GOVERNMENT OF PAKISTAN

MINISTRY OF PLANNING, DEVELOPMENT & REFORM

WORKING PAPER FOR THE CDWP

SECTOR: Higher Education

PART-A
(Project Profile)

1. Project title: National University of Technology (Phase-I, Purchase &

Development of land for Main Campus of NUTECH)

2. Location: Islamabad (on Motoreay-2, vicinity of Islamabad

International Airport)

3. Sponsoring Agency: Ministry of Science & Technology, Islamabad

4. Executing Agency: National University of Technology (NUTECH)

5. Implementation Arrangement: Not given related to project, instead organogram of the

university is given. Moreover, PMU has been included in project cost.

6. Agency Responsible for Operation & National University of Technology (NUTECH)

Maintenance:
7. Date of Receipt in M/o PDR: 29th August 2018
8. Sources of Financing:
a) Federal/Provincial/Self Financing: Federal PSDP (HEC)
b) Foreign Aid (Grant/Loan-Likely terms) Nil
9. Cost of the Project:
(Million Rs.)
Original Revised
Local FEC Total Local FEC Total
2996.190 - 2996.190
10. Exchange Rate: (preceding month’s Bank’s Floating Average Exchange Rate in the respective
currency reflected on the website of State Bank of Pakistan): Not applicable
11. Period of Completion and Expected date of Completion: 24 months from the date of execution

12. Plan Framework:

a) PSDP Allocation (2018-19): No allocation in PSDP 2018-19. The project was reflected in
PSDP (S&T Research Division) 2018-19 at Sr. No 1084 with an allocation of Rs. 250 million
for the current financial year. However, in the revised Finance Bill the PSDP was rationalized
and all the unapproved projects including this were dropped. Once approved, this will be
financed through PSDP 2019-20.

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 b) Sector Issues including relationship of the project with them:
i.Sector Issues

 Low enrolment in higher education compared to the region

 Inadequacy of research and its relationship to the technology development, innovation,
enterprise and management
 Low investment in research and development by public as well as private sectors
 Shortage of the PhD faculty
 Minimal national and international collaboration and linkages of universities and R&D
organizations.

ii. Relationship of Project with Sector Issues

Being pioneer technology cum technical skills development university, NUTECH shall
educate 8000-10000 undergrad / post graduates in different technologies and 20000-25000
young people in various technical & vocational skills per annum. This will afford opportunity
to considerable number of youth seeking skills and technical training. Moreover, it will also
help address the issue of large gap prevailing between demand and supply of skilled work
force to different sectors of our industry and society as well.

c) Sector Strategy:
 Ensure equitable access to the higher education
 Continuous development of the physical infrastructure and facilities at universities and
R&D organizations
 Pakistan needs to develop a sound base manpower in emerging and market based
technologies
 Human resource development through indigenous and foreign scholarship programs
 Improving laboratories and equipment facilities of the R&D organizations and
universities
 Ensuring availability of the locally trained manpower as per needs of the industry.

13. Brief Description of the Project:

There is a dire need for a modern skills development university to meet the requirement locally and
internationally. Therefore, capacity enhancement of existing institutions along with newly proposed
hybrid NUTECH envisage to focus towards enhancement of workforce compatible with international
standards, thus ensuring that its graduates will have better job opportunities inland and overseas. In
Japan, Singapore, Germany, South Korea and China, skills development training has been the
singular most important factor in industrialization and economic growth. If a skilled worker performs
well, he is trained further to become Master Craftsman or a State Certified Engineer.

Pakistan, unfortunately lacks requisite infrastructure and capacity to meet ever growing demand of
skilled manpower for industrial growth. Our system focuses on knowledge based education and lacks
the concept of basic as well as higher education in technical and skills development streams. There is
a gap at implementation tier which is seriously affecting / retarding our economic growth. Skills
training are mostly through on job training with no recognized certification or scope of progression.

Large segment of our Youth is unemployed and is desirous of seeking admission in technology
university and technical / vocational training institutes. Being pioneer technology cum technical
skills development university, NUTECH shall educate 8000-10000 undergrad / post graduates in
different technologies and 20000-25000 young people in various technical & vocational skills per
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 annum. This will afford opportunity to considerable number of youth seeking skills and technical
training. Moreover, it will also help address the issue of large gap prevailing between demand and
supply of skilled work force to different sectors of our industry and society as well.

