AL&R of Diamer-Bhasha Dam project's cost goes up

The cost of "Acquisition of Land & Resettlement of Diamer-Bhasha Dam Project " went up to Rs164.050 billion in 2nd revised PC-I against cost of Rs60.051 billion in original PC-I and Rs101.732 billion in 1st revised PC-I.

According to position paper of the project presented in the last meeting of Central Development Working Party (CDWP), original PC-1 for Acquisition of Land & Resettlement (AL&R) of Diamer-Basha Dam Project was approved by ECNEC on 06-11-2008 at a cost of Rs60.00 billion.

Cost of original PC-I was based on notification issued by Deputy Commissioner, Diamer, Chillas on January 24, 2008. However, project affectees disagreed with compensation package and hence continued their protest at various levels, documents stated.

Documents disclosed that different Committees were formed to find a solution. Finally, the Prime Minister of Pakistan constituted the Ministerial Committee on 23-12-2009 to resolve the issue of compensation package. After intensive discussion with the affectees and all other stakeholders a summary was forwarded to the Prime Minister of Pakistan soliciting his approval.

The Prime Minister's Secretariat informed the M/o KA&GB that the Prime Minister directed that the matter may be placed before the Economic Coordination Committee (ECC).

The ECC of the Cabinet on June 29, 2010 considered the summary submitted by M/o KA & GB and approved the recommendations of Ministerial Committee.

Pursuant to the recommendations of PM Ministerial Committee, 1st revised PC-I was prepared by WAPDA costing Rs101,372 million and approved by ECNEC on 02-03-2015.

Up to June 2019 a sum of Rs82,508 million was incurred against the 1st revised cost. In the meanwhile dam part component of Bhasha dam was approved at a cost of Rs479.686 billion by ECNEC on 14-11-2018.

However, WAPDA submitted 2nd revised PC-I for approval on the basis of actual payments made to the affectees through various awards by Land Acquisition Collector, Chilas.

Documents citing the major reasons for submitting 2nd revised PC-I pointed out that in the first revision of PC-I, the rates for compensation of affectees were issued by Deputy Commissioner, Diamer.

However, rates were reviewed and revised in the light of Ministerial Committee meeting held at Islamabad on 21-01-2015 and protest of Dam affectees.

Also, increased compensation payment up to 25 percent interest on the land compensation rates of 2010 as recommended by the Apex Committee (under Chief Secretary, G.B, which was later on approved by Ministerial Committee on 22-06-2015).

Besides, compensable assets were increased (houses from 3037 to 3080, trees from 525,775 to 558,697 and corresponding increase in rates) and consultancy cost increased due to panel of experts (external monitoring and evaluation) envisaged to resettle 4,102 affected households/families.