INTERNSHIP REPORT

PLANNING & DEVELOPMENT DEPARTMENT

GOVERNMENT OF THE PUNJAB

Submitted by:

M Bilal Tahir
2014-ag-4967

A report submitted in the partial fulfillment of the requirement for the degree of B.Sc. (Hons.)
Agricultural & Resource Economics.

Institute of Agricultural & Resource Economics

Faculty of Social Sciences
University of Agriculture, Faisalabad
 Acknowledgement
I am immeasurably indebted to Allah Almighty, the propitious,
the benevolent and sovereign who’s blessing and glory flourished
our thoughts, thrived our ambitious, given me talented teachers,
affectionate parents and unique friends.

Trembling lips and wet eyes praise for Holly Prophet

‫ ﷺ‬for enlightening my conscience with essence of fair
in Almighty Allah converging all of His kindness and mercy upon
him.

I express my profound feelings of gratitude and indebtedness to the

honorable Mr. Zulfiqar Ahmad, AC FW&F, Planning and
Development Department, Lahore, for his sympathetic attitude and
enlightened supervision throughout the internship period. I intimate my
heartiest and sincerest sense of gratitude to him for his support,
expertise, suggestions, encouraging attitude and His sincere guidance
was always with me during my internship work.

Last but not the least; I must acknowledge my beloved parents whom
prayers have always been matter of encouragement throughout our life
and especially during the course of the study as this was for the very first
time I was studying away from home.
M Bilal Tahir
 Contents
Sr.No Particulars Pg.No.
.
1 Introduction of Planning and Development 4-6
Department
2 Planning Machinery 8-12
3 Approval Process of Development Projects 13-18
related to Agriculture and Food (Analysis of
PC1 Forms and Working Paper)
4 Analysis of Annul Development Project (ADP) 18-26
5 Planning Commission Performa 27-30
 Planning and Development Department

Introduction
The Planning and development Department, Government of Punjab, is the principle planning
organization at the Provincial level. It coordinates and monitors development programs and
activities of the Provincial Government. The department also prepares and overall medium term
development framework of development activities in the Province. In this manner, the Planning
and Development department is one of the main actors in the growth of this economic potential
of the Province.

Mandate
The mandate of the Planning & Development department includes provision of technical support
and coordination to various Government departments in their planning activities. The Planning &
Development department is also the main Government agency working with foreign donors in
the Province.

Message
In the coming years till 2018, Punjab needs to grow at 8% per annum to provide jobs to nearly 1
million people entering the workforce every year. This growth target is similar to that proposed
in the Government of Pakistan’s Vision 2025 which sets doubling of current GDP as the target.

For sustained improvement in living standards, growth has to be private sector-led, employment
intensive and export intensive, regionally balanced and environmentally sound. The strategy for
growth, furthermore, has to address the health and education outcomes that lower living
standards of the poor. Punjab’s growth strategy also has to provide, in tandem with initiatives of
the Federal Government, an adequate safety net for the bottom quintile of the population.

A doubling of GDP growth will require substantial increase in investment in physical and social
infrastructure, in downstream agriculture, manufacturing and services activity. A private sector-
led Growth Strategy will ensure that the public sector investment program is designed to
leverage public-private partnerships in the provision of infrastructure that “crowds in” private
investment in downstream production activity.

The Planning & Development Department remains committed to a development strategy that
fulfills the needs and aspirations of the people.

Objectives
The main objectives of the Planning & Development department are:

 Assessment of the material and human resources of the Province.

 Formulation of long and short term plans.
 Recommendations concerning, prevailing economic conditions, economic policies.
 Examination of such economic problems as may be referred to it for advice.
 Coordination of all economic activities in the Provincial Government.

Functions
The functions of the department are listed in the rules of business of the Government of Punjab.
The same are as follows:

 Preparing the Annual Development Program (ADP) in coordination with all departments
of Punjab Government.
 Approval of Development Projects.
 Preparing Five year and other Provincial Development Plans.
 Monitoring and implementation of development programs and projects.
 Coordination with the departments with respect to development activities.
 Coordination of External Capital Assistance.
 Coordination the Provincial Government’s views on economic policy issues.
 Conducting research in economic issues of interest to the Provincial Government.
  Determining policy for the approval of development schemes in the provincial
Government. It also acts as a clearing house for development schemes within the
competence of the Federal Government (Executive Committee of National Economic
Council (ECNEC) / Central Development Wording Party (CDWP).
 Acting as a catalyst between different development departments in order to improve the
pace and quality of economics development in the Province.
 Implementation relating to development and administration in respect of foreign assisted
funded projects in the province.
 Preparation of Five year / Rolling Plans.
 Monitoring the utilization of Annual Development Programme (ADP) funds.

Planning and Development Board

The Planning & Development Board is the main development forum in the Province. The Board
is headed by a Chairman, five Members and a Chief Economist. The Planning and Development
department is the institutional home of the board. The Secretary Planning & Development is the
Administrative Head of the Department.

