Our extensive research on the subject of Pak China Economic Corridor as of May 2015

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Page 1 URBAN PLANNING PROJECT Shaoor Khan Salahudd in

Transcript of Our extensive research on the subject of Pak China Economic Corridor as of May 2015

  1. 1. Page 1 URBAN PLANNING PROJECT Shaoor Khan Salahuddin
  2. 2. PAKCHINA ECONOMIC CORRIDOR
  3. 3. CONTENTS Routes Projects Infrastructure Energy Economic Benefits Security Chinese Benefits
  4. 4. INTRODUCTION The ChinaPakistan Economic Corridor (CPEC) is a development megaproject that aims to connect Gwadar Port in southwestern Pakistan to Chinas northwestern region of Xinjiang, through a network of highways, railways and pipelines to transport oil and gas
  5. 5. Page 5 General Information Length of the corridor: 3000km (Gwadar- Kashgar) Overall Construction costs: $46 billion (4.6 trillion PKR) Operational Time: 3 years (For many of the projects) No. of projects signed : A total of 51 MOUs signed Project Financiers: Chinese Government banks
  6. 6. The road network from Gwadar Port to Kashgar will be having 3 routes: 1. Western Route 2. Central Route 3. Eastern Route The western route i.e Gwadar to D.I.K. and Peshawar is the shortest route and will be completed first by 2016 D.I. Khan already linked with Peshawar will be further linked with Gwadar through Quetta to complete Route 1
  7. 7. A More Comprehensive View
  8. 8. Its not only the road network but also the routes will have Industrial and Economic zones installed on them for which plans shall be made at a later stage
  9. 9. Also to mention the corridor will lay out its lines through 3 different places to Afghanistan and Iran
  10. 10. Page 11 MAIN PROJECTS OF CPEC Energy Sector ($33.8 billion) Infrastructure ($11.8 billion) Communication ($44 million) Projects to address climate change Joint research in cotton Biotech and marine research
  11. 11. ENERGY SECTOR PROJECTS Includes power generation from Renewable Energy (Wind and Solar) Coal Nuclear
  12. 12. INFRASTRUCTURE PROJECTS 1. Gwadar Port 2. Khunjerab Railway 3. Karachi-Lahore Motorway 4. Peshawar-Karachi Motorway 5. Havelian-Khunjerab Railway 6. Hazara Motorway 7. Gwadar-Ratodero Motorway 8. Gwadar International Airport
  13. 13. GWADAR PORT A warm water deep-sea port Situated on the Arabian Sea at Gwadar in Balochistan
  14. 14. Gwadar 533 km 180km IRAN
  15. 15. Located at the mouth of the Persian Gulf, just outside the Strait of Hormuz, near the key shipping routes in and out of the Persian Gulf The surrounding region is home to around two-thirds of the world's oil reserves Also the nearest warm-water seaport to the landlocked, but energy rich, Central Asian Republics and landlocked Afghanistan
  16. 16. HISTORY OF GWADAR Pakistan identified Gwadar as a port site as far back as 1954 when Gwadar was still under Omani rule After four years of negotiations, Pakistan purchased the Gwadar enclave from Oman for $3 million on 8 September 1958 and Gwadar officially became part of Pakistan on 8 December 1958, after 200 years of Omani rule At the time, Gwadar was a small and underdeveloped fishing village with a population of a few thousand
  17. 17. CONSTRUCTION OF GWADAR Gwadar was constructed in 2 phases (1998-1999) and (2002-2007) Then taken up by the PSA International (2007-2012) According to the agreement with PSA International, Government of Pakistan would get a fixed share of: 9% of the revenue from cargo and maritime services 15% of the revenue earned from the free-trade zone
  18. 18. Doing little business as a commercial port Pakistan handed over the project of upgrading the port to Chinese company China was awarded this multi- billion dollars contract in February 2013 Port will remain the property of Pakistan but would be operated by the state-run Chinese firm China Overseas Port Holding Company (COPHC)
  19. 19. PROJECTS UNDERTAKEN AT GWADAR PORT
  20. 20. DETAILS OF GWADAR PORT PROJECT The long channel of Gwadar Port has been dredged to 14 meter depth 18.9 kms Eastbay Expressway has been built to help flow of goods from and to Gwadar Port and later on it will also include a 4.3 kms bridge alongside the sea The port berths length is over 700 meters and on requirement the berth length can be increased by two to three times
  21. 21. OPERATION The Port has officially started its operation on the 11th of May, 2015 The first trade of it being a large export of fish(230 tons) to Dubais Jabal Ali Port where it has been exported to different countries
