Manual for Development Projects - Planning Commission

Chapter 2
New Ideas/Areas of Investment
2.12 Planning is a continuous process which generates new ideas for and areas of profitable
investment, as a result of the sense of dedication and past experience. It calls for selfless efforts in
the national interest on the part of all sponsoring agencies in various sectors to go beyond the
routine and explore new avenues of development and consequent growth of economy, to exploit/
augment natural resources so as to eliminate dependence on external aid and usher in an era of selfrespect
and prosperity for the people.
2.13 More often than not, exploration and research are rewarded with rich returns. A case in point
is OIL & GAS DEVELOPMENT, a national asset, harnessed by man's labour and skill for the
benefit of the state. Investment in such enterprises of exploiting rare natural resources is immensely
justified and the projects aimed at their exploration, extraction, transmission and refinement are
readily identified as new areas of development/investment. These projects have self-evident
potential and are self-identified. With adequate incentives from the Government, the bulk of the risk
capital for oil/gas and hard minerals exploration should come from the private sector.
2.14 In the sphere of new ideas and areas of investment, projects are identified by objectives not
pursued properly owing to paucity of funds or lack of clear vision. Recently a campaign at
government level has been started for the development of the arid zones of Sindh Province. The
desert dwellers of the arid zones of Thar and Kohistan (like 'Thal' of Punjab) are endowed with the
most unfriendly climate and totally hostile topography. They face frequent famines and are always
hungry or half-fed, leading a life of unending misery. Their main problem is water and without
water there is no life. The projects pertaining to this part are identified in their new areas of
investment, namely, exploration, treatment, conveyance and distribution of water, particularly for
domestic use and livestock, alongside of the provision of basic health services and catering to the
need for education, starting with the elementary level. These projects are prepared and executed by
Sind Arid Zone Development Authority (SAZDA), a new organization created to work under the
chairmanship of the Chief Minister, Sind. These projects and other similar ones aimed at
ameliorating the sub-human living conditions of a part of the population are identified as based on
new areas of investment.
Potential Projects
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2.15 As a matter of fact, all projects that bear the strain of scrutiny by the Planning Commission,
and finally succeed to find a place in the approved development plans are beyond doubt potentially
promising projects. In a narrower sense, however, projects could be distinguished and identified for
their potential of development in a particular sector of national economy. Fundamentally the
projects are identified by the purpose they intend to accomplish in terms of time and money. Among
other features, the single most attractive aspect of a project is more profitable benefit-cost ratio.
However, there are projects which aim at the specific object of harnessing/enhancing the natural
resources of the country to increase its capacity for longer-term gains. These are potentially
productive projects. They pave the way by their large benefits to undertake ambitious development
programmes for attainment of healthier and higher standards of living and for achievement of
tangible targets in advancement of modern technologies.
2.16 Projects promising reduction in unemployment, amelioration of educational standards,
superior health services, and security of life and property, are identified as potential projects
answering the aims of any state administration for the welfare and well-being of her people.
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9/23/2010