NHA to get Rs100 billion from petroleum levy for Balochistan highways
NHA to get Rs100 billion from petroleum levy for Balochistan highways

The National Highways Authority (NHA) has been allocated Rs 100 billion from the Petroleum Development Levy to fund three critical highway projects in Balochistan. However, this funding falls short of the Rs 160.2 billion requested for the current financial year, with NHA initially seeking this amount under the Public Sector Development Programme (PSDP).

According to NHA documents, the allocation for the Khuzdar-Kuchlak section (N-25), spanning 330.52 km, stands at Rs 34 billion, below the requested Rs 50.8 billion. Another Rs 33 billion has been earmarked for the dualization and rehabilitation of the 273 km Karachi-Quetta-Chaman road (N-25), against its requested amount of Rs 52.5 billion. Similarly, Rs 33 billion has been designated for the dualization of the 187 km Kararo-Wadh and Kuchlak-Chaman sections, less than the Rs 56.9 billion requested.

At present, NHA oversees projects worth Rs 2,200 billion, but constraints in funding continue to pose challenges. Of their 161 proposed projects under the PSDP for FY26, approvals were granted for only 105, with Rs 227 billion allocated. Amid these limitations, the authority raised Rs 64.8 billion in FY25 through toll taxes and other sources, nearly doubling the Rs 32 billion generated in FY24.

To address urgent infrastructure gaps in Balochistan, Prime Minister Shehbaz Sharif directed funds from reduced oil prices towards reconstructing the N-25 highway and completing Phase II of the Kachhi Canal project.

The N-25, known as the “deadly road” for its hazardous conditions, is crucial for connecting Karachi to Chaman. While the reconstruction project, initially approved for Rs 300 billion in FY22-23, faced delays due to funding issues, this allocation marks renewed efforts to enhance road safety and regional infrastructure.