Transparency International Urges Prime Minister to Intervene in Alleged Direct Award of Rs 60 Billion Dredging Contract

Islamabad:Transparency International Pakistan (TIP) has called on the Prime Minister to intervene in a major procurement controversy involving a **Rs 60 billion dredging contract** at Port Qasim, after allegations surfaced that the project was being awarded **without competitive bidding**.
In a letter addressed to the Prime Minister’s adviser, TIP stated that it had received a complaint alleging that **Port Qasim Authority (PQA)** and the newly established **National Dredging & Marine Services (NDMS)** were preparing to award the country’s largest maritime dredging project to a private company on a **direct-contracting basis**, violating **Public Procurement Regulatory Authority (PPRA) rules**.
According to the complaint, NDMS—established in July 2025 with collaboration from PQA, Karachi Port Trust, Gwadar Port Authority, and National Logistics Corporation—was set to hand over a **$200 million (Rs 60 billion)** dredging contract without tendering, allegedly citing “urgent instructions” from the Prime Minister to accelerate dredging at Port Qasim.
TIP, after reviewing the complaint, stated that **the allegations appear credible**. It noted that dredging at Port Qasim has been pending for **17 years**, despite earlier commitments to deepen the channel to 14 meters. A previous tender floated in 2008 received a minimum bid of **Rs 10.7 billion**, but it was cancelled without explanation. Due to years of delays and neglect, the project’s cost has now ballooned to **Rs 60 billion**.
The organization warned that seeking an exemption from PPRA rules could lead to **massive financial losses to the national exchequer**, as direct contracting eliminates competitive price discovery.
TIP further noted that the Prime Minister had recently ordered an inquiry into the **non-competitive award of the Lyari Expressway contract**, and urged a similar investigation into the actions of PQA and NDMS.
The watchdog also recommended accountability for those responsible for delaying a project that could have been completed two decades ago at **one-sixth of the current cost**, resulting in a **600% price escalation**.
TIP requested that the Prime Minister direct PQA to issue **open international tenders** in accordance with PPRA rules, arguing that competitive bidding is likely to significantly reduce project costs. It also urged investigations into why PQA and NDMS attempted to bypass the tendering process, especially when direct contracting would save only around **30 days** compared to open bidding.
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