Details of C-Pack’s plans and the benefits that come from them that have the potential to revolutionize the region.
Liquefied natural gas:
Projects involving liquefied natural gas (LNG) are also featured in the C-Pack. The Chinese government has announced intentions to build a 711-kilo meter gas pipeline from Gwadar to Nawabshah, costing $7.25 billion. The pipeline is part of a 2,775-kilometer gas pipeline between Iran and Pakistan. The pipeline’s 900-kilometre segment has already been finished.
The pipeline will have a diameter of 42 inches (1.1 m) and transport 1 109 cubic feet (m32.8 107) of liquefied natural gas every day.
Other LNG projects are also being built with Chinese support and money, which will broaden C-coverage. Pack’s However, it will not be funded, thus it is not officially included in the C-Pack. The Chinese Harbin Electric Company is currently constructing a 1223 MW blocky power plant near Kasur with financial assistance from the Exam Bank of China. In October 2015, I also dedicated the 1180 MW Bhikki Power Plant near Sheikhupura, which is being built by Harbin Electric Company of China and General Electric of the United States. It will be Pakistan’s most efficient power plant, supplying electricity to an estimated 6 million households.
Cooperation in water resources, livestock, and other areas of agriculture is also included in the C-Pack. Under the project, a Remote Sensing (G) framework will be used to produce 800,000 tons of fertilizer and 100,000 tons of bio-organic fertilizer. S) and Geographic Information System (GIS), food processing, agricultural produce pre- and post-harvest handling and storage, and support in the selection and breeding of new animal breeds and plant species.
Fiber Optic Project
Construction on the 44 million 820 km Pakistan-China Fiber Optic Project, a cross-border optical fiber line that will increase the telecoms and ICT business in Gilgit-Baltistan, Khyber Pakhtunkhwa, and Punjab regions, began in May 2016, when Pakistan was ranked fifth. Provide a channel for telecommunication traffic to be diverted, which will be extended to Gwadar in the near future. China also plans to construct a Huawei Technical Support Center in Pakistan in May 2019.
Digital Terrestrial Multimedia Broadcast:
A re-broadcast station (RBS) for Pakistan Television Corporation will be built at Murree under C-Pack, employing digital terrestrial multimedia broadcast. Pakistan Television Corporation will receive assistance from ZTE Corporation in the development of digital ground television technologies, personnel training, and content creation.
Interest free loans:
The Chinese government declared in August 2015 that concessional loans for multiple $757 million projects in Gwadar will be changed to 0% interest-bearing loans, with Pakistan merely having to repay the principal amount. The following are some of the loans that are being financed.
- The East Bay motorway project, worth 140 million dollars, is now under construction.
- Breakwater installation in Gwadar at a cost of 130 130 million.
- Gwadar has a $603 million coal power plant.
- Gwadar port has a $27 million proposal to dig berths.
- Gwadar’s 300-bed hospital costs $300 million.
The Chinese government also launched a $2.3 billion Gwadar project in September 2015.
The International Airport project will now be funded by a grant rather than a debt that the Pakistani government would not be responsible for repaying.
C-Pack is Pakistan’s most important undertaking in its history. C-venture Pack has been dubbed a game-changer for the region and a nuclear transformation strategy by international media. The project aims to develop Pakistan into a regional economic centre, according to China and Pakistan. This commerce corridor will serve as a vital link between South and East Asia, helping to realize the idea of Greater South Asia, which includes China, Iran, Afghanistan, and Myanmar.
Once fully operational, the corridor is expected to generate billions of dollars in annual revenue from transit fees for Chinese goods. According to the British newspaper The Guardian, “China is not only offering to build much-needed infrastructure in Pakistan, but also making Pakistan a key partner in its great economic and strategic ambitions.”
The project has been dubbed a “positive credit” for Pakistan by Moody’s Investors Service. In 2015, the agency admitted that the majority of the project’s significant benefits would not arrive until 2017, but that it was sure that some of the Economic Corridor’s benefits would begin to surface before then. The ADB stated that “C-Pac will link economic agents to a specific location.” Furthermore, linked transportation would produce $400-500 million per year for Pakistan, and Pakistan’s exports will grow by 4.5 percent per year by financial year 2025.
China has the shortest marine access to Europe, Africa, and the Middle East through the Strait of Malacca. The Strait of Malacca also carries over 80% of the country’s energy imports from the Middle East. China is the world’s top oil importer, and the US Navy defends existing sea routes used to import oil from the Middle East, therefore energy is a major worry for them.