NUTECH is a federally charted university, established under administrative control of Ministry of

Science & Technology on 26th February 2018 through an Act of Parliament and approval of president
of Islamic Republic of Pakistan. It will commence its first five undergrad engineering technology
programs in September 2018 in CTTI, IJP Road, Sector I-12, Islamabad. However, in order to create
a purpose built main campus for NUTECH in line with BoG meeting decision on 4th June 2018, this
PC-1 is being processed for its purchase land and development of essential services. President
Islamic Republic of Pakistan is the Chancellor and COAS is the Chairman Board of Governors
(BoG). BoG comprises both Military and Civil officials besides representatives from HEC, NTC and
members from Academia and Industry.

NUTECH shall focus on technological development training from Associate / Undergraduate Degree
courses to PhD level Degree Programs. NOC to undertake Associate / Undergrad Degree Programs
(Civil, Electrical, Mechanical, Information Technologies and Quantity Surveying) has been granted
by Higher Education Commission of Pakistan (HEC). The courses and the areas/ disciplines will
expand in accordance with the industrial and market requirements. The concept is to introduce higher
education in the realm of technology fields for serving the needs of industry at the execution tier.

Project Objectives

a. To purchase land for establishing a degree awarding university of international standards for
providing a platform to produce sound engineering technologists and graduates to spur
Pakistan’s growth sectors. NUTECH envisions creation of a “university for industry” by
combining 3 Hs – Heads, Hearts and Hands.
b. Undergrad, Graduate/ Postgraduate and PhD programs will be offered in NUTECH to prepare
technologists for the CPEC related projects, industrial zones
& technology parks being established under CPEC.
c. To implement seven pillars of vision 2025 in true spirits through technology education.
d. Among the many distinguished features the salient highlights of NUTECH are the technology
driven innovative teaching, learning and industrial research based engineering education
system, world class qualified faculty, curriculum of the level of world’s top ranking
technology universities of USA and West Europe.
e. strong Academia-Industry linkages as per best international practices, prevailing, emerging
and new technologies based industrial research programs, ‘Outside Classroom’ learning
opportunities, industrial leadership programs, technology based student communities,
technology research groups based culture for the accumulation and creation of new
knowledge frontiers, technology practice opportunities and technology research opportunities
programs and technology for society programs.
f. To replace obsolete technology with emerging technologies through NUTECH

The quantifiable objectives of the project are given at Sr. 17 of working paper.
14. Impact and Outcome – Key Performance Indicators (KPIs)/Tangible Outcome/Deliverables:
At Annexure-I
15. Outcome of Stakeholders Consultation: -
16. Lessons Learnt and Incorporated in Design of the Project: Not given in the PC-I

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17. Breakdown of the Capital Cost: (Million Rs.)

Requirement Requiremen Total

# Items Amount
for Year 1 t for Year 2
1 Purchase of Land including transfer charges 1040.000 - 1040.000
2 Digital Survey of purchased land 1.000 - 1.000
3 Geo tech Investigation 5.200 - 5.200
4 Boundary Wall 149.860 - 149.860
5 Design, Consultancy and Town Planning 3.600 - 3.600
Design & Consultancy : 8 x Services for
6 18.800 - 18.800
development of land
Containerized offices for Project
7 7.500 - 7.500
Management Unit and security staff
8 Construction of project management offices - 65.000 65.000
Earth work, leveling and retaining structures
9 226.730 1383.880 1610.610
as per site requirement
Pay and Allowances of Project
10 17.900 17.970 35.870
Management Unit (PMU) Staff
11 Contingencies 2% 29.410 29.340 58.750
Total Amount 1500.000 1496.190 2996.190

18. Physical and Financial Scheduling: Financial Phasing At Annexure-I

Physical Phasing: Not given in the PC-I.
19. Comparison of original and revised scope of physical/financial targets with comments of
technical section in case of revised project: New Project

20. Detail of Work done and to be done in case of revised project: New Project

21. Overall Unit Cost with Basis of Cost Estimates:

Civil Works:

Unit Cost
Land Cost including transfer charges= Rs 2.60 million per acre
Digital Survey of Land = Rs 2500 per acre
Geo Tech Site Investigation = Rs 13000 per acre
Boundary wall (8 ft high and 9” thick) = Rs 3500 per running ft
Design, Consultancy and Town Planning = Rs 9000 per acre
Design & Consultancy: 8 x Services for development of land = Rs 47000 per acre
Containerized offices for project management team and security staff = Rs 1.00 million per
Container
Construction of project management offices = Rs 4000 per sft
Earth work, leveling and retaining structures as per site requirement = Rs 4.026
million per acre
22. Sustainability of the Project (Annual recurring expenditure, income generated):
Annual recurring expenditure: Nil
Income generation: Not given in PC-I.
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23. A table of observations by the Technical Section, response by the sponsors and analysis of
response by the Technical Section: To be filled after pre-CDWP

24. Requirement of Vehicles: Nil

25. Existing Facilities: Not given in PC-I

26. Ownership of project assets after completion: NUTECH / GoP

27. Reduced map & Elevation of buildings (for Civil works only): -

28. Other Major Ongoing and Potential Projects in the Sector: No other project of University is
ongoing.

PART – B
(Technical Appraisal)

1) The project title in the PC-I is written as “National University of Technology (Phase-I, Purchase &
Development of land for Main Campus of NUTECH)”. Whereas the nomenclature adopted for the
project in PSDP 2019-20 is “Establishment of New Campus of National University of Technology
(NUTECH”. The nomenclature of the project presented in CDWP and that in PSDP needs to be
consistent.

