DPE NOTES , PROJECT PLANNING

Hard to define Scope, Time and

PROJECT PLANNING Cost clearly and with precision
PROJECT INCEPTION
PROJECT  Need Based Projects
• A project may be defined as The projects which are realized to
“A set of activities, having a start meet with the demands of certain
time and a definite end time, utilizing commodity at National level are called Need
resources to give the desired results or Based Projects, e.g. energy projects, water
objectives.” resources projects etc.
• However, the most authentic  Social Based Projects
definition of the project has been Inception of projects is related to the
given by Project Management requirement of Social Sector e.g. Health,
Institute (PMI) as Education etc.
“A temporary endeavor / task or  Business Promotion Projects
work undertaken to create a unique product In Corporate Sector, the Enterprise
or to deliver services.” may conceive projects to promote their
TRIPLE CONSTRAINTS OF A PROJECT business either by expanding the existing
production facilities or entering into new
areas of business
Some Terminologies
• Program
It refers to an exceptionally large,
long-term, objective oriented activity which
can be broken into a set of projects.
• Task
The portions of a project may be
referred as tasks.
• Work packages
The tasks may further be broken
down into work package that are
themselves composed of work units

PROJECT PHASING & FLOW CHART

Different Phases Of Project

1. Planning & Design Phase

Planning, Investigation & Design

CHARACTERISTICS OF A PROJECT 2. Pre Award Phase

Unique Purpose, well defined Tendering & Award of Contract
objectives
Temporary in nature 3. Construction
Definite beginning and a definite end Implementation Execution
Requires Resources from various
areas like Men , Material, Hardware, 4. Operational Phase
Software, etc Operation and Maintenance
Definite Cost
Primary Sponsor and/or Customer PROJECT FLOW CHART
Involve uncertainty, internal &  Inception
external  Hiring of Consultant
 Pre Feasibility Study
DPE NOTES , PROJECT PLANNING
 Feasibility Study (PC-II)
 Detail Design & Preparation of 4. Contractual Aspects
Tender Documents (PC-I)  Reporting requirements,
 International Bidding  Liaison arrangements i.e. coordination
 Bid Evaluation mechanism with other agencies
 Award of Contract involved,
 Signing of Contract  Provisions for subcontracting,
 Commencement of Work  Dispute resolution mechanism,
 Project  Utilization of materials,
 Completion  Technical specifications,
 Delivery schedules,
 Operation
 Variation in works,
 Outlived Project  Mode of payment,
 Rehabilitation  Defects liability,
 Insurances and performance guarantee
WHAT IS PROJECT PLANNING? etc
5. Schedules
 Project Planning starts with the Vision -
the ability to see something that is not  Prepare a list of tasks to be carried out.
visible to others  Estimate the time (hours, day or
 Complete Road Map to achieve a target months) to complete each task.
6. Resources
 Rational determination of how to initiate,
sustain and terminate a Project  Budget (along with cost monitoring and
WHY TO PLAN A PROJECT ? control procedures)
 Elimination or reduction of uncertainty  Special resources required in the form
 Improvement of Efficiency of :
 Machinery used in construction as well
 Achievement of better understanding of
as O&M,
the objective, Qualitatively and  Test equipments,
Quantitatively  Logistics,
 Providing the basis to manage and  Field facilities and
monitor the work  Special materials.
8. Potential Problems
BASIC ELEMENTS OF PROJECT  Difficult to anticipate potential difficulties.
 Possible disaster may be:
PLANNING
 Subcontractor failure,
1. Work Breakdown Structure (WBS)  Technical failure,
The WBS consists of a simple list of all  Strikes,
project activities with major activities broken  Bad weather,
down into sub activities. The project linear  Earthquake,
responsibility chart is also a part of WBS.  Limited resources,
 Tight deadlines
2. Objectives
RESOURCES INVENTORY AND
 Identify the stakeholders RANKING
 Comprehensive list of needs
 It is the first step towards planning and
 Priorities the needs
then subsequent development. It is
3. General Approach
often called basic investigation.
 Managerial and the technical  The main purpose of these
approaches to the work. investigations is to identify, register and
 available technologies / materials etc. catalogue the resources
