Council (Ecnec), the Sindh (CM) Chief Minister (CM) Murad Shah said.

A feasibility study was carried out along with third-party validation of the study, (CM) Chief Minister (CM) Murad Shah said. An Environmental Impact Assessment has also been conducted and a relocation of utility services is not required, (CM) Chief Minister (CM) Murad Shah said to CPEC media Cell.

Karachi Electric has assured uninterrupted power supply for the project, (CM) Chief Minister (CM) Murad Shah said assured investors, and federal and provincial taxes are exempt on the project.

Integration with BRTS lines has been made and the institutional framework in the shape of the Karachi Urban Transport Company (KUTC) is available,Chief Minister (CM) Murad Shah said to (CPEC Media Cell).

The Japanese have estimated the cost of the Karachi Circular Railways (KCR) at about $2.7bn and developed the investment structure as 86pc debt financing and 16pc equity financing by the provincial and federal governments, Chief Minister (CM) Murad Shah said to (CPEC Media Cell).

The Internal Rate of Return is estimated at 13.9pc, he said, and the economic benefits include reduced vehicle operation cost and travel time cost.

He invited investors to contribute in the equity of Karachi Circular Railways (KCR) along with federal government and Sindh government. He added that equity IRR compatible with infrastructure projects currently being developed in Pakistan would be offered to the investors (CPEC Media).

Chief Minister (CM) Murad Shah sought Chinese cooperation to include the project in the China Pakistan Economic Corridors (CPEC) after Prime Minister of Pakistan Mian Muhammad Nawaz Sharif approved its inclusion in the initiative and provided a sovereign guarantee.

The China Joint Cooperation Committee (JCC) decided to include the project and asked the Sindh government to present its feasibility within the next three months, upon which Chief Minister (CM) Murad Shah directed the Transport Minister Syed Nasir Shah to expedite work on the feasibility of the projects within the stipulated time (CPEC Media News).