Frontier Works Organisation deposits Rs284 million in National Highway’s Account on account of toll collection

Rawalpindi, September 19, 2012 (PPI-OT): An official of Frontier Works Organization (FWO) stated that in compliance with directives of Public Accounts Committee (PAC), FWO has deposited Rs. 284 Million to NHA on account of toll collected in July 2012. However, he clarified certain aspects related to the issue which were not being accurately projected in the media.

The official explained that according to the Operation and Maintenance (O and M) contract of the Motorway, NHA was required to pay O and M charges to FWO, as soon as it received the toll collected by FWO. However, NHA had stopped the payments in March 2008. Not only this, but payments on other projects executed by FWO in different parts of the Country, were also withheld by NHA on the plea of non availability of funds. Resultantly, FWO’s liability against NHA had risen to Rs. 13.1 billion by July 2012, including bills pending since 2007. Such huge liabilities were severely affecting projects at hand and FWO’s sustainability as a national organization.

The official further said that even after the adjustment of Rs 7.9 billion on account of motorway toll, NHA still owes Rs 5.2 billion to FWO, against the works already executed and vetted by NHA. He highlighted that despite the shortfall, FWO’s immediate response to PAC’s instructions underlines the organization’s ethics as well as the trust that its liabilities will be addressed soon in accordance with the latest instructions to NHA by PAC.

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Inter Services Public Relations (ISPR)
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