NA committee questions Rs465 billion Lahore-Bahawalnagar motorway funding

The National Assembly Standing Committee on Planning and Development has raised concerns over the Rs465 billion Lahore-Bahawalnagar Motorway project, questioning its financing through the federal budget despite the project being located entirely within Punjab, Dawn reported. 

The matter was taken up by the standing committee following a calling attention notice raised in the lower house. Members reviewed the project’s financing structure, timelines and implementation model during the meeting.

Officials from the planning ministry briefed the committee on current progress, but lawmakers expressed reservations about the viability of executing the project under a public-private partnership (PPP) model, particularly in the current economic environment marked by fiscal constraints and inflation.

Citing the scale of the project and implications for federal and provincial resource allocation, the committee decided to form a subcommittee to conduct a detailed review and submit its findings.

The 295-kilometre project’s cost has increased from Rs264 billion approved in July 2023 to Rs465 billion, reflecting a rise of more than 75%. 

The project had earlier drawn attention when it was recommended by the Central Development Working Party (CDWP) for approval by the Executive Committee of the National Economic Council (Ecnec) without public disclosure of proceedings.

Separately, the committee also examined delays in the N-5 National Highway project, which officials attributed to ongoing litigation. Lawmakers directed the ministry to present a comprehensive report on the issue.

Members further highlighted the need for development initiatives in Dera Ismail Khan, noting that large infrastructure projects require federal support beyond provincial capacity.