Sectors
Following are the sectors of Planning & Development Department:
 Agriculture
 Forestry
 Livestock
 Tourism
 Irrigation
 Industries
 Roads
 Water Supplies
 Government Buildings
 Health
 Social Welfare
 Access to Justice Programme
 Education
 Information Technology
 Information & Culture
 Environmental Planning
 Planning Machinery
The planning machinery in Pakistan has witnessed radical transformation since independence.
Over a period of about Sixty (60) years (Planning Board later named as Planning Commission
was created in 1953), the planning process has been institutionalized. As a consequence, a
number of planning agencies have come into existence at different levels in the country.

The existing structure of the planning machinery is as under:

 National Economic Council (NEC).
 Planning Commission.
 Planning Development Department / Board.
 Administrative Department.
 Divisional Offices.
 District Government.
 Tehsil Municipal Administration (TMA).
 Category-I Officer.

The main functions of the above mentioned bodies are explained below:

 National Economic Council (NEC)

The National Economic Council (NEC) is the statuary supreme policy-making body in
the economic field. The NEC is in overall control of planning machinery. All policy guidelines
for Development purposes originate from this apex body. The NEC have to review the overall
economic condition of the country advising the Federal Government and the Provincial
Governments, formulate plans in respect of financial, commercial, social, economic policies,
guided by the Principles of Policy.

Following are the functions of NEC:

 To approve, evaluate and review economic policies and economic situation

 To approve Five Year Plans (MTDF)
 To approve the Annual Development Plans (ADP)
 To approve all non-profit projects
 To approve Provincial developments schemes in the public sector above a certain
financial limits.

The process of approval on the behalf of NEC (National Economic Council) is carried out by its
executive committee named as Executive Committee of National Economic Council (ECNEC).
  Planning Commission

Planning Commission, Government of Pakistan including Planning & Development Division

occupies the central position in the overall planning machinery.

The functions of this institution are given below:

 To prepare national plans including Public Sector Development Programme (PSDP) at

periodic intervals for the economic and social development of the country.
 To make assessment from time to time of the human and material resources of the
country.
 To coordinate the examination of development programmes and projects with the
appropriate authorities.
 To analyse and make recommendations on important economic policies and problems.
 To prepare date for the use of aid-giving countries, economic appraisement and
evaluation.
 To advise on the nature of the machinery of securing the efficient execution of the
national plan.
 To measure performance against promise, especially be comparing actual with estimated
cost of projects.
 To devise, obtain, collect and distribute to all concerned reports on the progress of
projects, and to prepare periodic digests of these reports for the information of the
Government.
 To watch the implementation of approved development projects, particularly aided
projects.

The planning & Development division acts as a Secretariat of the Planning Commission. The
processing and approval of development projects is the function of Planning & Development

Division, through the forum of Central development Working Party (CDWP) that has following
functions:

 Work as cleaning house for all projects to be approved by Executive Committee of

National Economic Council (ECNEC).
 Approve projects of Federal Ministries / Division, which prescribed financial limits.
 Accord concept clearance for foreign funded projects.
  Planning & Development Department / Board
At the Provincial level, planning & Development activities of all the National building
department and agencies are coordinated by the Planning & Development Department.

The functions of the Planning & Development department are as under:

 Preparing the Annual Development Programme (ADP), Five Year Plans, Rolling Plans
and perspective Plan in coordination with all departments of the Government.
 Allocation, preparation and monitoring the utilization of Annual Development Program
(ADP) funds and undertaking field inspection of development projects during the course
of a financial year.
 To act as advisor to the Provincial Government in economic policy & Development
issues and to coordinate within the Province and with Federal Government.
 Determining policy for the approved development schemes at Provincial level. Carrying
out sectoral surveys, appraising mission reports, development schemes and granting
approval to the development schemes, clearance of the schemes by the Provincial
Development Working Party (PDWP) for further consideration at Federal level.
 Coordination and approval of foreign training facilities including fellowships, seminars
etc. for the persons from Government / semi-Government / Autonomous Bodies and
other organizations / institutions.
 Representing / assisting Punjab Government at various forms of Federal Government,
such as Executive Committee of National Economic Council (ECNEC), National
Economic Council (NEC), Council of Common Interest (CCI), National Credit
Consultative Council (NCCC) and Agriculture Credit Consultative Council (ACCC).
 Coordinating environmental policy at Provincial level by linking production with
resource conservation and supporting the evaluation of technical and socio-economic
responses.

 Administrative Department
Administrative department including Departmental Development Sub-Committee (DDSC)
coordinates al planning & Development activities at departmental level.

