HYDERABAD, Oct 23: Sindh Minister for Local Government Agha Siraj Durrani said on Thursday that his ministry would throw a lease of life to the troubled Water and Sanitation Agency (Wasa) by recommending restoration of its subsidy.

He said during a briefing being given to him about status of Hyderabad Development Authority and its subordinate body Wasa at the office of director general of HDA that (the subsidy) would ensure Wasa’s survival, help it pay salary to its workers and enhance its capacity.

He said that the agency faced deep financial crisis due to outstanding dues against government organisations but now it had been decided that the issue would be tackled on provincial level and a strategy would be evolved to help recover dues through easy instalments.

HDA Director General Javed Junejo said during briefing that the federal, provincial and district government owed Wasa Rs1,056.385 billion and without its clearance the agency could not function properly.

He said that against the monthly recovery of Rs19 million, Wasa was spending Rs40.2 million each month, while it needed Rs34 million more every month to streamline its system.

The agency faced another sever problem of 35,000 unauthorised water connections that was causing water contamination and sought magisterial powers to take action against water thieves.

Mr Junejo said that his organisation had been running in deficit since its very inception due to disproportionate revenue and expenditure. During the current financial year of 2008-09 it faced a deficit of Rs250 million, which needed to be subsidised by the government, he added.

He called for restoration of subsidy to Wasa, which discontinued in 1991 and demanded that the finance department of the government of Sindh be directed to provide at least Rs250 million a year to strengthen the body.

He said that at present Wasa had four water treatment plants, two settled water works, two sewage treatment plants, 40 water supply pumping stations, 35 major sewerage pumping stations, 30 temporary sewerage pumping stations and 2,500km of water supply and sewerage lines.