Professional Documents
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TAIMOR - Reprt body..NHA
TAIMOR - Reprt body..NHA
Table of Contents
CHAPTER 1 .......................................................................................................................3
INTRODUCTION ............................................................................................................3
ESTABLISHMENT .................................................................................................... 3
OBJECTIVES .............................................................................................................. 3
FUNCTIONS ............................................................................................................... 4
WING/SECTIONS ...........................................................................................................9
CHAPTER 2 .....................................................................................................................13
ORIENTATION .............................................................................................................13
CHAPTER 3 .....................................................................................................................22
STRENGTHS ............................................................................................................ 22
WEAKNESSES ......................................................................................................... 23
OPPORTUNITIES .................................................................................................... 24
THREATS ................................................................................................................. 24
CONCLUSION ................................................................................................................26
RECOMMENDATIONS.................................................................................................27
Annexure...........................................................................................................................29
References .........................................................................................................................30
NATIONAL HIGHWAY AUTHORITY 3
CHAPTER 1
INTRODUCTION
ESTABLISHMENT
2001: Amendment in NHA Act 1991. As from the commencement of this act,
there shall be established for carrying out the purposes of this Act, an Authority to be
common seal with power to acquire, hold and dispose off property and may by its name
OBJECTIVES
operating and maintaining the National Highway and Motorway networks throughout
Pakistan. To enhance Pakistan‟s competitiveness in the global market, to sustain the high
economic growth achieved in recent years and to make the country a hub of regional
Motorways. While planning the development of roads, it also considers the well-being of
individuals and businesses throughout the country by improving reliability, quality and
FUNCTIONS
functions include;
Strategic Roads.
operation and development of National Highways and Strategic Roads and undertake
• Acquire any land in accordance with legal procedure and obtain and dispose of
• Procure plant, machinery, instruments and materials required for its use.
• Enter into and perform all such contracts as it may consider necessary.
• License facilities on roads under its control on such terms as it deems fit.
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• Determine a building line between which and the RoW it shall not be lawful
without the consent of the Authority to construct or maintain any structure or make any
excavation.
contribute towards the cost of such studies, surveys, experiments or technical researches
Construction
Maintenance
Pakistan.
Core Wings
i. Planning
ii. Operations
iii. Constructions
iv. Motorways
v. Finance
vi. Administration
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Head Office
Regional Offices
i. Lahore
ii. Multan
iii. Karachi
iv. Peshawar
v. Quetta
vi. Abbottabad
ORGANIZATIONAL STRUCTURE
are directed and regulated through National Highway Council and the Executive Board
The basic function of the National Highway Council (NHC) is to lay down national
policies and guidelines to be followed by NHA in the performance of its functions. The
Council has the power to direct and regulate the affairs of NHA.
Composition:
July 2001, the provisions of the NHA Act, 1991 were amended by the GoP and the NHC
Chairman Member
To approve five year plans and perspective plans, prepared by the board in
consultation with the planning & Development Division, for the construction,
development, repair & maintenance of National Highways & Strategic Roads specially
The general direction and administration of NHA and its affairs vest in the
Executive Board which may exercise all powers, perform all functions and do all acts and
Composition
FUNCTIONAL SETUP
NHA has its Head Office at Islamabad with the Chairman as its Chief Executive
Officer. It is functionally divided into five core wings namely Planning Wing, Operation
Wing, Motorways Wing, Finance Wing, Administration Wing and two further wings of
Construction & Aided Projects Wing. Then there are three independent sections of
Each wing is headed by a Member. All Members are functional heads of their
respective wings. They are assisted by General Managers who are operational heads of
wings. The head office controls the operations of the Authority throughout the country.