The functions of this institution are as under:

 All matters relating to the formulation and approval of development projects, specially
policy formulation and coordination of activities relating to Annual development
Program (ADP) and its review, processing of all development schemes and proposals
submitted by the line departments.
 Preparation of proposals for inclusion in Annual Development Programme (ADP).
  Recommendations for Sector-wise / Scheme-wise reallocations.
 Assessment of requirements, programming and negotiations for external economic and
technical assistance from donor agencies, through the concerned Federal Government
Ministry / Division.
 Review of implementation of development projects and programs to identify bottlenecks
and take remedial action.
 Identification of regions sectors and sub-sectors lacking adequate portfolio of projects
and taking steps for the preparation of sound projects in those areas.
 Technical and economic appraisal of projects.
 Coordination with donor agencies for donor funded projects.

 Divisional Offices
Divisional Offices including Divisional Coordination Committee is a part of planning
machinery.
The functions of this institution are given below:

 Finalization of list of schemes for inclusion in the Annual Development Program (ADP).
 Approval of developmental schemes.
 Selection of sites for the location of units.
 Progress Monitoring of development schemes.
 Evaluation of important on-going or completed development schemes.
 Preparation of Five Year Plans for Divisions.
 Coordination functions.

 District Government
At the District level, planning & development activities are coordinated by the District
Government. District Development Committee (DDC) is meant to coordinate development
activities of respective District.

The functions assigned to this institution in respect of Annual Development Program (ADP) are
as follows:

 Finalization of list of schemes in respect of rural water supplies, rural health and school
education.
 Approval of schemes in respect of rural water supplies, rural health and school education.
 Review of Annual Development Program (ADP) schemes.
 Progress Monitoring of development schemes.
  Make recommendation with a view to ensuring co-ordination in the matter of planning in
the state.

 Tehsil Municipal Administration (TMA)

At the Tehsil level, the Tehsil Municipal Administration (TMA coordinates planning &
Development activities. The TMA is responsible for spatial planning and municipal services,
exclusively working closely with the Union Councils, Village / Neighborhood Councils and
other civil society and private organizations.

The functions of TMA are as under:

 To prepare spatial plans for the Tehsil in collaboration with Union Councils, including
plans for land use, zoning and functions for which the Tehsil Municipal Administration
(TMA) is responsible.
 To seek approval of the Tehsil Council to the spatial plans prepared by it after due
process of dissemination and public enquiry, incorporating modifications on the basis of
such inquiry.
 To execute and manage development plans.
 To exercise control over land-use, land-subdivision land development and zoning by
public and private sectors for any purpose, including for agriculture, industry, commerce,
markets, shopping and other employment centres, residential, parks, entertainment,
passenger and freight transport and transit stations.
 To prepare budget, long term and annual municipal development programs in
collaboration with the Union Councils, under the directions of the Tehsil Nazim.
 To develop and manage schemes, including site development in collaboration with
District Government and Union Administration.

 Category-I Officers
Category-I Officer of all departments is also the part of planning machinery. The Office
of the Category-I Officer performs as Secretarial of the projects, normally, the Category-I
Officers constitute internal committees themselves to scrutinize the proposals before approval by
them, instead of approval of schemes at a forum, approval is accorded through executive order.
 Heads of Planning Machinery
The heads of the planning machinery are as under:

Department Head
Planning Commission Deputy Chairman
Planning & Development Department Chairman
Administrative Department Secretary
Divisional Offices Commissioner
District Government District Coordination Officer (DCO)

Bodies Head
National Economic Council (NEC) Prime Minister
Executive Committee of National Economic Federal Minister of Finance
Council (ECNEC) Deputy Chairman
Central Development Working Party Planning Commission
(CDWP)
Provincial Development Working Party Chairman Planning & Development
(PDWP)
Departmental Development Sub-Committee Secretary
(DDSC)
Divisional Development Committee Commissioner
District Development Committee (DDC) District Coordination Officer (DCO)
Tehsil Municipal Administration (TMA) Tehsil Municipal Officer (TMO)

Approval of Development Projects

The Planning & Development Department acts as the Secretariat for the Provincial Development
Working Party (PDWP).

The approval process of development projects is categorized as follows: 

Executive Committee of National Economic Council (ECNEC)
ECNEC is the final approving authority for any provincial project costing beyond 10,000 Million
and projects as mentioned below:

 Any project involving foreign component

 Any project of irrigation costing 1,000 billion or more

Central Development Working Party (CDWP)

CDWP, which is located at Planning and Development Division, Planning Commission,
Islamabad, is a clearing house for any provincial project. The technical, financial and economic
analyses of various projects are carried out by the Appraisal & Evaluation, Technical and other
related sections. Projects with individual costs exceeding Rs. 10,000 million are recommended
by the PDWP to the CDWP.

Provincial Development Working Party (PDWP)

The Provincial Development Working Party (PDWP) is a clearing house of development projects
sponsored by various line departments. The PDWP is empowered to sanction projects ranging
from Rs. 200 million to Rs. 10,000 million.

