Manual for Development Projects

Chapter # 06

Project Approval

Presented By: Mr. Abbas

Project Cycle Management

Approval Stages

– Project Cycle– Approval in Principal– Clear purpose should be defined for getting

approval– Conditional Approval:

Where approval has been given to a project with certain conditions, it has to be ensured by the executing agency that those conditions are duly fulfilled, especially those which have to be fulfilled prior to the execution.

Project Approving Bodies

• Different levels:

– National Economic Council (NEC)– Executive Committee of National Economic Council (ECNEC)– Economic Coordination Committee of the Cabinet (ECC) – Central Development Working Party (CDWP)– Departmental Development Working Party (DDWP)– Provincial Development Working Party (PDWP)

National Economic Council (NEC)

– Supreme policy making body in economics field– Headed by chief Executive (PM or president) – Members:

Federal minister in charge of economic minister, and the deputy chairman of planning commission and CM and governor of provinces.

– Controller all the planning machinery and approving authorities of plan and policies relating to development.

Executive Committee of National Economic Council (ECNEC)– Headed by federal Minister of Finance– Decision taken by ECC in 28-1-1997– Adviser to the Prime Minister for Finance and Economic

and Planning was designated as its Chairman– Member’s Functions are:

– To sanction development schemes in the public and private sectors.– To allow moderate changes in the plan and in the plan allocations.– To supervise the implementation of economic policies laid down by

the NEC or the Government.

Economic Coordination Committee of the Cabinet (ECC)

– Headed by federal minister of finance and federal ministry of economics

– Look after Day to day economic matters– Coordination with Economic policies– Make proposal to maximize production– It gives approval to project of private sector and energy

sectors of public sectors

Central Development Working Party (CDWP)

– Dev. projects exceeding a certain financial limit prepared by the Central Ministries, Provincial Governments, etc., are scrutinized for the purpose of approval.

– Headed by the Deputy Chairman, Planning Commission– Members:

The Secretaries of the Federal Ministries concerned with the development and the heads of the Planning Departments of the Provincial Governments.

– The schemes approved by the Central Development Working Party costing Rs. 100 million.

– Above are submitted to the Executive Committee of the National Economic Council for final approval.

Departmental Development Working Party (DDWP)

– It is a body for approving development projects/ programs for Federal Ministries/Divisions/ Departments according to their approved financial limits.

– It is headed by the respective Secretary/ Head of Department and includes representatives of Finance Division and concerned Technical Section in the Planning and Development Division.

Provincial Development Working Party (PDWP)

– Each Province has a Provincial Development Working Party – Headed by the Chairman, Development Board/ Additional

Chief Secretary (Development) and includes Secretaries of the Provincial Departments concerned with development, as its members.

– The Provincial Development Working Party scrutinize various projects for inclusion in the Annual and Five Year Plans.

– It is competent to approve projects up to a certain financial limit.

– Projects exceeding this limit are submitted to the Central Development Working Party for approval.

Thank You