WING/SECTIONS
HEADED BY:
MPO GM (MPO)
EALS GM (EALS)
NHIP GM (NHIP)
NEP GM (NEP)
Motorways Member
Motorways GM (Motorways)
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Revenue GM (Revenue)
Admin GM (Admin)
Establishment GM (Establishment)
FINANCE WING
The services of NHA are delivered after complete planning at different wings of
NHA. Since my work field in the course of training was relevant to Finance, so I was
placed in the Finance Wing of NHA. The Finance Wing is headed by the Member
Finance. In terms of the provisions of NHA Act 1991 (as amended in 2001), the Member
(Finance) is also a Member of the NHA Executive Board. Finance Wing deals with all
i. Financial Functions
Establishment)
Tax matters
Statements
The operations of the Finance Wing under Member Finance are divided in to
Finance Department under GM Finance & Budget & Accounts Department under GM
B&A.
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CHAPTER 2
My internship at NHA has been for 6 weeks (Aug to Sep) because that was
summer-off from the Institution and was the best time to utilize it in a useful way before I
unleash my career apart the fact it was required for completion of my degree.. As far as
the question is concerned, why I chose NHA, the reasons are simple and logical and that
is that I had a reference over there I wanted to experience a public sector organization.
ORIENTATION
orientation session was organized. The orientation was designed describing the working
of Accounts Department at the regional Office (where I was positioned) and the different
departments of the Finance Wing at Head Office that are interrelated with the NHA
Section and CP Fund Section, Government of Pakistan (GOP) Section, Aided Projects
During the orientation session at the Budget Section, I was told that the section is
responsible for preparing the budgets for the authority. This section estimates the
revenues and expenses for the financial year and makes budgets for the coming period.
Development Budget
Development Budget (also known as Capital Budget) is made out of the funds
granted (on annual basis) by the Federal Government for development of roads. The
amount for this budget is determined on the basis of estimates made by Planning and
Operations Wings. After this, the data is compiled and sent to Chairman for the approval.
If approved, the budget estimates are sent to Ministry of Communication where Financial
Adviser examines the estimates. Before the budgets are finalized, a meeting is held which
and Economic Affairs Division. The estimates recommended by this committee are
the Prime Minister of Pakistan. Finally, these estimates are submitted in the Parliament
for approval.
b. Non-Development Budget:
subcategories:
1. Maintenance Budget
2. Establishment Budget
Maintenance Budget
This is the budget which is required for the maintenance of existing completed
requested to prepare Budget estimates and submit it to NHA budget section of Finance
Wing. Budget section compiles the estimates and submits the same to Ministry of
Ministry of Finance (MOF) for approval. Finance Division allocates the funds for
maintenance grant and MOC releases these funds to NHA on quarterly basis.
Establishment Budget
NHA upon the request of Budget Section. Budget section prepares and compiles the
budget estimates for the posts and submits it to MOC and the same is forwarded to MOF
for approval. Finance Division allocates the funds for the establishment charges under
MOC 252 core posts. Again MOC releases these funds to NHA on quarterly basis.
The second week of my internship was scheduled for the orientation to Revenue
Section of Finance Wing. I was told that the main function of revenue section is to collect
revenues for NHA. In addition, it also makes payments for repair & maintenance of roads
as per maintenance plan devised by Road Assets Management Directorate (RAMD). So,
this Revenue Section can be categorized into two sub-sections i.e., Receipts & Payments.
Receipts Section
As the name specifies, this section is responsible to collect revenues for NHA.
The main sources of revenue generation are toll receipts, rent from hotels, rent from
petrol/CNG stations, hoardings and advertisements, sale proceeds of NHA assets, tender
documents fees, taxes and police fines etc. These revenues are collected through
contractors like TRAME, EPL etc. These contractors receive revenues from the service
users and deposit it into the account of NHA by the name of „Road Maintenance Account
(RMA)‟. These deposits can be made on daily, weekly, monthly or quarterly basis (as per
Payment Section
Payment Section makes all payments regarding repairing and maintenance of the
roads. The payments are made for routine maintenance, periodic maintenance, emergency
Mobilization Advance, Secured Advance, Interim Payments Certificate (IPC) and final
payment to contractors and consultants as per contract requirements. The Section is also
responsible for transferring funds to Regional Offices on their demand, according to their
The next scheduled department for my orientation was the Establishment Section.