The projects are sent by the administrative departments for approval to the PDWP, which
comprises of:

Chairman, Planning and Development Board - Chairman

Members
 Secretary, Finance
 Secretary, Concerned (project sponsoring) Department
 Secretary, Environment Protection Department
 Director, Punjab Economic Research Institute
 All members of P&D Board
 Any Co-opted Member

Departmental Development Sub-committees (DDSC)

Projects costing from Rs. 200 million up to Rs. 400 million are within the approving competency
of DDSC. The DDSC constitutes of the following committee members:
Secretary of Administrative Department - Chairman
Members
 Representative of Finance Department (not below the rank of Deputy Secretary)
 Representative of P&D Department (not below the rank of Chief of Section)
 Representative of C&W/ Engineering  Department (not below the rank of Chief
Engineer)
 Any Co-opted Member

Divisional Development Working Party (DDWP)

Projects costing up to Rs. 200 million are approved by the DDWP headed by the respective
Commissioner. The DDWP constitutes of the following committee members:

Divisional Commissioner - Chairman

Members
 DCOs of the division 
 SE (Irrigation & Power) 
 SE (C&W)
 Divisional Head of the sponsoring department 
 Director (Dev/ Finance) (Member/Secretary)

District Development Committees (DDC)

Project costing up to Rs. 50 million are approved by the DDC of each district. The DDC
constitutes of the following committee members:

District Coordination Officer - Chairman

Members
 EDO (Finance & Planning)
 EDO (Works & Services)
 EDO (Revenue)
 EDO (Concerned)
 District Officer (Planning) (Member/Secretary)

List of Development Projects I worked on:

I worked on a wide range of development projects under the supervision of Mr. Zulfiqar Ahmad
but here, I just couldn’t resist the assistance of Mr. Ahmad Awan who continually helped my
throughout my beginning and end of this internship. In these projects, I was supposed to look for
the;
 Name of Agriculture Wing
 Name of project
 Estimated cost
 Gestation period
 Objectives
 Scrutiny
(In this phase, I have to look for the project’s agriculture policy, growth policy,
civil work, and its strategy paper and plan on how to execute a project)
 Comments
(After the whole analysis of a project, I was supposed to give comments by
undertaking each and everything of the project and was asked to tell, whether I
think the project is good enough to execute or better project should be there to
replace this idea)

A general Performa is given here, the pattern I needed to follow:

Name of Agriculture Wing

Name of project

Estimated cost

Gestation period

Objectives

Components/civil works

Scrutiny
Agriculture policy

Strategy plan

Strategy paper

Growth strategy

Environmental impact

Civil works (cost estimates)

 Link with previous project
evaluation

Comments

I worked on these development projects:

Extension:

In extension, I worked on five projects named as:

 Sustainable development and productivity enhancement of different crops Wheat, Cotton,

Rice, Gram Pulses, Oil seeds, Fodder, Vegetables, fruits i.e. Citrus, Mango, Guava
Apple, Apricot, Plum, Walnut, Pear, Pomegranate, and condiment i.e. Turmeric by
promotion of latest technologies and interventions
 Establishment of Model Agricultural Villages in the Punjab
 Punjab Green Villages Programme

 Promotion of Kitchen Gardening Through Vegetable Seed and Seedlings Under Public
Private Partnership (PPP)
 Promotion of Agriculture Literacy in Punjab

Agriculture and Food:

 Engagement of short term Consultant to Conduct Feasibility Study for

Establishment of Agricultural Machinery Testing, Evaluation & Certification
Centres in the Punjab Province.
 Promotion of Agriculture Mechanization in Punjab (Phase-II).
 Punjab Agricultural Pumping Efficiency Improvements Programme (PAPEIP).
 Strengthening of Well Drilling Services Through Procurement of Power
Drilling Rigs
 Rehabilitation of degraded lands in the districts of Barani Areas through Soil
Conservation measures and Water Resource Development
 Provision of Missing facilities at Jajalpur Pirwala (JPPW) Farm of Muhammad
Nawaz Shareef University of Agriculture, Multan.
 Plant Pests Prediction and Diagnostic Centre for Punjab (PPPDDC)

