PSDP set at Rs730 billion for 2011-12

The federal government announced a total Public Sector Development Programme (PSDP) of Rs730 billion for the fiscal year 2011-12, which is ten percent more than last year’s PSDP of Rs663 billion. However, it showed an increase of 58 percent as against the revised estimates 2010-11 at Rs462 billion.
The Rs730 billion programme includes federal development outlay of Rs290 billion which is four percent higher than the 2010-11 allocation of Rs280 billion. Out of Rs290 billion allocations for federal development, Rs10 billion have been earmarked for ERRA and Rs430 billion for provincial Annual Development programmes. Rs373 billion were earmarked in 2010-11 for the provinces to be spent through their Annual Development Programmes.
Federal development programme 2010-11 originally budgeted at Rs280 billion scaled down to Rs180 billion as huge resources were required for immediate relief and rehabilitation works in flood-hit areas. A big chunk of resources (96 percent) has been reserved for the on­going projects targeting at timely completion of projects rather than starting new projects and allowing thin spread of limited resources.
The total development outlay of Rs730 billion will be part of the finance bill 2011-12. The government has allocated Rs22 billion for Pakistan Atomic Energy Commission under the PSDP 2011-12. According to the budgetary documents, Rs1,090 million have been allocated for three new schemes including the Joint Pre-Project Feasibility and Design Study of a 1000 MW Nuclear Power Plant for Karachi, Long Term Operation of KANUPP and KANUPP Spent Fuel Dry Storage Facility.
Remaining amount would be spent on the on-going schemes. An amount of Rs350 million has been allocated for Pak. Nuclear Regulatory Authority. Defence division has been allocated Rs3.846 billion under PSDP. The government has allocated Rs2.158 billion for the SUPARCO in the PSDP 2011-12.Out of the total amount, Rs1,593.767 million have been earmarked for the Pakistan Communication Satellite System (Pakistan-IR) China and Rs259 million for Pak Sat Project (phase-1 extension).
Rs61.917 million have been allocated for development of Satellite Dynamic System test facility, Karachi while Rs52.066 million for development of various laboratories for National Satellite Development Programme (NSDP) and Rs50 million for Human Resource Development (phase-II) for National Satellite Development Programme, Karachi. The remaining amount has been reserved for eight other projects of SUPARCO. Rs1.455 billion have been allocated for Defence Production Division. The government has allocated Rs252.412 million in PSDP for Statistic Division.
The three ongoing schemes of the Statistic Division for which the allocation has been made include Pakistan Social and Living Standard Measurements Survey Islamabad (Rs100 million), Construction of Office Building for Statistic Division and its attached Departments Islamabad (Rs102.412 million) and Strengthening National Statistics (SNS) in Pakistan (Rs50 million).
Out of the total 730 billion PSDP outlay, over Rs36 billion has been allocated for Water and Power Division, over Rs10 billion for Finance Division, Rs15 billion for Railways Division, over Rs 31 billion for Planning and Development Division, Rs14 billion for Higher Education Commission, over Rs2 billion for Industries and Production Division, over Rs5 billion for Interior Division, over Rs1 billion for Housing and Works Division, over Rs2 billion for Cabinet Division, over Rs1 billion for Science and Technology Research Division, over Rs1 billion for Law and Justice Division, around Rs2 billion for Revenue Division, Rs150 million for Petroleum and Natural Resources Division, Rs793 million for IT and Telecom Division, Rs425 million for Commerce Division, Rs 172 million for Communication Division Excl. NHA, Rs744 million for Ports and Shipping Division, Rs285 million for Ministry of Foreign Affairs, Rs534 million for Narcotics Control Division, Rs34 million for Establishment Division, Rs630 million for Information and Broadcasting Division, Rs150 million for Textile Industry Division, Rs161 million for Economic Affairs Division, Rs677 million for Capital Administration and Development Division and Rs70 million for Inter-provincial Coordination Division.
An amount of Rs32.5 billion has been allocated for WAPDA, Rs40 billion for National Highway Authority and Rs33 billion for special programmes. An amount of Rs430 billion have been allocated for the development spending in the provinces. No allocations have been made for devolved ministries in PSDP 2011-12. Through transition phase of devolution, the federal government has ensured that financing of national programmes of health and population welfare will be continued at federal level till the next NFC Award despite devolution of health and population welfare ministries to the provinces.