Sindh terminates BRT project contract citing 'persistent delays'

The Sindh government announced the termination of the construction contract for the BRT Red Line project in Karachi, citing persistent delays, unsatisfactory performance, and violations of health, safety, and environmental standards. In a statement, TransKarachi said decisive action had been taken over slow progress on Lot 2 of the project. "The contract awarded to the CR3 and AMS Associates joint venture was terminated due to continuous delays, non-satisfactory performance, and violations of health, safety, and environmental standards." It added that a delegation from the Asian Development Bank (ADB) had raised serious concerns over the contractor’s performance, pace of work, and compliance with occupational health and safety requirements during a recent visit. "Lot 2 of the project includes the Mosmiyat to Numaish corridor, where work was found to be below required standards," the statement said. TransKarachi said formal procedures were underway to finalise the termination, adding that the "government reiterated its commitment to ensuring the timely completion of infrastructure projects, along with strict monitoring and accountability." Read More: Green Line Phase II embroiled in dispute The foundation stone for phase one and phase two of the BRT project, which includes procurement of buses and civil works, was laid in August 2022 and was expected to be completed by 2024. However, this completion timeline was then extended to the end of 2026. BRT Red Line is a multi-million dollar project, with a price tag of $503.3 million, out of which the ADB would provide $235m, the Asian Infrastructure Investment Development Bank would provide $71.81m , the French Development Agency $71.81m, while the Green Climate Fund a $11.8m grant and $37.2m in loans; whereas, the Sindh government would cover the remainder $75.71m.