With the government caught in a political imbroglio amid increasing fiscal constraints, the fate of small dams - as is the case with many developmental projects - hangs in balance. But tight monetary situation or not, there is a growing need to maintain focus on the construction of small dams, by not just ensuring that the budgetary allocation of Rs 10 billion finds its way to the projects but also making use of China's and ADB's assistance in this regard.
Small dams have many advantages over large dams in a developing country like Pakistan mainly due to shortage of money and political issues. A 2002 study by the agricultural department highlighted that there exists a strong negative correlation between farming growth and poverty. And small dams do just the same by providing access to water in rain fed areas (Barani), which is nearly 25 percent of cultivated land, resulting in poverty reduction, higher earnings, food security and creating employment opportunities. The water stored by small dams can be used for multipurpose including irrigation, livestock and other domestic usage.
Projects like this have impact on rural development. Take for example, the case of 32 small dams constructed in the Potohar region in 80s~90s, where societal returns have been quite impressive. The shift from wheat and forage crops cultivation to vegetable crops has enabled indigenous farmers to earn up to $2433 per hectare per year, according to another report. Small scale dams have led to an increase in crop intensity from 70 percent to 120 percent; a two fold increase in crop yield and a 70 percent increase in farm income.
These projects are also lucrative from an investment point of view. Based on USAID estimates, the cost-benefit advantage of developing small dams works out to be something like this: an investment of Rs 10 billion on the construction of small dams will yield Rs 71 million per year for more than 30 years, since the average life expectancy of small dams is over 30 years.
In addition, it can generate 500,000 of labour years, which implies that almost 500,000 workers will be full time employed by means of this investment. Avenues of such potential returns must be tapped, where perhaps NFWP and Balochistan, which have lesser resources and limited access to good infrastructure, can be focused upon initially.
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