| DEPARTMENT | PROJECT COST |
|---|---|
| Works & Services Department | PKR 4,500 Million |
16km road & approximately 1.7kms Bridge Over River Indus
Concession Period 25 years
Project Cost PKR 4.5 Billion
Operational since February 2017
Sir Aga Khan Jhirk Mulla Katiyar bridge project (JMK Project) is the longest Bridge over river Indus in Pakistan.
Realizing the importance of developing better road network and to provide boost to economic development of the Sindh Province, the Works and Services Department launched the Jhirk Mulla Katiyar Bridge (JMK) Project over River Indus under Public Private Partnership (PPP) mode. Government of Sindh (GoS) envisaged a new route to connect existing roads of interior Sindh with a vision to provide a corridor which is perpendicularly cutting all big arteries and providing them direct access to N5 and subsequently to M9.
In response to Request for Proposal (RFP) issued by the GoS, three (3) firms submitted their proposals. The PPP Policy Board in the 7th meeting held on 15th May 2012 approved to award the Concession for Jhirk Mulla Katiyar Bridge Project to M/s Al-Jasr Pakistan (Pvt) Ltd. (Special Purpose Company incorporated by the preferred bidder).
Al- Jasr Pakistan (Pvt.) Limited was incorporated in Pakistan on April 13, 2012 as a private limited company. M/s Al Jasr entered into a Concession Agreement with GoS on May 18, 2012 to Design, Build, Finance, Operate and Transfer (DBFOT) a 16 KM road and a bridge of 1.7 KM connecting National Highway via Jhirk to Tando Muhammad Khan Bathoro.
Debt:Equity = 75:25
Equity Injections of concessionaire and GoS are governed through Equity Funding & Utilization Agreement whereas the loan facility is governed through Financing agreement with the lenders. The mechanism is automated by Standing Instructions which are irrevocable without the consent of all parties.
Under the PPP mode, the project was developed on annuity mode keeping in view the financial crunch in the country as the facility would be developed upfront and the annual payments shall be made subsequently, once the facility is available to the users. The project was funded by 75% of commercial debt component and 13% of the project cost was contributed as equity by the Private Partner.
CONSTRUCTION PERIOD
As per the Concession Agreement, the project was due to be completed on May 1, 2015. However, due to delays in construction, several extensions were granted by GoS. The Company achieved substantial completion of the project on December 21, 2018 and Independent Engineer of the JMK Project has issued Final Project Completion Certificate dated January 03, 2019.
Currently, the Project is in operational phase. The concession period for the project is 27 years (including 2 years of construction and 25 years of operations & maintenance). Furthermore, the project loan has been paid off on 30th November 2020 and GoS is duly fulfilling its obligation to fund annuity payments to the concessionaire as per the terms of the concession agreement. GoS will continue to fund its annuity payments till the end of the concession period which is of 25 years.
30-Nov--0001
| Project Related Images | ||
|---|---|---|
|
|
|
|
|
|
|
|
|
