Islamabad, (TDI): Federal Minister for Planning, Development, and Special Initiatives Ahsan Iqbal has voiced serious concerns over delays and cost escalations in the Diamer Basha Dam project.
Chairing a review meeting attended by the Secretary of Planning, Chairman WAPDA, and senior officials from various departments, Iqbal emphasized the project’s critical role in securing Pakistan’s water and food needs.
Ahsan Iqbal noted that until 2018, the estimated cost of constructing the Diamer Basha Dam was Rs.479 billion, with Rs.120 billion already spent on land acquisition.
However, he lamented that delays and mismanagement during the tenure of the previous government had caused a significant increase in costs.
In 2020, construction was initiated without proper financing, further exacerbating the situation.
The minister revealed that during the previous government’s tenure, the project’s cost had fluctuated between Rs.600 billion and Rs.750 billion in various standing committee meetings, while officially, it continued to be reported at Rs.480 billion.
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He asserted that due to the incompetence of the previous administration, lack of funding, and delays, the cost has now ballooned from Rs.479 billion to Rs.1,400 billion.
Expressing regret, the minister pointed out that a comprehensive financing plan for the project is still lacking.
He proposed separating the dam and power projects, suggesting that funding for the power project be sourced from the private sector.
Failure to Revise PC-1
He further criticized the failure to revise the PC-1 for the project, noting that six years have passed without an update.
The minister recalled that he had earlier recommended that no project should commence if its PC-1 is more than two years old.
To prevent future delays, he advocated for completing projects under a Public-Private Partnership model.
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He underscored the significance of the Diamer Basha Dam, which would store 6.4 million acre-feet of water, vital for the country’s agriculture and industry.
Iqbal also urged the involvement of Pakistani engineering and hydrology students in the dam’s construction to benefit from the experience of this national initiative.
He directed all relevant departments to prioritize the project’s completion to safeguard Pakistan’s water and food security.
