ISLAMABAD: The government has decided in principle to award the Rs205 billion Kharian-Rawalpindi Motorway (M-13) project to the Frontier Works Organisation (FWO) through a negotiated procurement process.
The proposal received approval from the Board of Directors of the Public Private Partnership Authority (P3A). Consequently, the project has moved one step closer to implementation.
According to official details, the National Highway Authority (NHA) recommended awarding the project directly to FWO. The authority argued that the organization has the capacity to begin construction work immediately.
Therefore, the government opted to proceed under provisions of the Public Private Partnership Authority Act. The law allows exceptions to open and competitive bidding in specific circumstances.
The motorway project is considered a key infrastructure initiative due to its expected impact on regional connectivity. Officials believe the route will significantly improve travel between major cities in Punjab.
Once completed, the M-13 motorway is expected to reduce the distance between Lahore and Rawalpindi by approximately 100 kilometers. In addition, it could cut travel time by more than one hour compared with the existing M-2 motorway.
The proposal will now be submitted to the federal cabinet for final approval. Authorities will begin the next phase of implementation after obtaining the cabinet’s endorsement.
Earlier, the Executive Committee of the National Economic Council approved the project in April this year. At that time, the estimated cost stood at Rs203.32 billion.
However, ECNEC directed that the project should be procured through an international competitive bidding process. The latest proposal to award the contract directly to FWO represents a significant shift from that earlier recommendation.
Officials maintain that direct award procedures would accelerate project execution and help meet infrastructure development goals. Meanwhile, the proposal is expected to draw attention due to its departure from the competitive bidding model.
The Kharian-Rawalpindi Motorway will be developed under the Build-Operate-Transfer (BOT) model. Under this arrangement, the developer will finance, construct, and operate the motorway before transferring it to the government after the agreed concession period.
The project is expected to enhance transportation efficiency and strengthen economic links across the region.
