LHC directs NAB to decide Mohmand dam consultancy contract issue

LAHORE: A Lahore High Court (LHC) division bench has disposed of a petition questioning award of consultancy contract for Mohmand Dam Hydropower Project and directed National Accountability Bureau (NAB) chairman to decide the matter in accordance with the law.

The division bench, headed by Justice Ali Baqar Najafi, heard the petition, filed by Mehboob Elahi and its written judgment was released here on Thursday.

The petitioner's counsel had submitted that Water and Power Development Authority (Wapda) had awarded consultancy contract worth Rs5.5 billion to Nespak.

However, he submitted that the contract had been canceled and new contract worth Rs9.98 billion had been given to a consortium, led by Nespak.

The petitioner submitted that the step could cause a loss of Rs3.5 billion to the national exchequer whereas it was awarded in an unusual manner.

Besides raising questions over technical capabilities of Nespak for the dam project, the counsel sought directions for the NAB chairman to launch an inquiry into irregularities committed in award of the consultancy contract.

He submitted that an application was also submitted to the NAB chairman, but no action had been taken yet.

The NAB prosecutor assured that if the application was pending then it would be decided in accordance with the law.

At this, the bench disposed of the petition and directed the NAB chairman to decide the matter in accordance with the law.

Last month, Wapda signed a contract agreement worth Rs9.98 billion with a joint venture, led by Nespak, for consultancy services for design, construction supervision and contract management of Mohmand Dam Hydropower Project.

Mohmand Dam Hydropower Project is being constructed on River Swat in tribal district Mohmand of Khyber-Pakhtunkhwa province. It is a multi-purpose project with gross water storage capacity of 1.2 million acres feet (MAF) and power generation capacity of 800 megawatt (MW). The project is scheduled to be completed in five years and eight months.