All your Questions answered Related to CPEC in one place

Some of your Questions Related to CPEC:

Q. 1. What is China Pakistan Economic Corridor (CPEC)?

China Pakistan Economic Corridor (CPEC) is an economic and development initiative between China and Pakistan covering infrastructure, energy, industrial, agricultural, science and information technology cooperations along with Gwadar port and city development and people to people exchanges aimed at socio-economic development and prosperity of not only Pakistan and China but the whole region. CPEC is going to enhance the regional connectivity leading to improved trade and economic cooperation in the whole region.

Q. 2. Where I can see a list of projects under the CPEC portfolio?

The detail of CPEC projects is available on CPEC official website at https://www.cpec.gov.pk.

Q. 3. What is the status of CPEC Energy Projects?

14 projects have been completed with an estimated $15 billion investment (8020 MW, One HVDC Transmission Line). 2 Projects under construction with estimated $2.5 billion investment (1184MW). Remaining projects are at planning and pipeline stages. For more details, please visit CPEC website i.e.,  https://www.cpec.gov.pk/energy

Q. 4. Are CPEC Energy Projects Environmentally compliant?

Yes, all CPEC Energy projects are environmentally compliant by respective provincial EPA’s.

Q. 5. What is being planned in upcoming Energy Projects?

All new energy projects will be from local and renewable energy resources.

Q. 6. What is the tariff of CPEC Energy Projects?

All energy projects tariff is determined by National Electric Power Regulatory Authority (NEPRA). For more details, please visit NEPRA website i.e., https://www.nepra.org.pk 

Q. 7. What is the list of CPEC Projects/energy mix of CPEC Projects?

CPEC energy project listed on CPEC official website. For more details, please visit CPEC website i.e.,  https://www.cpec.gov.pk/energy

Q. 8. Installation of Power projects under CPEC is not balanced throughout provinces?

The energy projects are recommended keeping in view the source, load centres and the investors proposal considerations. Regardless of the location, power generated from these projects is added to national grid for nation-wide distribution.

Q. 9. How Thar is part of CPEC lying so much away from the road network?

Thar having indigenous coal supply is chosen for power project. Its evacuated energy will be part of national grid. 

Q. 10. What are Special Economic Zones (SEZs)?

Special Economic Zone or SEZ means a geographically defined and delimited area which has been approved by the Board of Approvals headed by the Prime Minister. The SEZ Act was promulgated on September 13, 2012 and amended in 2016. The law provides SEZs to be set up by the Federal or Provincial Governments themselves or in collaboration with the private sector under different modes of public-private partnership or exclusively through the private sector. The provincial SEZ authorities are required to move the applications received from developers to the Federal Board of Investment which is to act as the secretariat to the Approval committee and the Board of Approval. Minimum land requirement for an SEZ is 50 acres (20.23 hectors or 202,343 Sq m) with no maximum limit.

Q. 11. How many SEZs are to be developed under CPEC?

Pakistan and China have finalized nine SEZs to be developed in the first phase under the auspices of CPEC. Four SEZs, namely Dhabeji SEZ in Sindh, Bostan SEZ in Balochistan, Rashakai SEZ in KP and Allama Iqbal Industrial City in Punjab, are at advanced stage of development. Moqpondass SEZ in Gilgit Baltistan, Mirpur SEZ in AJK, Mohmand Marble City in FATA, and two Federal SEZs namely Industrial Park on Pakistan Steel Mill land and ICT Model Industrial Zone are at the feasibility stage. 

Q. 12. What incentives are being offered in SEZs?

The fiscal benefits under the SEZ law include a one-time exemption from custom duties and taxes for all capital goods imported into Pakistan for the development, operations and maintenance of a SEZ (both for the developer as well as for the zone enterprise) and exemption from all taxes on income for a period of ten years.

Q. 13. What is current development status of CPEC SEZs?

Four out of total nine agreed SEZs under CPEC are being developed at the priority. Allama Iqbal Industrial City and Rashakai SEZs are leading in development works and allotments of industrial plots with many industrial units being under construction. We also have some foreign investments in these SEZs especially from China.

Q. 14. How CPEC SEZs are poised to bring about industrialization in Pakistan?

China has advantages in experience, technology, financing, and industrial capacity, while Pakistan enjoys favourable conditions in natural resources, adequate manpower, quality infrastructure, access to international markets, and optimal policies for industrial development. The economic interests of the two countries coincide in a quintessential manner under the Framework Agreement on Industrial Cooperation that will go a long way. Pakistan envisages to provide a favourable business environment that will bring the Chinese Outward Foreign Direct Investment (OFDI) as well as FDI from other third party countries. This will result in the enhancement of industrial competitiveness, technology transfer, import substitution, export-led growth, human capital development, employment generation, and numerous other direct and indirect benefits to the economy.

