China refused to add ML-2 to CPEC

Federal Minister for Railways Khawaja Saad Rafique has informed that China is not ready to add Pakistan Railways’ Main Line (ML-2), a strategic route passing through major power plants, to China-Pakistan Economic Corridor (CPEC) due to a low business case.
China has increased the finances for Pakistan Railways from an initial $3.7 billion to around $8 billion for up-gradation of ML-1 under the CPEC package, as it carries about 70 per cent traffic and has a business viability, said the minister briefing the National Assembly Standing Committee on Railways.

The minister said that Pakistan Railways with its own finances has carried out a feasibility study and decided to offer it on build-operate-transfer (BOT) basis. The ministry is preparing a request for proposal (RFP) and it would soon invite foreign and local companies while issuing an expression of interest (EoI).

The committee members underscored the need for including the ML-2 in the CPEC; however, the minister said the decisions are not being taken by a single country but with mutual consensus.

The committee expressed serious concern over unabated train accidents in the country, claiming many precious lives, besides causing huge financial losses.

Furthermore, a PC-1 of a new project worth Rs730 million has been submitted to the Planning Division for an effective communication system. Under the project, effective communication between ground staff and locomotive crew would be ensured through provision of better communication device (VHF radio).