2) The project was submitted by Ministry of Science & Technology for inclusion in PSDP 2019-20.
However, it was decided during formulation of PSDP 2019-20 that the projects of universities should
be reflected under the PSDP of HEC. The PC-I of project was forwarded by Ministry of Science &
Technology in 2018 reflecting Ministry of Science & Technology as the sponsoring agency. The
working paper has been prepared on the basis of PC-I submitted by Ministry of Science &
Technology. The executing agency and new sponsoring agency (HEC) have to extend the ownership
of the project.

3) The PC-I under consideration is very sketchy and needs substantial improvement. The PC-I is
completely silent on existing facilities in terms of physical infrastructure (building, land, equipment
etc.) available with the university, existing human resource /manpower at NUTECH, current
enrollment and projections of the same for future. All these details need to be incorporated in the PC-I
to know the present condition of the available facilities and assess the immediate and future need of
the university. The university should therefore, provide its overall vision plan and indicate its
immediate, mid-term and long-term needs.

4) Total cost of the project is Rs 2996.190 million, which is just borderline with ECNEC limit and in
case of little bit fluctuation in inflation; the cost may cross this limit.

5) The executing agency should state if any feasibility conducted /stakeholders meetings held before
establishing the university and submission of the instant PC-I. If yes, then findings /outcomes of the
same should be made part of PC-I.

6) There is no relevance /link between description part of the project and its objectives with the project
title & activities / items reflected under the capital cost. The description part of PC-I has focus on the
University programs and need of the same, while entire funds under the project have been proposed
for purchase of land for the university and its development.

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7) The sole aim of the PC-I is purchase of land and its development for NUTECH with demand of
around Rs 3 billion funds. In this regard the following is submitted:

a) The location of the project shows “Motorway-2, vicinity of Islamabad International Airport”. No
further information on the proposed 400 acre land intended to be purchased is given in PC-I. It
seems that PC-I has been submitted without undertaking preliminary exercise /research to know
about the extent of land area available to purchase, owner(s) whether Government property or
private land, to make sure that the proposed land is not already under any public or private use or
notified for some other departmental requirement and determine approximate / appraised value of
the same.
b) The PC-I reveals that exact location of the land has yet to be identified and hence cost is based on
assumptions. The executing agency should state how the cost of land and relevant development
activities (especially boundary wall, earthwork, leveling and retaining structures required) have
been calculated without having land at hand and knowing site conditions. Basis of cost estimation
in respect of each item be provided in the PC-I with proper justification.
c) The executing agency has demanded huge amount for purchase of land from PSDP. In view of
the current financial crunch it should have been much appropriate if other options / means were
explored for land / funds acquisition. The executing agency should apprise on possibility of
getting land /funds for the same from Defence budget or Provincial Government (if the intended
location falls under jurisdiction of Punjab Province). It is pertinent to mention that a large piece
of land belonging to Pakistan Railway is just adjacent to the existing campus of NUTECH. The
university being a skill / technology based university can collaborate with Pakistan Railway for
acquisition of this land while starting programs of interest to Railway hence having a win-win
situation for both parties. This may save precious tax payers money.

8) There seems duplication in cost of the proposed items. Consultancy charges should be included once
under single head. Cost of all items should be revisited to be of realistic nature. Duplication in various
heads should be removed in modified PC-I. This will reduce the project components to maximum 04
heads and will result in considerable decrease in cost.

9) PMU has provision for hiring of 16 persons ranging from Project director to Naib Qasid. This number
is very much on higher side for a project of land purchase and constructing boundary wall. As per
prevailing practice, maximum 3-4 persons are allowed under mega projects of the universities. Hence,
the number of proposed personnel should be reduced to 03 posts including Project Manager, Account
/Admn Officer and Naib Qasid. Rest of the posts including project director should be deleted and cost
of the PMU should be rationalized accordingly.

10) Contingencies @ 1% of cost are allowed for development project. This cost has been estimated @ 2%
of the project cost. The same needs to be reduced to 1%.