 Establishment of Centre of Excellence for Olive Research & Training at BARI

Chakwal (CEFORT)
  Strengthening of cotton research in Southern Punjab through establishment of
Cotton Research Station, Rajanpur
 Olive Value Chain Development Project and Provision of Business
Development Services
 Establishment of integrated pest management research institute, Faisalabad
 Improvement of Organic Matter Status of Punjab Soils
 Up gradation of District Soil and Water Testing Lab to Soil & Water Testing
Lab for Research, Sahiwal
 Strengthening of Analytical Capabilities of Pesticide Quality Control Labs in
Punjab
 Identification of Dominant Soil Series in Punjab, Capacity Building through
Soil Surveys and their Mineralogical Components.
 Scheme for 50 Overseas Masters (Ms/MPhil) Scholarships for Capacity
Building of Agriculture Department
 Developing Student-Farmer Interface for the Productivity Enhancement in
Agriculture (Punjab Agri-Youth Rozgaar Scheme)
 Transforming the Indus Basin with Climate Resilient Agriculture and Climate-
Smart Water Management
 Climate Smart Water Management for Productive & Sustainable Irrigated
Agriculture in Barani Areas of the Punjab
 Rejuvenation of Outlived Watercourses in the Punjab
 Solarization of Drip Irrigation Systems (SDIS) in the Punjab
 Establishment of Rural Grain Storage Facilities in Punjab
 Information Dissemination of Smart Agriculture through Media And Street
Theatre/Road Shows (2018-19)
 Khadim e Punjab Fasal Bima Scheme
 Organizational Development of RAEDC for Training of Rural Women in
Punjab
 Establishment of Training Institute of Food Testing Laboratory at Murree
 Construction of Office Building of Divisional Office Sahiwal and DFC Office
Chiniot, Pakpattan, Lodhran and Khushab
 Up-Gradation of Food Laboratories (Lahore, Jahuarabad and Bahawalpur)
 Mobile Laboratories for Flour Sampling and Inspections
 Digitization of Inventory Control of Food Directorate Lahore
 Automation and Digitization of Food Department and Allied Entities

Livestock:

 Development of Alfalfa Silage & Hay Feed Industry in Punjab for Dairy
Livestock and Export Prospects
 Analysis of ADP
Summary of ADP Report
Pakistan is an agricultural country but it is lacking enormously in this sector from decades but
still counts almost 20% in GDP. It generates near 45% of employment but still somehow, growth
is going down. There are many reasons like shortage of water, electricity but small farming
counts a lot. To cope with this scenario, Government of Pakistan is now taking it under serious
consideration and trying to make new plans and implementations to get better productivity to rise
the growth of this sector. A number of projects are there for a better tomorrow like SMART,
Kissan package and many more.

As the productivity of major crops like Rice and Cotton is not showing any considerably
improvement, maize shows positive results and wheat’s production is declining continuously,
crops grown on area is also decreasing. Development projects tend to provide facilities to
farmers to grow more and to enhance productivity. Although it is a great initiative but unto now,
it is not enough so the government is coming with a great number of schemes and projects to
improve productivity so that Pakistan will have no insecurities related to food and even will be
able to export to earn foreign exchange.
Provincially, Punjab is spending more than anyone else and KPK spends the least on agriculture.
Government is tending to come up with better technology and improved variety of seeds to the
growers which will lead to the increase in productivity of this sector. As it is not sufficient to
plan projects to lift up this sector but their implementations are also very vital, Funds should be
given on proper time to complete projects and different schemes to compile good results not
bittersweet consequences.
To conclude, Government should keep one thing in mind that implementation on suitable times
is very important for the transformation of this sector. When many different projects begin at a
same time, problems come in their completion which leads to devastation of resources and time.

Guidelines for Formulation of Annual Development Program

(2018-19)
INTRODUCTION:
 The financial year 2018-19 represents interesting opportunities and certain challenges for
the province of the Punjab. 2018, being the election year will see the exit of the existing
political government and a transition to newly elected public representatives. The latest
census results are out, and suggest that Punjab’s population has hit 110 million; yet this
translates into an overall decrease of around 2 percentage points in the national
population having implications on future NFC shares. The province may have to cater to
a larger size of absolute population and may have lesser resources at hand. The energy
projects and investments are maturing, making it crucial than ever for the province to be
prepared to manage these assets well. The scale of infrastructure investments and their
complexity is now at the highest, which has ever been in the history of the province.
CPEC’s momentum has peaked and is now requiring a proactive response by the
government on an increasing basis. The compliance work on SDGs must be paced up as a
top priority, and given the diversity of its indicators; result oriented investments are
required in social as well as productive sectors. Finally, it is crucial that the government
begins to intensely monitor and evaluate its interventions and knit in the learnings to
improve future planning.
 The Annual Development Program (ADP) is a key policy instrument for implementing
development vision of the government. If managed well, it can not only act as a
convincing tool to address the challenges mentioned above but can support the broader
socio-economic development agenda of the government through medium-term strategic
resource allocation. Moreover, due to its substantial size and sectoral range, ADP
interventions can significantly influence the private sector investment decisions;
triggering additional equitable growth for the province. For these reasons, ADP
formulation process needs to be accorded utmost priority and meticulous handling by the
provincial departments.
 The increasing size and complexity of the ADP, whereas, on one hand has considerably
increased its importance, on the other has made the management process extremely
perplexing. The Planning & Development Department (P&DD) along with line
departments are spending more time in managing the ADP formulation. The quality of
the project documents has shown a consistent erosion of quality which is compromising
the implementation status and outcomes of the projects. The approval timelines of new
schemes has become extremely elastic spanning over almost the entire year. The
portfolios of key departments do not gel well to form a sector programme, rather a
collection of projects is usually being termed as a programme. This sporadic compilation
is a result of missing sectoral policy directions for most sectors.
 Historically, the ADP formulation process spanned a period of four months starting in the
middle of January and ending just before end of May each year. This time line for ADP
Formulation was not only out of sync with the Finance Department’s Budget Making
Process but also allocated too little time for proper preparation, scrutiny and approval. To
 address this issue; from the financial year 2018-19 P&DD has lengthened the ADP
Formulation process to eight months and the process will now formally start from 1
October every year. The increased process time of four months will allow departments to
prepare more informed projects; ones that are well grounded in good research and have
benefitted from stakeholder inputs and consultations. Similarly, the lengthening of the
process will provide more time to P&DD to review the project proposals and take better
decisions by helping the departments prioritize their investment decisions. P&DD has
separately issued a document titled “New Planning Framework for ADP” which provides
the detailed process and additional activities required to be carried out.

