Water Sector Faces Major Funding Squeeze: Rs179bn Proposed Against Rs969bn Need
Water Sector Faces Rs179bn Allocation Against Rs969bn Need

ISLAMABAD: The water sector in Pakistan is set to experience a significant funding shortfall in the upcoming fiscal year, as the government has proposed an allocation of Rs179 billion against a total requirement of Rs969 billion. According to sources, the Ministry of Water Resources had projected a total outlay of Rs969 billion for ongoing and planned development schemes, but the government has reduced this drastically.

Budget Allocation Details

The development budget includes 41 ongoing projects, with only one new scheme added. The sole new initiative is a power generation facility linked to the Diamer-Bhasha Dam, for which Rs500 million has been proposed. Additionally, Rs25 billion has been allocated for the Diamer-Bhasha Dam itself, and Rs7 billion for land acquisition related to the project.

Major Hydropower Projects

Funding has also been proposed for several major ongoing hydropower and water infrastructure projects. These include Rs25 billion for the Dasu Hydropower Project, Rs39 billion for the Mohmand Dam, and Rs428 million for the rehabilitation of the Warsak Hydropower Station.

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Irrigation and Water Supply Schemes

For irrigation and water supply, Rs500 million has been proposed for the Kachhi Canal project, while Rs13 billion has been earmarked for the Greater Karachi Water Supply Scheme. Additionally, Rs5.76 billion is proposed for a telemetry system on the Indus River to improve real-time water monitoring.

Storage Capacity Expansion

To enhance existing storage capacity, Rs4.59 billion has been allocated for the Mangla Dam Extension Project, and Rs3.40 billion for the fifth extension phase of the Tarbela Hydropower Project.

Cost Estimates

According to official estimates, the Dasu Hydropower Project has a total cost exceeding Rs1,737 billion. The Diamer-Bhasha Dam is estimated at Rs479 billion, with its power generation component valued at Rs174 billion. The Mohmand Dam project carries an initial estimated cost of Rs309 billion.

The significant reduction in funding raises concerns about the timely completion of these critical water and energy projects, which are essential for Pakistan's economic development and water security.

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