Bus fleet imported by Sindh govt held up at port over tax row

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Minister Sharjeel Memon speaks during a visit to Red Line project.—Dawn
Minister Sharjeel Memon speaks during a visit to Red Line project.—Dawn

KARACHI: Sindh Senior Minister Sharjeel Inam Memon revealed on Sunday that a new fleet of buses for Karachi’s Bus Rapid Transit (BRT) system has been delayed at Karachi port for the past two months due to a tax dispute, stating the provincial government has been charged an 18 per cent duty while Punjab received a concessionary rate of only one per cent for a similar procurement.

Speaking to the media, he confirmed that discussions are ongoing with the Federal Board of Revenue (FBR).

He stressed that the buses ordered by Sindh have the same specifications and capacity as those acquired by Punjab and argued that the same tax concession should be applied. “The matter is being followed up daily,” he said.

During a review of the BRT Red Line project, Mr Memon, who also holds the transport portfolio, disclosed that the project had previously faced potential suspension due to a sharp escalation in costs driven by high inflation, economic recession, dollar appreciation and rising cement prices.

Sharjeel Memon claims provincial govt charged 18pc duty while Punjab paid only 1pc for similar procurement; says talks underway with FBR

He described the decision to proceed as “difficult but a success”.

“The Sindh government ultimately chose to continue the major transport initiative, viewing it as a crucial investment for the next forty to fifty years. It is being built for future generations to improve transport and mobility, in view of the growing traffic and population of Karachi,” he explained.

He highlighted that 99pc of the project’s expenditure is focused on infrastructure rather than rolling stock. He attributed delays and incomplete sections to “genuine difficulties” rather than malpractice and affirmed that the provincial government is directly monitoring all progress.

Providing an update on timelines, the senior minister announced that instructions have been issued to resolve issues on surrounding roads before Eid. The 2.7-kilometre stretch impacted by the K-IV Augmentation pipeline is scheduled for completion by April, while the University Road and Jinnah Avenue sections are expected to be finished within two to three months.

However, he noted that some BRT-related works could extend for another year and a half. Another major project, the facility on Shahrah-i-Bhutto, is anticipated to be completed up to Quaidabad by the end of March or early April, with a future extension planned to the M-9 motorway.

The senior minister also mentioned that contractor-related disputes on the Red Line project “were resolved through negotiations, resulting in financial savings” for the government.

He emphasised that instead of simply accepting contractors’ demands, all matters were reviewed carefully to ensure transparency.

In response to a query, he acknowledged that blue rickshaws are operating in the city under court orders and that BRT station designs have been revised accordingly.

Legal system to decide Imran’s release

Touching on political matters, he commented on the release of Pakistan Tehreek-i-Insaf (PTI) founder Imran Khan, stating that it was a matter for the legal system to decide.

He criticised some PTI members for appearing more focused on “personal agendas” and urged the party’s supporters to refrain from using abusive language on social media, advocating for issue-based criticism that respects moral boundaries.

When asked about federal relations, he asserted that commitments made between parties were formal agreements and called on the federal government to assess whether they had been fulfilled.

Published in Dawn, February 23rd, 2026

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