  22. 22. GWADAR PORT
  23. 23. BENEFITS OF EXPANSION OF GWADAR PORT As an important route for oil tankers bound for Japan and other countries out of the Gulf, the outflow of goods from Western China and Central Asia reaching Gwadar will pass through this overland trade route, Pakistan can earn millions of dollars a year in terms of cargo handling charges and also as freight charges for import cargoes and export goods Increased capacity of Gwadar Port Increased shipyard Increased export/import Tax Generation Revenue More development Economic stability
  24. 24. BENEFITS OF EXPANSION OF GWADAR PORT China imports a large quantity of its oil from the Gulf States through an extremely long route Gwadar turning into a central hub for trade can greatly decrease their long journey all the way through the Strait of Malacca, Malaysia to Middle East by changing their route to Pakistan and then the Middle East
  25. 25. 2. KARACHI-LAHORE MOTORWAY Also known as "KLM A high-speed, access-controlled, 6-lane motorway that extends for 1,152 km Current Status: Under-construction Divided into 4 sections: 1. Karachi-Hyderabad Motorway 2. Hyderabad-Sukkur Motorway 3. Sukkur-Multan Motorway 4. Multan-Lahore Motorway
  26. 26. 136km 296km 387km 333km
  27. 27. The motorway will facilitate commutes between Karachi and other cities including Sukkur, Badin, Ghotki, Rohri, Dadu, Pano Aqil, Abro, Rahim yar Khan, Sadiqabad, Zahir Pir, Jalalpur Peerwala Abdul Hakim, Pir Mahal, Mamo Kajan and Nankana Sahib Planned Completion Date: September, 2017
  28. 28. 4. PESHAWAR-KARACHI MOTORWAY Will be built automatically since Peshawar is already connected to Islamabad and Lahore through Motorway It will be having 2 route options to travel from Peshawar to Karachi and vice versa
  29. 29. GWADAR-RATODERO MOTORWAY M8 Motorway An under-construction motorway in Balochistan LENGTH 892 Km East End Ratodero (N5 N85 connecting M8 with Panjgur West End Gwadar Lanes 4 (2 initially) Major Cities Ratodero, Khuzdar, Awaran, Hoshab, Turbat, Gwadar
  30. 30. The M8 will start from Ratodero in Sindh Province and enter Balochistan Province passing near the towns of Khuzdar, Awaran, Hoshab, Turbat before joining the Makran Coastal Highway just east of the port city of Gwadar The M8 will cross the Dasht River and pass near the Mirani Dam in Balochistan Province
  31. 31. 2. KHUNJERAB RAILWAY The Khunjerab railway or Karakoram railway is a proposed rail link via Khunjerab Pass from Hunza Nagar District in Gilgit-Baltistan to Kashgar
  32. 32. HISTORY OF KHUNJERAB RAILWAY CONSTRUCTION In 2007, consultants were engaged to investigate the construction of a railway through this pass to connect China with transport in Pakistani- administered northern areas of Kashmir A feasibility study started in November 2009 for a line connecting Havelian 750 km (466 mi) away in Pakistan and Kashgar 350 km (217 mi) in China
  33. 33. KHUNJERAB RAILWAY Pakistan awarded a Rs72 million (US$1.2 million) contract to an international consortium to carry out a feasibility study for establishing a rail link with China to boost trade relations between the two countries The study will cover a 750-kilometre section between Havelian and the 4,730-metre-high Khunjerab Pass over Mansehra district and the Karakoram Highway Havellian is already linked with the rest of the rail network in Pakistan; the Chinese will lay some 350 km of track within their own territory from Kashgar terminus up to the Khunjerab Pass, linking Pakistan with China's rail network, largely following the route of Karakoram Highway
  34. 34. KASHGAR RAILWAY STATION
  35. 35. Beijing's involvement in several rail projects in Pakistan is motivated primarily by commercial considerations, but it also sees distinct advantages for its improved transportation and access to Central Asia and the Persian Gulf states. A reliable network of road and rail links can only ensure China's access to energy-rich central Asia, serving it both commercially and strategically
  36. 36. 5. HAVELIAN-KHUNJERAB RAILWAY PREFEASIBILITY REPORTRAIL LINK DISTANCE 411 miles
  37. 37. 6. HAZARA MOTORWAY LENGTH 110 km North End Shinkyari South End Hassan Abdal Lanes 4 Route Start Point Burhan Interchange Also called the E35 Expressway Motorway An under-construction motorway linking Hassan Abdal in Punjab with Haripur, Havelian, Abbottabad and Mansehra
