Financial crisis puts Kashmir Highway in slow lane

• Project’s estimated cost rises from 2.5b to 4.7b
• CDA chairman attributes delay in project’s completion with lack of funds

Kashmir Highway expansion plan has been delayed due to financial crisis whereby the estimated cost of the project has increased from 2.5 billion rupees to 4.7 billion rupees. The un-finished project, which was scheduled to be completed in February 2013, is causing difficulties for commuters.

According to a CDA official, “The project began in February 2011 and was divided into two sections. Work on both sections was auctioned to private contractors. Initially, the total cost of the project was 2.5 billion rupees and it was to be jointly funded by the Capital Development Authority and the federal government, as it is a public sector development project.” He further said that, “It was decided that CDA and federal government will share the total cost at 50% each. Initially both parties shared the costs but with the passage of time the amount has been increased and now the total cost stands at 4.7 billion rupees,” he added.

Kashmir Highway is the future gateway for Islamabad to the world as NewIslamabadInternationalAirport will start its work in 2014 near Fatehjang. The basic objective of the Kashmir Highway expansion was to make space for traffic which will increase manifolds with the operation of airport. With the expansion, traveling time between Zero Point and Fatehjang will be reduced to 15 minutes, instead of the current 45 minutes.

When contacted, CDA Chairman Tahir Shahbaz said, “We are facing financial problems and could not meet the deadline, but we will complete the project this year.” Regarding the increase in the cost of the project, he said, “Some alterations were wrought in the initial blue-print. About four to five flyovers will be set up, which was not accounted for in the initial plan. In addition number of lanes has been increased and a straight route will be constructed instead of crisscross,” he added. With reference to the decision making required to resolve the financial crisis, he explain committee has been formed which include members from both CDA and establishment division which will discuss the matters. Committee will also decide the share of CDA and federal government in the raised cost.”