Q. 15. What is the Northern Alignment of CPEC & current progress?

Status of CPEC Northern Alignment

Q. 16. What is the Eastern Alignment of CPEC & current progress?

Status of CPEC Eastern Alignment

Q. 17. What is the Western Alignment of CPEC & current progress?

Status of CPEC Western Alignment

Q. 18. Do we have any Railway Project under CPEC?

CPEC Railway Project (ML-1)

Q. 19. What is the purpose of establishing the China-Pakistan Joint Working Group on the Information Technology Industry (ITI) under CPEC?

The Joint Working Group on ITI was established to enhance cooperation between China and Pakistan in the field of Information Technology. The JWG is committed to implementing the agreements reached by the leaders of the two countries, improving the Information and Communication Technology infrastructure development in Pakistan, promoting the development and deployment of new digital technologies and applications, deepening the cooperation and information-sharing in the digital sector between the two countries, and building an innovative and pragmatic China-Pakistan Digital Corridor, maintaining an open, fair and non-discriminatory business environment, and empowering social and economic development with Information and Communication Technologies. 

Q. 20. What are the main tasks of the China-Pakistan Joint Working Group on the Information Technology Industry?

The main tasks of China-Pakistan JWG on the Information Technology Industry include but are not limited to:
  • Propose and identify cooperation directions and projects with development prospects based on mutual benefit, to improve the efficiency of cooperation between Pakistan and China.
  • Strengthen the exchange of policy and regulation, and share best practices and experiences in the field of Information Technology.
  • Solve the difficulties and problems encountered in the cooperation between the two countries through coordination.

Q. 21. Where the CPEC fibre optic cable is installed?

CPEC is not only a connectivity network of roads, railways, ports, and oil and gas pipelines but it also has cross-border fibre optic cable connectivity between China and Pakistan. The 820 KM long fibre optic cable project at a cost of $44 million, stretches from China’s western Xinjiang region and enters Pakistan through the Khunjerab border and then travels through Gilgit-Baltistan to Mansehra, KPK to connect to Muzaffarabad, AJK and onwards to Islamabad and Rawalpindi, where its link with existing optical connectivity network of Pakistan.

Q. 22. What is the DTMB-A project of CPEC?

The DTMB-A is the Digital Terrestrial Multimedia Broadcast-Advanced CPEC project funded by a Chinese grant. The purpose of this project is to digitalize the existing three sites of the Pakistan Television Corporation (PTV) terrestrial network (located at Murree, Cherat, and Kala Shah Kaku) by adopting China’s DTMB-A standard.

Q. 23. What is the purpose of establishing the Joint Working Group on Science & Technology under CPEC?

The establishment of the JWG was an important step to refine the CPEC cooperation mechanism and strengthen Science & Technology cooperation between China and Pakistan. Given that cooperation in Science, Technology and Innovation (STI) is an important force driving the economic and social development of the two countries. The purpose of this JWG is to further enrich pragmatic collaboration concerning CPEC and to enable STI to better facilitate the high-quality development of CPEC.

Q. 24. What is purpose of agricultural cooperation under CPEC?

To modernize agriculture sector, create job opportunities and enhance the volume of bilateral and multilateral trade.

Q. 25. What are areas of cooperation in Agriculture under CPEC?

The two sides agreed to strengthen cooperation in the following eight areas:
  • Capacity building
  • Germplasm resources
  • Agricultural product processing
  • Agriculture technology extension
  • Fishery science and technology, aquaculture, and aquatic product processing
  • Establishment of FMD free zones in Pakistan
  • Market information and agriculture trade
  • Cooperation for agricultural development under CPEC

Q. 26. What is a role of CPEC in developing Agriculture cooperation?

CPEC is a regional connectivity framework that helps to identify potential areas of agricultural cooperation at the G2G level as well as joint ventures for B2B cooperation.

Q. 27. People are agitating at Gwadar due non-availability of drinking water. What is truth?

About improving water availability at Gwadar, a three prong approach has been adopted.
  • Water has been made available at Gwadar City from 3 x dams i.e Swad, Shadi Kaur & Akra Kaur. Requisite funds (Rs 11.2 Bn) have been made available. Project has been completed and being inaugurated.
  • Installation of 1.2 MGD desalination plant at Gwadar Port (Chinese grant 2.213 Bn) is in advance stages. Project completion April 2023. 
  • Gwadar Port also has an additional capacity of providing 200K gallons fresh water.