Guiding Principles for ADP 2018-19 Formulation:

This document lays down the salient principals and guidelines of the government that must be
adhered to as per relevance by each department while preparing the ADP for 2018-19. These
guidelines are being circulated in September 2017 prior to the initiation of the planning cycle on
1 October so that the departments have sufficient time to plan and develop activities that will
ensure meaningful compliance.
The departments are required to build their ADP 2018-19 on the following six principles:
 Revisions to Growth Strategy Pillars & Targets
The Punjab Growth Strategy 2018 was put in place in 2014 and will be
completing its period in 2018. The ADP guidelines over the last three years
encouraged the departments to align their portfolios with the pillars are targets
of the Growth Strategy. The departments in the next financial year are
encouraged to assess their overall alignment with the growth strategy and
attribute what contributions this has made to the provincial development.
Based on these assessments it is recommended that the departments suggest
what revisions and changes are required to the overall Growth Strategy
Principles, Pillars and Targets for the Punjab. These suggestions should be
forwarded to the Economic Wing P&DD which will initiate work on revised
Growth Strategy for the new incoming government. The departments are
encouraged to develop their portfolios in light of these futuristic changes they
expect to be captured in the new growth strategy. To assist the departments
with this exercise a template has been provided at Annex-II.

 Strengthening Compliance with Sustainable Development Goals

Pakistan stands committed to achieving 17 Sustainable Development Goals
(SDGs) and 169 targets thereunder by the year 2030. National Assembly of
Pakistan has adopted SDGs as national goals. Punjab government has taken
 lead on SDGs and has established a dedicated SDGs Support Unit under P&D
Department to provide technical assistance to government departments for
achieving SDGs. The Departments are advised to accord priority to the
schemes which address SDGs and the targets while preparing Annual
Development Plan (ADP) for the year 2018-19. It is also important that a clear
monitoring strategy is put in place by the departments to track performance
against each of the 169 targets. The Design of the Schemes should be
representative of this fact and must actively document the progress to ensure
that the province is moving towards compliance and also measuring this
compliance with robust evidence – an area of critical weakness under the
MDGs. To assist the departments a template has been provided at (Annex-III)
which may be attached with new PC documents being developed for the ADP
2018-19.
 Support Private Sector Development
The private sector generates around 90 percent of the Punjab's output of goods
and services, and is the dominant actor in the economy. Thus, if the province is
to meet its goals of 7-8% growth, it must move aggressively to enhance the
capabilities of the private sector. Thus, the departments should take a strong
view when developing their ADP 2018-19 that it comprises intervention and
policies that make product and factor markets more flexible, that lower costs of
production and distribution, that improve efficiency through increased
competition, and that move the structure of the major sectors and hence of the
total provincial economy in the direction of higher value-added products.
Evidence show that the impediments to the rapid growth in size and
productivity of the Punjab's private sector arise from issues of both "hardware"
(meaning physical requirements) and "software" (meaning the working of
institutions, questions of governance, policies, cultural factors, etc). The
hardware issues are relatively easy to diagnose; for example, it is quite clear
that for the immediate future the most pressing such issue is the power supply
on which the government has taken a proactive role. The software issues are
much harder to analyse and to act upon, because they often reflect deep-rooted
influences of history, habits, and values. Yet addressing these issues is
fundamental to the success of the growth strategy.
Moreover, the provincial policy supports effective Public-Private Partnerships.
The departments should not come up with schemes where they displace the
private sector from the market, hence, are encouraged to leave more
commercially viable opportunities for the private sector and engage more in
successful PPPs.
 Increase Equitable Investments & Development
 As per the current policy stance of the government investments over the
previous few years have been titled in favour of certain districts in Southern
Punjab. However, the most recent poverty numbers estimated by UNDP show
that the districts such as Rajanpur, D.G. Khan, Rahim Yar Khan, Bahawalpur,
Bahawalnagar and Bhakkar are still severely deprived. The government
advised the departments to initiate special projects for the 10 poorest districts
for provision of better health, education water and sanitation services. The
P&DD intends to continue making relatively greater investments as compared
to past levels over several next years to recoup the historic lack of spending in
these areas. Thus, departments are strongly encouraged to develop schemes
that address key issues such as education, health, WASH, basic infrastructure
and private sector development in these deprived districts that will contribute
to wealth creation and reduce the poverty gap relative to better-off districts. In
addition to expanding the district focus the departments are also encouraged to
demonstrate how their schemes address the most vulnerable communities such
as, young girls in low income areas, physical and mentally handicapped or
socially handicapped citizens of the province.
 Enhance Gender Empowerment
The gender parity ratios in education and health in the Punjab have
significantly improved over the last few years and are now close to 1
suggesting that the gender gap in these areas have been addressed. This has
been possible due to a conscious effort on part of the government. However,
recent Gender Report produced by the Commission on Status of Women
suggests that economic and political empowerment of women is still low in the
Punjab. Whilst, developing the ADP 2018-19 departments must make full
efforts to include existing gender disparities. The departments are also
encouraged to bring about policy changes that are required to address gender
issues.
 Incorporation of Population Census Results
The Federal Government has launched the provisional results of population
census that has raised certain new questions for the Punjab. It is expected that
by the time departments begin to put together their ADP the final numbers will
be released. The departments must use these new figures and facts to revise
their intervention designs and scales. In developing new PC documents it is
expected of departments to base the designs, project rationale and impact using
the new census figures.

