Wapda chief declares country's development structure 'faulty': NA body briefed

Chairman Water and Power Development Authority (Wapda), Lt-Gen Muzammal Hussain (retd) on Tuesday declared the country's development structure faulty which needs rectification as the prevalent "un-harmonized" mechanism will not take Pakistan anywhere due to non-availability of financial resources. He made these comments at a meeting of National Assembly Standing Committee on Water Resources, headed by Nawab Yousuf Talpur.
"Financial resources are not available and the country's prevalent development mechanism is not right and will not take us ahead even after a number of briefings," he commented soon after Joint Secretary Water Resources/Indus Water Commissioner, Syed Mehar Ali Shah's detailed briefing to the committee. The chairman Wapda termed Joint Secretary's briefing a wish list. The Wapda completed 24 projects including two water reservoirs, barrages and irrigation canal system during its first 12 years of establishment in 1956.
The chairman Wapda argued that financial resources can be arranged through innovative models but until basic development structure is corrected, things will remain unchanged. During the term of the first four Wapda chiefs whose names began with "Ghulam" PC-1 was readied within three or four months. However, 26 months are required for the approval of one PC-1 for the last 10-12 years depending upon the intent of relevant authorities which implies that one administration can approve only two PC-1s during its term.
The chairman Wapda stated, there was no issue of transparency, the National Accountability Bureau (NAB) did not exist at that time and all projects were completed within the specified period".
He said unbundling of Wapda hit the organisation as it divided it into three. The Wapda was separated from the power sector which is now being handled by the Power Division whereas NTDC is an organisation which deals with the transmission system.
The chairman Wapda stated the names of those hydropower projects which are Wapda's priority but added that the NTDC's priority is Mitiari-Lahore transmission line.
"There is a very serious disconnect in the briefing given to the committee as the present system cannot deliver what is required," he said in the absence of Secretary Power, Irfan Ali who was also the additional charge of Secretary Water Resources. The Wapda is dealing with 21 dams and small hydropower projects.
He said, Pakistan's storage capacity has declined to 17.11MAF from 22MAF and now water inflows have declined. Earlier, the Wapda was generating 6700MW electricity and has added 2487MW electricity in the system but Pakistan's transmission and distribution systems are ineffective and cannot deliver produced electricity to the consumers. He cited the example of a grid station of Chitral which is still incomplete. Wapda is now bringing electricity for Temergarha from its own resources. Wapda's financial model generates Rs 84 billion revenue per annum.
He said that nine mega projects which were stalled/stranded till 2016 due to different reasons but Wapda turned around these projects and completed the first phase of Kachhi canal of 353km which supplies 72,000 cusecs of water; the Balochistan government takes only 10,000 cusecs and remaining 62,000 cusecs water is not used. He said Wapda also completed Tarbela 4th extension despite several negative reports.
Talking about 969MW Neelum Jhelum Hydropower Project, he said that all the four units are now operational and will produce electricity valued at Rs 50 billion. However, 11 percent less flows are expected from the project due to Kishanganga hydroelectric project in India. However this will be compensated with a new project of 15MW to be established in Dosehri.
The project cost has increased from Rs 84 billion in 1998 to Rs 514 billion in 2018. the Chairman Wapda justified what was done by his predecessors-from procurement of tunnel boring machines to height of project 47 meters to 60 meters after the earthquake -and stated that the project has been completed at the cost of Rs 464 billion instead of approved PC-1 of Rs 503 billion. He said of the total expenditure of 464 billion, Rs 80 billion was spent on Interest During Construction (IDC) which was not part of initial estimates, Rs 75 billion cost escalation and Rs 70 billion rupee dollar parity as the cost was estimated at Rs 120/dollar. He argued that out of Rs 464 billion, Rs 244 billion was actually not spent on the project which implies the project was completed in Rs 220 billion.
The Chairman Wapda also shared update on other hydropower projects like Mohmmad Dam and Bhasha Dam.