Final presentation cpec
- 2. Sequence of Presentation • Introduction • Scope of Study • Prospective socio economic benefits • Controversies attached with the project • Role of provinces and other departments • Analysis and conclusion • Workable strategies 5/3/2016 "Pakistan launches strategic port". BBC News. 2007-03-2RAG- IV 2
- 3. Team RAG-IV • Mr. Asad Ullah Larik (Pakistan Customs Service) • Mr. Anwar Ul Haq Azad Capt. (R) (Pakistan Administrative Service) • Munawar Ali Mithani (Ex-PCS) • Nisar Ahmed Burki (IRS) • Rizwan Bashir (Pakistan Customs Service) 5/3/2016 RAG-IV 3
- 4. Introduction • China hopes that Pakistan plays a greater constructive role in regional and international affairs. We would like to work with Pakistan to safeguard peace, stability, development and prosperity in the world” …..Sun Weidong, China’s Ambassador to Pakistan. RAG-IV5/3/2016 4
- 5. Scope Prospective Socio Economic Benefits Controversies attached with the Project Role of Provinces Role of Planning commission, WAPDA, PPIB and MoF Strategy both at Strategic and Operational levels for Short and Medium term to enhance Socio-economic condition of the Country 5/3/2016 RAG-IV 5
- 6. PROSPECTIVE SOCIO-ECONOMIC BENEFITS 5/3/2016 RAG-IV 6
- 7. Prospective Socio-Economic Benefits • China’s investment surpasses all foreign investments • Investments of $274 billion- GDP will increase by 15 % • Provincial harmony- better connectivity • Expected energy generation-17045MW • Encouragement for foreign countries to invest in Pakistan • Increased productivity in industrial sector & Allied activities 5/3/2016 RAG-IV 7
- 8. Prospective Socio-Economic Benefits • Special Economic Zones export oriented industries • Increase in HDI-Baluchistan and KPK and Sindh • Opening in Job Opportunities • Communication network-1300 Km long fiber optic fiber project amounting to 44 million$ • Reduced dependence on IMF and World Bank • Income from cargo handling, freight etc 5/3/2016 RAG-IV 8
- 9. Prospective Socio-Economic Benefits • Cooperation in Interdiction of narcotics with China • Increase in Tourism • Image building of Pakistan • Poverty reduction • Transport sector Expansion • Infrastructure development Rail & Road Sea, air and Dry Ports 5/3/2016 RAG-IV 9
- 10. Controversies attached with the Project 5/3/2016 RAG-IV 10
- 11. Controversies attached with the Project • Route Dispute • Whether Punjab oriented? • Demography of Gwadar • Control over resources • Internal displacement & compensation • Location of economic zones • Orange line project • Indian Objections on route 5/3/2016 RAG-IV 11
- 12. Role of Provinces 5/3/2016 RAG-IV 12
- 13. Role of Provinces • Ownership of CPEC • Provision of land and allied services • Law and order situation • Awareness and consensus building • Security assistance to law enforcement agencies 5/3/2016 RAG-IV 13
- 14. Role of Provinces • Identification of commercially viable sites for SEZs • Land acquisition • Constitution of Committee to monitor progress of projects at provincial level • Skilled and Technical Work force for upcoming projects • Strengthening provincial P&D departments and BOI to liaison with Federal government 5/3/2016 RAG-IV 14
- 15. Role of Planning Commission, WAPDA, PPIB, and MoF 5/3/2016 RAG-IV 15
- 16. Role of Planning commission oScientific planning for all projects and coordination with provincial P&Ds and BOIs oRelease and update information regarding: oRoutes oEconomic zones oEnergy projects oExpeditious approval of projects oTimely and effective meeting of 10xmember of steering committee oCost benefit Analysis of the projects 5/3/2016 RAG-IV 16
- 17. Role of WAPDA • Finalization of hydro power projects at upper Indus • Up-gradation of transmission lines • Construction of new Grid stations • Acquisition of Land for installation of transmission lines and grids • Expedite surveys and feasibility reports 5/3/2016 RAG-IV 17
- 18. ROLE OF MINISTRY OF FINANCE • Analysis of time frame and payback modality • Cost benefit analysis of soft loans • Timely release of funds 5/3/2016 RAG-IV 18
- 19. ROLE OF PUBLIC POWER & INFRASTRUCTURE BOARD • One Window Facilitator • Recommend and facilitate development of power policies • Coordinate with Provincial governments, AJK and regulatory bodies in implementation of power policies • Execute, administer and monitor contracts awarded under CPEC • Expedite existing and new power projects 5/3/2016 RAG-IV 19
- 20. Analysis & Conclusions 5/3/2016 RAG-IV 20
- 21. Strengths • Infrastructure Development • Industrialization • Energy sufficiency • Employment Weaknesses • Corruption • Poor Human Resource • Fledgling consensus 5/3/2016 RAG-IV 21
- 22. Opportunities • Human Resource development • Room for negotiation • Provincial harmony Threats • International Conspiracies • Terrorism • Separatist Elements • Political Instability • Climate Degradation • Local manufacturing industry 5/3/2016 RAG-IV 22
- 23. A Road to Socio-Economic development Or Another Missed Opportunity 5/3/2016 RAG-IV 23 Conclusion to Analysis