Administrative Guidelines for Developing ADP (2017-18)

The departments are encouraged to strictly discipline themselves in starting the ADP formulation
from 1st October and follow the steps drafted in the new framework with adequate care and rigor.
The following administrative processes should be followed in developing the ADP 2018-19.
 Evidence & Consultation Based ADP Formulation Process
The departments are encouraged to develop their project portfolios based on
hard evidence and data analysis. Each Department has been provided financial
flexibility to hire expert resources on project development. The departments
are encouraged to use these resources and develop strong evidence based
projects. It is also recommended that departments should conduct / design
workshops where people from academia, private sector, CSOs/NGOs,
development organizations especially UN agencies and other relevant
stakeholders are invited to discuss the design of intervention considering the
principles highlighted above. Departments are also strongly encouraged to
involve officers from field formations / universities / research institutes to
come up with demand and evidence on ground to inform the process. A
detailed guide to hold consultation sessions is provided in the new ADP
Framework document.
 Identify Key Target Areas & Indicators
Each department is required to identify their key targets and select indicators
that they are trying to affect using the MICS data. The investments of the
department should then be focused on attaining the objective of impacting
these indicators. This will serve as a strong evidence to assess impact over the
medium term. The departments are encouraged to engage with BOS and PERI
to identify and build new department level indicators and strategy to more
sequentially measure these.
 Quality of PC-1s
The P&DD has introduced a checklist of key variables that provide a first
check on the quality of PC-1s being submitted by the departments. The
departments are intimated that any PC-1 that is submitted with missing
elements of the check list will not be accepted by the P&DD for further
processing. The departments should place more emphasis on areas such as; (i)
procurement plan; (ii) HR Management Plan; (iii) Implementation Plan; (iv)
M&E Plan; (v) Risk Management Plan; (vi) Year wise financial phasing; (viii)
Year wise physical phasing; (ix) Environmental impact analysis and; (x)
Economic Analysis/Financial Analysis. P&DD in order to assist the
departments with Economic Appraisal will be initiating a series of training
sessions being managed by the Economic Wing and PERI. Departments are
requested to contact PERI and the Economic Wing if their staff needs training
on these aspects.
 Assessments of Departments of ADP Process
 As intimated by P&DD letter No. 10(22)RP/P&D/2016/VOL-II dated 28th
December 2016 with Subject Performance Evaluation Criteria of
Administrative Departments; performance of all the departments will be
strictly monitored and reported to the Chief Minister at the end of the year. The
Index includes 7 domains on which the performance will be assessed. The
Indicators are provided as Annex-IV.
 Revised Planning Manual & Training for Planners
It is again reminded to the Departments that with technical support from the
Sub-National Governance Programme (SNG), P&DD has issued a revised
planning manual. The revised planning manual contains a lot of new things
especially on project design and economic appraisal. Departments are
requested to refer to the manual intensely to inform their planning process and
writing of PC-1s. Moreover, with support from SNG, P&DD also ran training
sessions that trained 203 planners across the departments. The training material
and course is now available with MPDD, if the departments feel they need
further training for their planning staff on the training manual they are
encouraged to raise the demand with P&DD and MPDD.