This section deals with payments of salaries, allowances and other personal benefits of
NHA Establishment Grant is allocated for the salary payments and allowances of
permanent employees of NHA. This grant comes from the Ministry of Communication.
These permanent employees are 252 in number who are getting their salaries out of this
grant.
those employees who are working for NHA on contract basis. These employees are hired
according to the projects initiated by NHA. It is called 1% because in actual it is the one
Fourth week of my internship was scheduled for GOP section. „GOP‟ stands for
oriented by also to do some practical work. At the very first day of the fourth week, the
orientation session was held, in which I was briefed by Mr. Afzaal (AD) about the
This section deals with all accounts and finance related matters of those projects
which are directly or indirectly funded by the Government of Pakistan. This is one of the
Government of Pakistan. So, one can imagine the level of work and commitment
needed in this section. Whenever a project is started, total project cost is estimated and
planned by the planning wing. These projects become part of Annual Development
Program and Federal Government allocates funds in annual budget. For completion of
these projects, tenders are called from pre-qualified contractors and the project goes to
Mobilization Advance,
Secured Advance,
These advances are not given to the contractors until and unless they give
securities in the form of Bank Guarantees to NHA. All payment bills are singed by
Project Consultant and Project Resident Engineer/ Project Director and are send to
General Manager concerned, who, after certification, sends those bills to General
From the second day of my schedule at GOP Section, I got started to work. The
Establishment Work
Establishment work at GOP Section is related with almost all other accounts
sections of NHA. It covers all the expenses related to employees‟ salaries, allowances
and personal benefits including medical expenses, house hiring, conveyance charges,
utility charges etc. In this regard, I learnt how to make vouchers for medical expenses,
house hiring, overtime and utility expenses etc. These vouchers were made in the General
Ledger (GL) Software by entering the employee‟s name, employee number, amount,
debit/credit distinction and explanation for the expense. Mr. Adil (SAC) helped me a lot
Imprest
By imprest we mean that amount which is sent to regional offices of NHA from
the Head Office Islamabad. This is called imprest because this amount is sent to meet the
day-to-day expenses of the regional offices. Expenditures are made at the regional offices
and expenditure statements sent to the head office, which are checked and verified at
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head office. I learnt how to verify those expenses with the reference documents which
were sent as evidence for the expenses incurred. These reference documents can be used
mobile cards, paid-bills etc. After verification, the next step was to enter those expenses
Consultancy Work
submit their invoices on monthly basis. The consultants‟ invoice must contain the
following:
arithmetically and to make sure that all the requirements have been fulfilled by the
consultant. I also used to prepare the vouchers for payment to the consultant. This was
one of the toughest tasks assigned to me, so I consulted Mr. Faheem and again to avoid
any mistakes and error in it. He always welcomed me and answered my queries very
politely.
Contractors’ Work
in this regard but just to understand the whole process that how tenders are given to the
contractors, how bidding is conducted and how the contractor with the lowest bid is
My fifth scheduled week of internship at NHA was for AP Section. AP stands for
Aided Projects. As the name denotes, this section deals with those projects which are
funded by foreign donor agencies. Major donor agencies include World Bank, UNDP,
Asian Development Bank and Japan Bank for International Cooperation etc. Financing
Direct Financing
In direct financing because NHA directly negotiates with foreign donor agencies
and signs agreement for loans. There is no third party involved in this type of financing.
Indirect Financing
The Government of Pakistan obtains loans from donor agencies and gives it to
NHA for utilization. All terms & conditions relevant to withdrawal, utilization and
repayment of these loans are set at the time of agreement. Handbooks are provided for
I worked in Aided Projects Section for 6 days. The first day was scheduled for
orientation session, in which I was told about the functions and operations of the AP
Section. I found the working in AP Section and GOP Section almost the same. The vital
difference was that in GOP the projects were funded by the Government whereas in AP,
all projects are aided projects. So, the work in these two sections was almost the same.