Q. 28. People are agitating at Gwadar due non-availability of electricity. What is truth?

Improving electricity for Gwadar is being accorded highest priority. Following is relevant:
  • Additional 100 MW electricity from Iran has been made available for Gwadar in record time of 4 (four) months @ Rs 2.322 Bn. This speaks the volumes of hard work done under the leadership of Federal Planning & Energy Ministers.
  • Chinese provided 3000 solar systems have been installed at various households of Gwadar city. Chinese Authority (CIDCA) has initiated the process of procurement of 10,000 household panels in China for Baluchistan. Negotiations for the provision of 5000 additional kits are also under process with Chinese authorities. Such measures have addressed the power issues of Gwadar and adjoining areas of Baluchistan.

Q. 29. What Federal Govt is doing for improving better job prospects for Youth of Gwadar?

Today, Gwadar has three Technical & Vocational Institutes that is Gwadar Institute of Technology, Pak-China Vocational Training Institute and federally funded Precision Training Complex recently inaugurated by Federal Minister for Science and Technology.  Combinedly, these institutes will provide opportunities to youth of area and province in better job opportunities in various CPEC related projects both at Gwadar Port, Gwadar Free Zone as well as in entire country.

Q. 30. What Federal Govt is doing for improvement of Aerial Connectivity at Gwadar?

Airports Development and Aerial Connectivity.

  • New Gwadar International Airport development has paced up, test flight is scheduled to be undertaken soon while NGIA’s formal inauguration is planned in last quarter of 2023.  For optimum utilization of such big international airport, PCAA has been directed to formulate NGIA’s Marketing Plan.


Q. 31. What Federal Govt is doing for Human Development & Social Welfare at Balochistan and Gwadar?.

  • Education and professional grooming is under focused attention for which various types of scholarships like for students from Gwadar, Coastal Regions Higher Education Scholarship Programme, Master Leading to PhD Scholarships Program (Indigenous and Overseas) for the Students of Balochistan have been resumed.
  • Likewise, establishment or extension of universities in almost all parts of Balochistan like Bolan University of Health Sciences, Quetta, Establishment of BUITEMS sub campus at Qilla Saifullah, Establishment of NUST Campus at Quetta, Establishment of University at Sibi, Mir Chakar Khan Rind, Establishment of University College at Dera Murad Jamali, upgradation of SBK university, establishment of University of Gwadar etc have been given special funding considerations. 
  • Women University campuses being established at Pishin & Khuzdar
  • The number of eligible households of Gwadar awaiting registration with BISP has reduced from 8000 to less than 1500.

Q. 32. Which all Federal Projects are likely to be initiated / completed in Gwadar?

a. Drinking Water Supply Scheme Gwadar Town - Inauguration
b. Additional 100 MW electricity from Iran project - Inauguration
c. Shenzhek Dam. - Groundbreaking
d. Distribution of cheques to fishermen - Distribution
e. Gwadar University - Groundbreaking
f. Maintenance Dredging Gwadar Port - Groundbreaking
g. 3000 solar systems installation project - Inauguration
h. Basima-Khuzdar Road - Inauguration
i. New Gwadar Int’l Airport - Soft Opening
j. Pak-China Friendship Hospital - Inauguration
k. 1.2 MGD desalination plant - Inauguration
l. Gwadar Safe City Project - Groundbreaking
m. Interconnectivity of Isolated Mekran Network - Inauguration
n. 2 x Dams (Awaran, Panjgur) - Groundbreaking
o. Turbat-Mand Road - Groundbreaking
p. Panjgur - Gichak - Awaran Road - Groundbreaking
q. 2 x companies in Gwadar Free Zone - COPHCL/ GPA
r. Concept clearance of Gwadar Port & City Development Strategy
s. Concept clearance of Studies on making Gwadar Port More Competitive
t. Concept clearance of Studies on Capital Dredging of Gwadar Port
u. Establishment of Coal Jetty at Gwadar Port - Groundbreaking
v. Cross Stuffing & STS Projects - COPHCL/ GPA
w. Basool Dam Ormara - Inauguration
x. Construction of Breakwater at Gwadar Port - TBD
y. Construction of Shipyard at Gwadar - TBD

Q. 33. What are areas of cooperation for Socio-Economic Development under CPEC?

Both the governments have been agreed to planned and implemented projects in variety of fields, including agriculture, medicine, education, vocational training, poverty alleviation, and fresh water supply across the country. 

Q. 34. How many projects have been conceived under the Socio-Economic Development Domain of CPEC?

27 projects were carried-out under the Joint of Working Group on Socio-Economic Development in two batches, First batch 17 Fast Track Projects and second batch 10 Priority projects. The list of projects can be seen at the following link i.e.  https://cpec.gov.pk/social-sector-development-projects