ISLAMABAD: With over 157 per cent cost escalation in first phase of Kachhi Canal Project, the government on Tuesday approved a total of three development projects at an estimated cost of Rs96.2 billion.

The projects were approved at a meeting of the Executive Committee of the National Economic Council (Ecnec) presided over by Finance Minister Ishaq Dar that deferred a decision on Right Bank Outfall Drain (RBOD) project.

The meeting approved Kachhi Canal Project (Phase-I) at a revised cost of Rs80.4bn. The project was originally approved at a cost of Rs31bn in 2003, with targetted completion in five years.

The Council of Common Interest (CCI) had appointed a judicial commission to probe cost escalations, implementation delays, technical deficiencies and issues of financial transparency as the project cost was revised to Rs57.6bn in 2013 and further to Rs80.35bn.

The meeting was informed that 92pc physical progress had been achieved on the project at an expenditure of Rs57bn while the remaining 8pc job would require Rs23.1bn.

The meeting approved the revised cost on assurance by Wapda that no further cost cutting was possible, stressing ‘further reduction will hinder the project’s completion financially’.

The project aims at development of water and land resources in less developed areas of Balochistan province covering districts of Dera Bugti, Naseerabad, Bolan, Kachhi and Jhal Magsi.

Kachhi Canal offtakes at Taunsa Barrage from river Indus with peak discharge of 6,000 cusecs and will ultimately irrigate an area of 713,000 acres. Under Phase-I of the project, 72,000 acres would be irrigated.

The project will boost agriculture production of food grain, fiber and oilseeds. It will also facilitate availability of potable water.

The meeting also approved a project for detailed design and construction of Pehur High Level Canal Extension, Swabi at a cost of Rs10.2bn including an ADB loan of $86.29 million. The project is an extension to the command area of the Pehur High Level Canal and will draw its supplies through Gandaf Tunnel directly, which conveys irrigation water from Tarbela Dam Reservoir.

Published in Dawn, March 8th, 2017