- 25. NATIONAL AWARENESS PROGRAMME Diagnosis • Recent controversial statements and apprehensions of China about capacity of Pakistan to seriously undertake the project Action Plan ( Short Term) • Quarterly meeting of the parliamentary committee on CPEC • Awareness programmes and Seminars be arranged at provincial and federal level. • Regular programmes on electronic and print media showcasing the benefits of project 5/3/2016 "Politicians hit out at 'unfair' Pakistan-China Economic Corridor". The Express Tribune. 22 April 2015 25
- 26. Diagnosis • Recent controversial statements and apprehensions of China about capacity of Pakistan to seriously undertake the project Action Plan ( Medium Term) • Inclusion of prospective benefits in the curriculum • Liaison of Federal and Provincial information Ministries • Role of PEMRA Resources Ministry of Information to utilize the available resources Outcome Development of national consensus and expeditious implementation of projects 5/3/2016 "Politicians hit out at 'unfair' Pakistan-China Economic Corridor". The Express Tribune. 22 April 2015 26
- 27. RESOLUTION OF DISPUTE ON ROUTES Diagnosis • Route Dispute Action Plan ( Short term) • Briefing by planning commission to all stakeholders • Ministry of information to broadcast programmes showcasing progress of work on western route. • Justification of eastern route viz a viz China’s concerns Resources Parliamentary committee and planning commission Outcome Development of national consensus on routes and prioritization 5/3/2016 "Economic corridor: Chinese official sets record straight". The Express Tribune dated 2 March 2015 27
- 28. SUPPORT TO MANUFACTURING SECTOR Diagnosis • Influx of Chinese goods Action Plan • Development of SEZs, exemptions and utilities • Qualitative improvement in manufacturing sector • Construction of cold storages Resources Ministry of industries in collaboration with Ministry of commerce and FBR. Outcome Concerns of traders will be addressed leading to effective trade policy. 5/3/2016 28
- 29. SELECTION OF SITES FOR ECONOMIC ZONES Diagnosis • Lackluster response of Provinces Action Plan (short and medium term) • Feasibility studies • Acquisition of land for SEZs • Earmarking of funds for construction of SEZs • Completion of formalities for award of status of SEZs Resources Ministry of Industries, National Industrial Park, Federal Board of Revenue, OGDC, WAPDA, and provincial P&Ds and Finance Ministries. Outcome Speedy establishment of economic zones and related infrastructure. 5/3/2016 RAG-IV 29
- 30. LEGISLATIVE PROTECTION Diagnosis • Chequered political history and apprehension of foreign investors Action Plan ( Short &Medium term ) • Promulgation of an ordinance at Federal and Provincial level for protection of CEPC project • Ordinance may be approved later on by respective assemblies. Resources Federal and Provincial Law Ministries. Outcome Continuity of the project and building of investor confidence 5/3/2016 RAG-IV 30
- 31. IMPROVEMENT IN TECHNICAL EDUCATION Diagnosis • Poor Technical and vocational human resource Action Plan ( Short & Medium term) • Establishment of technical and vocational institutes along proposed sites of SEZs • Strengthening of TEVTAs • Revision of curriculum • Capacity building of faculty Resources National technical and vocational authority and all provincial TEVTAs. Outcome Trained human resource to cater enhanced industrial needs. 5/3/2016 Zhen, Summer (11 November 2015). "Chinese firm takes control of Gwadar Port free-trade zone in Pakistan". South China Morning Post dated 11 December 2015 31
- 32. RELOCATION OF COAL BASED POWER PLANTS Diagnosis • Coal based power plants in Punjab are not feasible Action Plan ( Short term) • Coal based power plant planned at Punjab may be shifted to Sindh and Balochistan along the sea ports. Resources Planning Commission, MoF, and Ministry of Climate Change Outcome Environmental protection and saving in transportation cost 5/3/2016 RAG-IV 32
- 33. IMPROVING SECURITY ENVIRONMENT Diagnosis • Security in Pakistan- China’s prime concern Action plan (Medium term) • Deployment of LEAs all along CPEC • Fresh recruitment from local population • Strict Implementation of National Action Plan. • Intelligence sharing mechanism with China • Strengthening capacity of provincial law enforcement agencies Resources Ministry of defence, Ministry of interior and concerned home ministries. Outcome Achieving overall objectives and attracting FDI 5/3/2016 "COAS Assures Balochistan People Will Prosper With Upcoming Projects". The News dated 1 January 2016. 33
- 34. STRONG ANTI SMUGGLING POLICY Diagnosis • Goods in transit may get smuggled in Pakistan. Action Plan ( Medium term) • Designated cell at FBR • Strengthening Directorate of Transit Trade • Coordination with provincial governments and other law enforcement agencies. • Effective utilization of proposed Border Security Force. Resources Federal Board of Revenue along with concerned Provincial home ministries. Outcome Facilitation of transit trade and decrease in damage owing to smuggling/pilferage5/3/2016 RAG-IV 34
- 35. Final Word 5/3/2016 RAG-IV 35