DPE NOTES , PROJECT PLANNING
(water/hydropower) existing in the river The following issues should be recorded
basins areas, districts and provinces. properly:
 The identified project sites are often – Terrain features such as location
ranked according to size, cost, benefits, and placement of structure, geo.-
etc. technical problems related etc.
 Preparation of resources inventories – Infrastructure such as access to
and their updation is a continuous project elements, etc.
process and should not be stopped at – Settlements and resettlement issues
any time. – Availability of construction materials
PROJECT PLANNING IN PRACTICE – Environmental issues
The major planning stages of projects are: – Multipurpose uses
- Desk Studies – Diversion of flow during construction
- Reconnaissance Survey and construction of cofferdams.
- Appraisal Reports – In case of reservoir and tunnel
- Ranking Studies project special attention is to be paid
- Pre-Feasibility Studies to geo-technical and engineering
- Feasibility Report geology
- Detail Engineering Design APPRAISAL REPORT
- Preparation of Tender Documents • The appraisal report is the
DESK STUDIES presentation of desk studies and
• Collection of Data reconnaissance survey which would
 Relevant data and information are describe the merits and demerits of
collected which may include: the project.
 Infrastructure information • The report must conclude with a
 Hydrology statement on the viability and
 Topography suitability of the project under
 Geology and geo-technical consideration.
engineering • The appraisal report will present the
 Environmental issues either go-ahead signal or the
 Socio-economic set-up stoppage for further studies.
• Analysis of Data RANKING STUDIES
 Based on available data and After the appraisal report, if there are
information, the first step of the desk more than one project, the Ranking
study is to establish the main project Studies are carried out in details.
parameters such as: Ranking criteria is laid down usually
 Flow and regulation based on;
 Needs of the area  Need of the area
 Existing and future water uses, such  Potential to be developed
as irrigation, drinking and  Access to the project area
hydropower.  Benefits to be derived
 Environmental constraints.  Irrigation or hydropower
project
RECONNAISSANCE SURVEY  Irrigation cum hydropower
The desk studies should be followed by project
field visits, because plans prepared in  Multipurpose project
office need verification in the field. The  Economic and financial evaluation
project layout and its elements are weightage
visualised in the actual surroundings to PRE-FEASIBILITY STUDIES
check and compare. Alternative • A pre-feasibility study is the second
solutions will then be finalised. organised step in the project
investigation and planning.
DPE NOTES , PROJECT PLANNING
• In pre-feasibility study, one or more vii. Finance – its availability and
project alternatives are proposed constraints.
and studied before selection. SITE SELECTION FOR A RESERVOIR
• Pre-feasibility studies may change • The cost of the dam is generally a
considerably the layout proposed at controlling factor in the selection of a
identification level. reservoir site.
• The main purpose of the pre- • The geological formations for the
feasibility study is to: reservoir banks, walls etc. should be
– Establish demand for the project. such as to entail minimum leakage.
– Formulate a plan for developing • The geology of the catchment area
this project should be such as to entail minimum
– The project is technical, water losses through absorption and
economical and environmental percolation.
acceptable. • The site should be such that a deep
– Make recommendation for future reservoir is formed. A deep reservoir is
action. preferred to a shallow one because of
FEASIBILITY REPORT lower land cost per unit of capacity,
• Feasibility studies are carried out to less evaporation loss and less
determine the technical, economical possibility of weed growth.
and environmental viability of a • The reservoir site must have adequate
project. capacity.
• This phase of investigation consist of • Too much silt laiden tributaries should
a detailed investigation and study. be avoided as far as possible.
• A feasibility study also serves as • The reservoir basin should have a deep
basic document for financing. narrow opening in the valley so that the