China might face retaliation from state or non-state actors in the region, potentially resulting in a war-like situation that would restrict oil imports through the Malacca Strait.
The Chinese economy could be ruined in that situation. Aside from the Malacca Strait, China relies on sea lanes that travel through the South China Sea, such as the disputed Spratly Islands and the Paracel Islands, which are now causing tension between China, Taiwan, and Vietnam.
The C-Pac project will preserve Chinese energy imports from these contested areas while also providing an option to the West, lessening the likelihood of a US-China conflict. However, there is evidence that the pipeline from Gwadar to China will be extremely costly and may cause a variety of logistical issues, including terrorism.
From its station on the island of Great Nicobar, the Indian Navy has recently increased maritime surveillance of the Malacca Strait. Chinese interest in Pakistan’s Gwadar port – the Kyukpyu port that the Chinese government is now establishing in Myanmar as another alternative route across the Malacca Strait – could expand as a result of Indian maritime surveillance in the Andaman Sea. It’s being developed for similar scenarios.
China will have a lot of opportunities to expand its influence in the Indian Ocean, which is a vital oil transportation route between the Atlantic and Pacific Oceans, thanks to C-Pack. Another benefit for China is that it will be able to avoid the Malacca Strait. So far, 60% of China’s imported oil has come from the Middle East, and 80% of it has been delivered through this strait.
Access to western China:
The networking of C-Pac will boost connectivity with Xinjiang, enhancing the region’s potential to attract public and private investment. China-Pakistan ties are centered on the C-Pac. Its essential relevance stems from its participation in China’s 13th Five-Year Development Plan, as previously stated. The C-Pac project will complement China’s Western Development Plan, which encompasses not just Xinjiang but also Tibet and Qinghai’s neighbouring regions.
C-Pac will give China an alternative and shorter route to acquire energy from the Middle East, cutting shipping costs and transit times, in addition to reducing Chinese reliance on the Malacca and South China Sea routes. It’s possible.
The present maritime route to China is around 12,000 kilometers long, with a distance of about 3,000 kilometers between Gwadar port and Xinjiang province, and another 3,500 kilometers between Xinjiang and China’s east coast. For Chinese imports and exports to the Middle East, Africa, and Europe, the C-Pack will result in shorter delivery times and distances.
C-Pac’s networking will improve connectivity with Xinjiang, thus increasing its ability to attract public and private investment in the region. C-Pac is considered central to China-Pakistan relations. As mentioned earlier, its central significance lies in its involvement in China’s 13th Five-Year Development Plan. The C-Pac project will complement China’s Western Development Plan, which includes not only Xinjiang but also Tibet and the adjacent areas of Qinghai.
In addition to the importance of reducing Chinese dependence on the Malacca and South China Sea routes, C-Pac will provide China with an alternative and shorter route to import energy from the Middle East, thus reducing shipping costs and transit times.
The current sea route to China is about 12,000 km long, while the distance from Gwadar port to Xinjiang province is about 3,000 km and from Xinjiang to the east coast of China is another 3,500 km. The C-Pack will result in shorter delivery times and distances for Chinese imports and exports to the Middle East, Africa and Europe
Access inside Afghanistan and four-way traffic in transit agreement.
Prior to the C-Pack announcement, talks were held to provide the Central Asian republics with an alternative route to China. The 2010 Afghanistan-Pakistan Transit Trade Agreement gave Pakistan access to Central Asia via Afghanistan. However, the agreement was not fully implemented. During a visit to India in April 2015, then-Afghan President Ashraf Ghani said, “We will not provide equal transit access for Pakistani trucks to Central Asia unless the Pakistani government gives India parts of the 2010 Afghanistan-Pakistan Transit Trade Agreement.
Central Asian leaders have expressed a desire to link their infrastructure networks to the C-Pac project through China. In August 2015, Kazakh Prime Minister Karim Massimov expressed a desire to link his road network to the C-Pac project.
During Tajik President Emomali Rakhmonov’s visit to Pakistan in November 2015, he expressed his government’s desire to join the Quadrilateral Traffic Agreement so that Tajikistan could be used as an import and export route under the C-Pack.
The Chinese government has already upgraded the road connecting Kashgar to Osh via the Kyrgyz city of Arshakstam, and a railway line between Urumqi, China and Almaty Kazakhstan has been completed under China’s One Belt One Road. In addition, the Chinese government has announced plans to lay a railway track from Tashkent, Uzbekistan to Kyrgyzstan, followed by contacts with China and Pakistan. In addition, the Pamir Highway already provides Tajikistan with access to Kashgar via the Kalma Pass.