A major component of China Pakistan Economic Corridor (CPEC), the 296-km Hyderabad sukkur motorway (M-6) has been put on hold by the government due to financial constraints. The project was awarded to China State Construction Engineering Corporation and was proposed to be completed at an estimated cost of Rs 175 billion in three years on build-operate-transfer (BOT) basis. NHA officials claim that the project has faced delays of more than two years due to various complexities related to the project during which time rupee has faced significant devaluation making the project economically unfeasible for the contractor at current arrangements.
NHA Executive Board has approved the annulment letter for issuance with respect to construction of Hyderabad-Sukkur Motorway (M-6) on BoT basis, according to sources. The Board has been directed to undertake commercial feasibility study under cross-subsidization mode and prepare a new PC-1 and then initiate procurement process, afresh, under PPP arrangement.
NHA is undertaking construction of Peshawar-Karachi Motorway (PKM), a high-speed, controlled-access, modern motorway system. All the segments of PKM have either been completed or awarded for construction except Hyderabad-Sukkur Motorway link of PKM. The 296-km project will be 6-lane motorway with design speed of 120 km/h, having 70 bridges, 15 interchanges and 243 underpasses.