Consultants‟ invoices, contractors‟ bills, etc are processed in the same way as
they were processed in the GOP Section. This section also deals with the establishment of
the employees working on the projects dealt in this section. Foreign currency is also
involved in the projects dealt in Accounts Section AP i.e. the payment is made in both
NATIONAL HIGHWAY AUTHORITY 21
local and foreign currencies. What I did in the AP Section were arithmetic verification of
quantities and rates in the measurement books which were already recorded by an
engineer of the project. In those books he provided the original cost of the contract, the
measurement date, mobilization advance and secured advances paid and recovered
validity of the bank guarantees etc. I was supposed to arithmetically check the rates and
quantities recorded in those measurement books. After satisfied verification, tax was
charged and retention money was mentioned along with the details. After that the
In the last days of my fifth week at AP Section, I learnt to maintain the cash books
of a few projects. I have to record the voucher details in the cash books, in a specific
format. This activity was done at the end of each month and as it was the end of July, so I
encountered it in the AP Section. Other than writing the cash books, I used to reconcile
CHAPTER 3
SWOT ANALYSIS
and threats SWOT analysis is careful evaluation of an organizations internal strengths and
2. Neutralizing it threats.
SWOT analysis is one of the most important steps in formulating strategy using the
competencies and weakness and external opportunities and threats. The goal is to then
develop good strategies and exploit opportunities and strengths neutralize threats and avoid
weaknesses.
STRENGTHS
The working environment for employees at NHA is much better than most of
NHA has a strong commitment and a relationship of trust with the leading
NHA has a strong commitment and a relationship of trust with the associate
Sources of revenues are huge in number for NHA like through toll taxes,
successfully on the entire organization and creating a platform for the unified data storage
and retrieving.
projects.
WEAKNESSES
Female employees are very rare which makes NHA Office as male-dominated
Office assets of the organization are misused. For example, official vehicles are
OPPORTUNITIES
Fast growing population and urbanization has created more avenues for work on
NHA can help in increasing the Foreign Direct Investment - FDI of Pakistan by
can add to government revenues Besides awareness campaigns like for protection of the
plants and trees and abiding by the rules and regulations of the roads.
NHA can play an important role in promoting trade providing supply lines.
THREATS
Privatization can also be a threat as in case that case working may improve but at
Natural disasters like Tsunami or Earthquakes can destroy the highways and
organization is feared.
NATIONAL HIGHWAY AUTHORITY 25
NATIONAL HIGHWAY AUTHORITY 26
CONCLUSION
I found NHA as one of the better organizations as compared to rest of the public
sector organizations. It has rendered a lot of services to Pakistan and the Pakistani People
by enhancing the infrastructure for trade and communication in the country. It is one of
those organizations which can become benchmark for others if just it makes few changes
in its operations and practices. Verbally, the functions of NHA can be categorized as
providing a platform for the economic progress and stability in the country.
While doing internship at NHA, I got able to equip myself with the experience of
practical life and especially the learning of working in a public sector organization. Most
importantly it taught me how to carry one self inn an organizational setup, how to interact
with people and how to work in group as a team. I think, I was successfully able to gain
sufficient knowledge of office work which will help me throughout my career to polish
RECOMMENDATIONS
Though two months are not enough to understand and give suggestions for the
observations:
Leadership should be strong and changed after a fixed period of time. This will
reduce the stagnancy amongst the operations of NHA and will remove the
Most of the work done at the Finance Wing is through the Trainees who are
working for very limited salary packages. According to observation, most of them
are educated and well qualified. So, if their salaries are increased or if they are
accepted as the permanent employees, they will definitely put their more extra
Audit should be done twice or thrice a year to reduce the corruption and frauds as
A cafeteria must be opened within the premises of its offices so that time wastage
All the employees should be computer literate and the entire system of NHA be
shares its offices with National Highway & Motorway Police in wake of the
Employees‟ evaluation should be made on their performance and not just their
level of experience.
NATIONAL HIGHWAY AUTHORITY 29
Annexure
NATIONAL HIGHWAY AUTHORITY 30
References
1. http://nha.gov.pk/en/vision-mission/
2. http://nhmp.gov.pk/