• Feasibility studies are sufficiently length of the dam is minimum.
detailed and ensure that during
detailed engineering, the feasibility TOPOGRAPGHY
of the project is not impaired due to Survey is generally required in the following
major alterations in the plan. areas:
PRELIMINARY INVESTIGATIONS – The storage basin to determine the
The investigations normally includes volume available below various levels,
considerations of the following: and the existence of any low saddles
i. Physical factors such as topography, around the perimeter.
hydrology, geology. – The dam-site to determine :
ii. National or International policies; • Quantities of excavation and
even the type of dam may be material in the dam;
influenced by such policies rather • For setting out the dam structure;
than by minimum cost. • For layout of plant, access roads
iii. The purpose of the dam and how it and other pertinent structures;
fits into existing or future plans for • Site Maps (dam, intake, sediment
water conservation and utilization in excluder, forebay, powerhouse,
the region. etc.)
iv. Availability of resources, both • Scale may be 1:1000 or 1:500 or
materials and skills. 1:200 with contour intervals of 1
v. Ultimate safety of the present or meter.
future inhabitants of the area. • Reservoir area
vi. Environmental impact – river
• Scale may be 1:2500 or 1:5,000
morphology, socio-economic with contour intervals of 5 meter.
conditions, wild life etc. • Catchment area
DPE NOTES , PROJECT PLANNING
Scale may be 1:50,000 or 1:25,000 PROJECT CLEARANCE PROCESS
with contour intervals of 5 meter. • The important steps involved in the
• General maps project cycle are:
Scale may be 1:5,000 or 1:10,000 – Planning
with contour intervals of 5 meter. – Implementation
Hydrological Studies
– Operation and Maintenance
• Hydrological data are required for the
following: • To keep the control on various steps
– To ascertain the flow availability for involved in project development and
the intended purpose. also control on executing agencies,
– Flood estimation to design the the Government of Pakistan has
diversion during construction, bottom devised a project cycle which
outlets and spillways. comprises:
– The present and future water uses – Approval
for other purposes such as irrigation, – Review and Monitoring
industrial, domestic, navigation, etc. – Evaluation
– Existing water rights should be • To remain well informed about a
recognised and protected.
development project, Government
GEOLOGICAL STUDIES of Pakistan has designed different
• Studies are required to determine the forms for the purpose of planning,
suitability of foundation conditions for monitoring and reporting during
dams and other major structures. different stages of project cycle;
• Investigations – PC-II Proforma
– Core drilling: It is an excellent but – PC-I Proforma
costly method. Information, such as – PC-III Proforma
physical properties of rock, water – PC-IV Proforma and
tightness, depth of weathering, faults – PC-V Proforma
zones, etc. can be obtained.
• PC-II PROFORMA
– Seismic refraction: It is normally
It deals with project proposal and
used to reduce the amount of drilling
works. However, their results need is required for conducting surveys and
to be calibrated with core drilling. feasibility studies, in respect of large
– Pilot tunnels, shafts, trench and test projects. The objective of this is to get
pits are other investigation methods, full justification for undertaking the
which may be done according to site project.
conditions and information • PC-I PROFORMA
requirements. It deals with the preparation of
– Simple drilling: It is used in case of projects for implementation. The PC-I is
deposited soil to find out the prepared after detailed feasibility study
lithology, permeability, density, etc. has been completed. However, detailed
of the subsurface.
design and drawings are not pre-
– Reservoir area should be
investigated for reservoir tightness, requisite for the approval and
change in ground water level and preparation of PC-I
quality, risk of landslides to rapid • PC-III PROFORMA
drawdown, stream erosion and This proforma is designed to
formation of deltas, etc. furnish information on the progress of
– Laboratory testing is required to on-going projects on quarterly basis.
analyse the samples taken in the • PC-IV PROFORMA
field.
DPE NOTES , PROJECT PLANNING