ADP Formulation Parameters

In addition to the above the administrative procedures the departments are required to observe
the understated parameters in letter and spirit.
 Formulation of ADP 2018-19 will continue to follow the medium-term perspective, adopted
for ADP 2017-18. Such a perspective is central to helping provincial government in realizing
its objectives of fiscal discipline, and allocative as well as operational efficiencies.
 Following Medium-Term Development Framework, ADP 2018-19 will comprise portfolio of
development schemes for 2018-19 and projections for next two financial years, viz. 2019-20
and 2020-21 in the prescribed format.
 Each department/sector is required to submit proposed ADP including department’s vision,
objectives / policy and strategic interventions to be achieved in the next 2-3 years. The
development of these should be informed by the Policy Making Guidelines issues by the
P&DD in April 2017 and later on also instructed by the Chief Secretary that the departments
should develop their policy documents positively within 3 months. These statements will also
highlight the importance of the respective sector in the provincial economy and elaborate
benefits / linkage of proposed interventions in realizing targets set out in Economic Growth
Strategy.
 Proposed interventions under ADP 2018-19 must be arranged by assigning clear and logical
prioritization, facilitating readjustments and course correction during the year, in accordance
with resource situation.
 The exact size of the program cannot be indicated at this stage; however, the sectoral
allocations proposed in MTDF may be followed.
 The foreign aid component for the medium term i.e. 2018-21 shall be determined/ finalized
by respective sectors/departments in consultation with the Foreign Aid Section, P&D
Department.
 Departmental ADP proposals should be provided on proforma at Annex-V. All figures in
relevant columns of the proforma are to be indicated in million rupees only.
 Details of ADP will be provided as per prescribed Proforma.
The priority for allocation of funds should be as follows:
 Counterpart funds for foreign aided projects as per commitment should be given
highest priority.

 Maximum allocation should be provided to on-going projects that are at fairly

advanced stage of implementation, and have a demonstrated multiplier effect on
economic growth.
 Full funding should be allocated to projects that are due for completion in 2018-19.
 Projects dealing with emergencies, such as flood relief, rehabilitation etc. may be
prioritized.
 Departments dealing with social sectors may focus on consolidation and improving
service delivery activities, besides, coverage of uncovered areas.
 Allocations for new schemes should not be less than 15% of the financial
requirement. While proposing scheme-wise allocations, the above benchmarks may
be strictly observed except in cases where feasibility or token allocations are to be
made.
 Allocation to the districts of Southern Punjab should have linkages with their
population with more weightage. Preferential treatment be given to the districts
ranked low in socio-economic indicators (consult MICS, PERI & SPDC ranking).
 While undertaking this exercise, Administrative Departments may also identify
projects that are based on (a) public private partnership (PPP) and (b)
community/NGOs participation in terms of cost sharing or otherwise.
 Allocations to the individual projects should be decided on the basis of past
performance and the phasing set out in the PC-I/PC-II.
 Counterpart funding for the foreign aided projects and projects co-financed with
Federal Government be phased as per PC-I.
 For new projects, the departments shall prepare a detailed concept paper highlighting
different aspects of the project. For this purpose, the details should be put in the
proforma at Annex-V must also be provided. This will enable the Planning &
Development Department to capture necessary inputs on new initiatives. Please note
that no proposal of new project would be accepted for which the proforma in not
properly filled.
 Cost estimation of new schemes proposed for inclusion in the ADP 2018-19 should
be based on rational calculation, cost escalation and marketing analysis, because any
scheme whose cost would exceed by 15% of the ADP cost would require fresh
approval of the competent authority.
 Project life should be kept at minimum possible so that the benefits of the project
accrue to the public in time. Projection for 2019-20 and 2020-21 may be worked out
with due care.
 Planning Commission Performa

PC-I FORM
GOVERNMENT OF PAKISTAN
PLANNING COMMISSION

PERFORMA FOR DEVELOPMENT PROJECTS

(PRODUCTION SECTORS)

 Agriculture Production
 Agriculture Extension
 Industries, Commerce and Minerals
 PC-I FORM
GOVERNMENT OF PAKISTAN
PLANNING COMMISION

PERFORMA FOR DEVELOPMENT PROJECTS

(SOCIAL SECTORS)

 Education, Training and Manpower

 Health, Nutrition, Family Planning & Social Welfare
 Science & Technology
 Water Supply & Sewerage
 Culture, Sports, Tourism & Youth
 Mass Media
 Governance
 Research
 PC-I FORM
GOVERNMENT OF PAKISTAN
PLANNING COMMISION

PROFORMA FOR DEVELOPMENT PROJECTS

(INFRASTRUCTURE SECTORS)

 Transport & Communication

 Telecommunication

 Information Technology

 Energy (Fuel & Power)

 Housing, Government Buildings & Town Planning

 Irrigation, Drainage & Flood Control

 GOVERNMENT OF PAKISTAN
PLANNING COMMISSION
PC-I FORM

1. Name of the Project

2. Location

3. Authorities responsible for:

 Sponsoring
 Execution
 Operation and maintenance
 Concerned federal ministry

4. Plan provision
5. Project objectives and its relationship with sector objectives
6. Description, justification, technical parameters and technology transfer
aspects (enclose feasibility study for projects costing Rs. 300 million and
above)
7. Capital cost estimates
8. Annual operating and maintenance cost after completion of the project
9. Demand and supply analysis
10. Financial plan and mode of financing
11. Project benefits and analysis
 Financial
 Economic