By Ayesha Saba

The revised cost of Karachi’s Red Line Bus Rapid Transit (BRT) project has surged to Rs184.63 billion from the original Rs78.38 billion, according to the latest position paper available with Wealth Pakistan. In dollar terms, the revised project cost has been estimated at $661 million, compared with $493.51 million under the original PC-I, which was based on an exchange rate of Rs158.83 per dollar. The revised PC-I uses an exchange rate of Rs280 per dollar.

The latest position paper puts the cost of work still to be completed at Rs146.95 billion ($524.81 million), against expenditure of Rs37.22 billion ($140.81 million) recorded up to May 31, 2026. According to the document, civil works account for the largest component of the revised project cost, rising to Rs85.16 billion from the original Rs40.97 billion. Of the revised civil works allocation, Rs60.39 billion remains to be spent, while Rs24.77 billion has been utilised up to May 31.

The main corridor (24km) and two depots have a revised cost of Rs61.76 billion. The off-corridor bus stops and improvements component has a revised cost of Rs668 million, while the staging facility and mezzanine floor are estimated at Rs9.46 billion. The revised cost of the BRT network expanded control centre stands at Rs1.88 billion. The paper has also placed civil works contingencies at Rs6.85 billion. The revised PC-I places the cost of equipment at Rs41.38 billion, compared with Rs15.42 billion in the original PC-I.

The equipment component includes Rs20.08 billion for rolling stock, Rs1.06 billion for NMT feeder e-vehicles, Rs8.4 billion for other equipment, Rs5.34 billion for the waste-to-fuel biogas plant, and Rs6.5 billion for electro-mechanical equipment. The position paper also puts the revised cost of energisation at Rs2.8 billion. Meanwhile, the bus industry transition programme has a revised cost of Rs2.13 billion, while consultants account for Rs5.77 billion.

The revised allocation for environmental and social mitigation stands at Rs2.09 billion, while land acquisition is placed at Rs755 million. The document further shows Rs27 billion for taxes, Rs3.58 billion for operating costs and Rs8 billion for contingencies. A separate funding table in the position paper shows that the revised project cost comprises Rs136.84 billion under Foreign Project Assistance (FPA) and Rs47.79 billion under the Government of Sindh, taking the total to Rs184.63 billion.

In dollar terms, the FPA component is $490.31 million, while the GoS component stands at $170.69 million, bringing the combined revised cost to $661 million. The document states that the GoS share includes utility relocation works, direct contracting amount for FWO, provisional sum allocated against claims, environmental and social mitigation measures, including land acquisition, and taxes and duties.

Credit: INP-WealthPk