Mysteries Surrounding CPEC

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Mysteries Surrounding CPEC

Dr. Abdus Sattar Abbasi

I received a call with an invitation to join a round table conference (RTC) titled “New stage of high quality CPEC development” in a local hotel in Lahore. The phrase was attractive so I decided to join and comprehend new stage for CPEC. I had quite a few questions for the speakers especially the chief guest the Consul General of China at Lahore.

But I chose to hold my queries because as the discussion unfolded, I found the CPEC surrounded in numerous mysteries even after ten years to the inception of the project. The very first speaker was a provincial caretaker minister for health, for him CPEC could deliver the best of health services, he urged both countries to get benefit from expertise of each other in the areas their respective expertise.

He gave some examples of specialized health facilities in both countries having potential for the counterparts to get benefit out of those healthcare providers. He also emphasized on faculty exchange programs to learn from the experience of each other. There is absolutely no harm in establishing such exchange programs rather it is a natural outcome of any program of this scale between two nations. However, the fundamental purpose of CPEC is to strengthen economic dimensions of the country.

Despite having health portfolio, I was expecting from the speaker to give insight from the vision of the sitting government to get maximum benefit from the mega economic project. He then left immediately after his speech with the excuse of an important official engagement, which also suggests how important the CPEC is for the existing power corridor.

Mr. Li Chen the CEO of Orange Line Metro Train (OLMT), thoroughly explained achievements of his organization in terms of serving passengers which currently remain around two hundred thousand per day. When he was explaining the details of number of jobs created by the project (around seven thousand) and number of indigenous industries (around fifty) developed to supply spare parts to the Orange Line Metro Train, it seemed that probably he is defending his position through these figures due to extensive pressure on sustainability of the project.

On one hand there is continuous debate on the subsidy extended to the OLMT by the government on the other there is lack of considerations by the government for viable solutions to reduce the gap between the income and the expenditure of the project. Despite environmental attractiveness and convenience for millions of commuters, fact remains that long-term success of any project depends on sustainable operations. One of the important concerns remains that still OMLT operates less than its capacity. Second apprehension is the rationalization of the fare and third is the commercialization of stations. These are certain opportunities to reduce the gap to ensure more revenue from existing infrastructure.

A chief executive officer of a renowned private organization was also among the speakers. His enthusiasm about the potential of CPEC was amazing, however, he underscored that if Chinese authorities desire to witness swift progress of the project they need to liaise directly with the vibrant private sector of Pakistan instead of operating under military umbrella which instantly distances successful private operations from coordinating with the Chinese counterparts.

 It was quite a frank comment inviting decision makers to ponder upon the apprehensions of the private sector. Concerns such as these clearly indicate the trust deficit which exists among different stakeholders of the society. Initially there was hue and cry from political fronts about different routes of the Corridor. But now observing anxieties from the private sector players indicates a strong need for the inclusion of all segments of the society to make CPEC a real success.

 It is a proven fact that only government to governments engagements cannot guarantee success to any collaboration without people-to-people engagements while private sector businesses are the key for grassroot alliances in bilateral initiatives. Therefore, both China and Pakistan need to develop a framework to facilitate private sectors of both countries to join hands fearlessly for potential venture determined by the market forces of demand and supply.

I think, this will bring a huge improvement in collective ownership of people of both countries for projects envisioned through different initiative under the bigger umbrella of CPEC as we are observing in the field of education through different scholarships and exchange programs across Pakistan and China where several educational institutions are taking initiatives at their own to develop ties with their counterparts in either country.

The next speaker was a retired senior officer from Pakistan Navy with expertise in maritime affairs. He nicely explained backward and forward integration for successful sea port operations. According to him building a port is half of the job done, for sustainable port it is important to have safe and reliable network of roads and efficient railway infrastructure to facilitate transportation of goods to the sea port. Then smart automation of a port without human intervention is the key for the success of any port nowadays.

The next challenge for port authorities remains maritime facilities and safety of cargo operations. It is a cycle of efficient and affective integrated operation from the land to the sea which ensures success of any seaport. Therefore, we still have to go quite a long way to make Gwadar a successful seaport.

The last speaker was the Counsel General of China in Lahore, the chief guest of the event. He shared highlights of “The Third Belt and Road Forum for International Cooperation” with representation from more than 150 countries of the world. He then started explaining his approach being representative of government and people of China. He summarized his duties as a two-pronged strategy; first, strengthening friendship between two countries and second, protection of rights of people of China. He assured his commitment to maintain and fortify already ever strong bonding between China and Pakistan as all-weather friends. He particularly emphasized to ensure that funds channelized through CPEC are utilized optimally to achieve strategic objectives of the project.

Diverse discussion in the RTC clearly indicate gap among priorities and focus at governmental and public level domains on both sides. There are clear apprehensions of Chinese side to trust their counterparts in Pakistan without military support or state guarantees which limits the potential of CPEC and hinders swift progress of the project.

Because when there is active engagement of masses in any economic or development project that extends benefits of the expansion to the common man and in return inculcates ownership of the project among people thus ensures convenient implementation of plans. On the other hand, continuous shelter of the state develops doubts about actual benefits of the project thus distances people from the policies and execution of the project. Therefore, it will be a better option to take CPEC in the public domain to eliminate current mysteries surrounding the project.

Mysteries Surrounding CPEC

Dr. Abdus Sattar Abbasi

Consultant, Pakistan Research Center, HeBei Normal University China

Associate Professor Management Sciences and Head Center of Islamic Finance

COMSATS University (CUI) Lahore Campus, Pakistan

[email protected]