PART – C
(Economic/Financial Appraisal)
At Annexure-II

PART – D
(Environmental and Social Safeguard Appraisal)

The PC-I has been examined in the Climate Change and Environment Section. Comments are as under:

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 i. The sponsor has proposed to establish Technology at Islamabad. They have not justified why it is
necessary to establish such a university at Islamabad. There are many universities in and around
Islamabad for the same purpose. It is suggested that same may be established at some other place
/location where it is needed particularly in less developed areas.
ii. Purchase of land at the location mentioned will be much costly. On the same cost more land can be
acquired in less developed areas. It is suggested that the sponsor may revisit their proposal for
establishing the university at Islamabad.
iii. Land acquisition should follow Resettlement guidelines to avoid or minimize social environmental
impacts in surrounding areas.
PART – E
(Comments of Physical Planning & Housing Section)
Not received

PART – F
(Comments of Ministry of National Food Security and Research)
At Annexure-III
29 Risks and mitigation measures: -

30 Conclusion:

The project has major objective of purchase of land however, many other heads of cost as well as
PMU have been included in the PC-I. The cost of project can be rationalized to large extent in the
light of technical appraisal.

31 Recommendations:

The project is recommended for consideration of the pre-CDWP to get responses of quarries raised in
technical appraisal before submission to CDWP.

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 Annexure-I

Key Performance Indicators (KPIs)

a. We are facing lot of challenges in terms of trained human resources which will aggravate
exponentially during implementation of China Pakistan Economic Corridor (CPEC).

b. CPEC is a comprehensive and all-inclusive package of cooperative initiatives and

projects, which covers the key areas including connectivity, information network
infrastructure, energy- cooperation, industries and industrial parks etc thus encompassing
entire spectrum of skill industry.

c. To achieve the targets as envisioned in CPEC, a technically strong and skilled work force
is required in all areas; otherwise, Pakistan will have to rely on foreign workforce to fill
the gap of skilled work force. One should not lose this opportunity to develop the
technological skilled work force which is essentially required for accomplishment of the
targets and goals under the initiative of China Pakistan Economic Corridor.

d. There will be tremendous job opportunities for skilled workers for the projects under
China Pakistan Economic Corridor. Pakistan should take immediate measures to
create Technology universities and institutes to produce skilled work force to avail this
opportunity for ensuring timely launch / implementation of CPEC by enabling its huge
youth potential.
e.
 1500-2000 personas will be trained in different Engineering Technologies as undergrad
technologist in phase 1.
 Master level and PhD programs will commence in Phase 2.

f. NUTECH shall directly employ over 900 personnel in NUTECH secretariat while its
affiliated institutes will employ over 1000 personnel including highly qualified
professionals, skilled manpower and lower tier employees which shall directly benefit
thousands of families.

g. It will also help in creating employment opportunities for over 35,000 students per year
to be trained directly and indirectly through its affiliated institutes.

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 RBM Indicators of the Project

Ser Input Output Outcome Targeted impact

Baseline indicators Targets after Completion of
the Project
1.  Capital  Purchase of 400  Presently, the  Under Phase-1, 400 Acres  In the phase-1, the purchase of land and requisite,
 Land Acres land for University will start Land would be purchased. civil work i.e Boundary wall, security measures
 Boundary wall establishment of functioning in its  Boundary wall with fencing and offices for PMU staff and security staff would
alongwith security NUTECH new initial campus at IJP and security posts would be be accomplished
measures. campus Road I/12 Islamabad. constructed.  It will open avenue for launching of phase-2,
 Human Resource  construction of  The Labs and  Requisite earth work, wherein a full fledge campus of NUTECH will be
 Digital Survey of boundary wall equipment of CTTI leveling and designing work established.
purchased land along with fencing would be utilized for would be accomplished.  Establishment of NUTECH will bring quality
 Geo-Tech and security posts practical purpose.  Requisite offices for PMU change in the country by providing skilled
investigation  Earth work and  Initially 5 disciplines staff and security staff manpower to the industrial sector.
 Design, Consultancy construction of of undergrad would be constructed.  The dream of vision 2025 and CPEC would be
and Town Planning offices for PMU programs have been converted into reality i.e the industrial parks to be
 Construction of staff and security permitted by HEC. 4- established under CPEC will be materialized in
offices for PMU staff staff. 5 Disciplines will be terms of replacement of obsolete Technology with
and security staff  Designing, Earth added each year in its Hi-tech robotic technology of the modern era.
 Earth work leveling work and leveling main campus for  NUTECH trained manpower would enhance the
as per site plan.m as per site plan which land is being competiveness of our manufacturing sector’s
would be purchased. products which will grasp the world market.
accomplished.  It will also improve manpower export to middle
east and other friendly countries of the world.
 It will also enhance socio-economic status of the
country at large.