  38. 38. 8. NEW GWADAR INTERNATIONAL AIRPORT New airport to be built in Gwadar Present capacity of Gwadar Airport: A 3000 acres of land 26 km northeast of the existing airport has been reserved by CAA Expected cost $250 million dollars Will be given international status with flight destinations greatly increased LENGTH 5,000 ft ELEVATION 29 m Current Destinations Lahore, Karachi, Turbat, Quetta, Muscat
  39. 39. 9. ORANGE LINE METRO TRAIN An under-construction metro train line project When completed it will connect Raiwind, Multan Road, Mcleod Road, Lahore Junction Railway station and the Grand Trunk Road It will be the first line of the Lahore Metro, which is country's first mass rapid transit train system
  40. 40. Financed and developed by Chinese Government through Exim Bank of China Chinese government is entrusted for designing, construction and operation of the orange line
  41. 41. Project Information Current Status Initial stages Estimated completion time 27 months Completion Date March 2018 Project Cost $1.6 billion
  42. 42. Project Details Stations 26 Daily Ridership 250,000 Operation Elevated and Underground Line Length 27.1 km Elevated Length 25.4 1. Ali Town 2. Niaz Baig 3. Canal View 4.Hanjarwal 5.Wahdat 6. Awan 7. Sabzazar 8.Shahnoor 9. Salahudin 10. Bund 11. Samanabad 12. Gulshan-e-Ravi 13.Chauborji 14. Lake Road CENTRAL 15.Lakshami 16.Sultanpura 17.University 18.Baghbanpura 19.Shalimar Gardens 20.Mint 21.Mahmood Islam Park 22.Salamalpura 23.Dera Gujran
  43. 43. ENERGY SECTOR PROJECTS 1. Sukhi Kinari Hydropower Project 2. Karot Hydropower Project 3. Zonergy Solar Power Project 4. Dawood Wind-power project 5. Sachal Wind-power project 6. Jhimpir Wind-power project 7. Port Qasim 2x660MW Coal-fired Power Plant 8. Thar Block II 2x330MW Coal Fired Power project
  44. 44. Pakistans energy demand Electricity total installed capacity: 22,797 MW Electricity Sources fossil fuel 14,635 MW 64.2% of total(oil-35.2% + gas- 29%) hydro 6,611 MW 29% of total nuclear 1,322 MW 5.8% of total average demand-17,000 MW shortfall-between 4,000 MW and 5,000 MW
  45. 45. 1. SUKHI KINARI HYDROPOWER PROJECT The project is located in the Kaghan Valley in Mansehra District and is easily accessible through a paved road A run-of-the-river project Poses minimal environmental and social impacts Moreover due to its high design head of 900 meters and relatively short Intake Structure crest, it is considered one of the most cost effective hydropower schemes in the region.
  46. 46. Power Generation: 840 MW Designed to produce 2,958 GWh annually, this mega project alone is expected to increase Pakistans existing available power generation capacity by more than 5%
  47. 47. 2. 720-MW Karot Hydroelectric Project Located on Jhelum River Powerhouse to be located in the province of Punjab and the Karot Dam a gravity dam, will be built on Jhelum River Power Generation Capacity: 720MW
  48. 48. 3. DAWOOD WIND-POWER PROJECT Location : Gharo (60 km east of Karachi) Power Generation capacity: 50 MW To be build by A Chinese company HydroChina International Engineering Company Cost: $120 million
  49. 49. 4. QUAID-E-AZAM SOLAR PARK Located in Bahawalpur, Punjab Status: Under-construction (First 100 MW completed) It is a 1,000MW photovoltaic power station in Balochistan The first 100 MW went operational in May 2015 100 MW capacity will be added at regular intervals 40,000 solar panels to be installed Completion Date: By the end of 2016 (will generate 1000 MW since) Cost: $131 million
  50. 50. ECONOMIC BENEFITS OF CPEC Pakistans current Foreign reserves: $ 17.7 billion CPECs investment agreement: $46 billion 0 5 10 15 20 25 30 35 40 45 50 Pakistans reserves CPECs investment
  51. 51. ...Continued Encouragement for foreign countries More foreign investment likely to come to Pakistan GDP growth of Pakistan likely to increase enormously (Presently being 4.1) Tax income from the porting and deporting of Chinese ships through Gwadar Development of roads network will lead to development of nearby cities Loan-free investment (Pakistan doesnt have to pay any penny for most of the projects as its all being invested by Chinese banks yet will gain percentage share from the toll taxes and profits once the operation starts)
  52. 52. SECURITY FOR CHINESE ENGINEERS About 12,000 security personnel to protect Chinese workers on the corridor 8000 security officials already deployed for the protection of 8,100 Chinese workers
  53. 53. Benefits for China in CPEC It would decrease the travel distance and travel cost greatly from China to Gulf states Independent path from Indian and USAs interference It would decrease their labour cost New business market in another country