The project completion report on • National Economic Council (NEC)

PC-IV is to be furnished by every It approves all policies and plans
Project Director /executing agency only relating to development. It is headed by
once, soon after a project is completed. the Country Chief Executive
• PC-V PROFORMA (President/Prime Minister). Federal
This is to be furnished on an ministers in charge of economic
annual basis for a period of five-years ministries, Deputy Chairman of the
by the agencies responsible for planning commission and the
operation and maintenance of the Governors/Chief Ministers of the
projects provinces are its members.
PC – I PROFORMA It approves all federal &
PC MODEL OF PROJECT CYCLE provincial schemes above Rs. 100
million.
• PC-I Proforma for Production • Executive Committee of National
Sectors Economic Council (ECNEC)
• PC-I Proforma for Infrastructure The Federal Minister of Finance
Sectors heads it and its members include
• PC-I Proforma for Social Sectors Federal Ministers of Economics,
Provincial Governors/Chief Ministers or
• Production Sectors their nominees and the provincial
– Agriculture Production ministers concerned. It has the following
– Agriculture Extension functions:
– Industries, Commerce and – To sanction development schemes in
Minerals public and private sectors.
• Infrastructure Sectors – To allow moderate changes in the
– Transport & Communication plan and in the plan allocations
– Telecommunication – To supervise the implementation of
– Information Technology economic policies laid down by the
– Energy (Fuel & Power) National Economic Council (NEC).
– Housing, Government Buildings & It approves all schemes above Rs. 100
Town Planning million.
– Irrigation, Drainage & Flood
Control • Central Development Working
Party (CDWP)
• Social Sectors The Deputy Chairman of the Planning
– Education, Training and Commission heads the CDWP and is
Manpower joined by secretaries of the federal
– Health, Nutrition, Family Planning ministries concerned and the heads of
& Social Welfare the planning departments of the
– Science & Technology provincial governments as its members.
– Water Supply & Sewerage It scrutinises all the development
– Culture, Sports, Tourism & Youth projects prepared by the federal
– Mass Media ministries, provincial governments,
– Governance autonomous organisation, etc. for the
– Research purpose of approval by ECNEC.
PROJECT APPROVING BODIES
DPE NOTES , PROJECT PLANNING

It is competent to approve development • Economic Co-ordination

project up to certain financial limits. Committee of the Cabinet
Projects exceeding the limits are (ECC)
submitted for approval to ECNEC. It consists of the Federal Minister for
Federal schemes costing between Rs. Finance as head and Federal Ministers
20 million and Rs. 100 million; subject to of economic ministries as its members.
the condition that the Ministry of Finance It gives approval to the projects in
does not disagree. private sector and keeps vigilance on
the monetary and credit situation and
• Provincial Development Working makes proposals for the regulation of
Party (PDWP) credit in order to maximise production
It is headed by the Chairman and exports and to prevent inflation. It
Development Board/Additional Chief also co-ordinates the economic policies
Secretary and includes Secretaries of initiated by the various divisions of the
the provincial departments concerned Government.
with development as its members. It
scrutinises various projects for approval
up to a certain financial limits (Rs.100 PC MODEL OF PROJECT CYCLE
M). Projects exceeding this limit are
submitted to the CDWP for approval.
• Department Development
Working Party (DDWP)
It is a body for approving
development projects for federal
ministries/divisions/departments
according to their approved financial
limits (< Rs. 20 M).
It is headed by the respective
secretary/head of department. Its
members are representatives of Finance
Division and concerned Technical
Section in the Planning and
Development Division.

• Cabinet Committee on Energy

It comprises the Prime Minister as its
Chairman, Finance Minister as Vice
Chairman, and Minister for Planning and
Development, Minister for Petroleum
and Natural Resources and Minister for
Water and Power as its members. It is
responsible to approve plans, policies
and development schemes costing more
than the powers of approval by the
concerned Ministry or Deptt.