• Karachi’s lifeline scheme faces cost escalation of almost 1,000pc, capacity slashed to 260MGD
• Project for establishment of space centre referred to Ecnec
• Six other schemes worth Rs81bn cleared

ISLAMABAD: The Greater Karachi Bulk Water Supply Scheme (K-IV) is facing a massive 975 per cent cost escalation to Rs172 billion and a huge time overrun of over 13 years, even though it is far from completion and the total capacity has been reduced by two-thirds.

Visualised by planners as a future lifeline for the country’s largest metropolis, the project was one of seven development schemes cleared by the Central Development Working Party (CDWP) on Thursday. The total cost of these schemes is estimated at Rs253bn.

The meeting, presided over by Planning Minister Ahsan Iqbal, was informed that the cost of K-IV had increased by 75pc alone since its contracts were awarded in June 2022 for Rs98.5bn, with a reduced carrying capacity of 260 million gallons per day (MGD) from an originally planned 650MGD.

This phase was to be completed by October 2023 under the contract timelines, but is now scheduled for completion by June next year, according to Wapda Chairman Gen Muhammad Saeed.

He told a parliamentary panel on Wednesday that delays were due to financing problems.

The original 650MGD K-IV project was finalised in 2007 at an estimated cost of Rs15.8bn, but the cost was revised to Rs25.5bn in 2014 by the Executive Committee of the National Economic Council (Ecnec) after inclusion of a 50MW power supply needed for pumping stations and a few bridges and tunnels for the 121km conveyance system for the flow of water from Keenjhar lake to Karachi.

According to a press release, Planning and Development Minister Ahsan Iqbal said since the project carried “far-reaching social and economic benefits” for the people of Karachi, the federal government was investing a huge amount of funds for the supply of safe and clean drinking water. The intention is to reduce the financial burden on low-income households and to save them from the tanker mafia, the statement added.

The minister directed the Sindh government to submit a report on synchronisation of all critical project components, particularly the completion timelines for 50MW power supply and distribution network augmentation.

Four projects approved

The CDWP “approved seven development projects” involving a total cost of Rs252.97bn, the statement said. Of these, four projects worth Rs12.43bn were approved by the CDWP, while three major projects, with a cumulative worth of Rs240.53bn, were referred to the Ecnec for further consideration, it added.

The current financial rules empower the CDWP to approve projects costing up to Rs7.5bn, while projects of higher estimated costs are approved by Ecnec on the recommendations of the CDWP.

The CDWP also referred to Ecnec for approval a revised project of the information technology sector, “Establishment of Pakistan Space Centre (PSC)”, sponsored by Suparco, at an estimated cost of Rs37.13bn. Under the proposal, the PSC will develop the country’s indigenous capability for the design, assembly, integration, testing, qualification of satellites and reducing dependence on foreign facilities.

The third project referred to Ecnec for approval was the Rs31.59bn Lahore Water and Waste Water Management Project. The project includes the construction of twin three-km raw water pipelines, a 54 MGD surface water treatment plant, raw water tank and a pumping station.

It also covers the establishment of district metered areas and zones to reduce non-revenue water, installation of feeder mains and water distribution pipelines, bulk flow and consumer water meters, a five megawatt solar power system, and one year of post-completion operation and maintenance.

While reviewing the project, the forum directed the Punjab government to provide an undertaking ensuring the allocation of required annual funding for the project through the provincial Annual Development Programme.

Four projects approved by the CDWP involving a total cost of Rs12.43bn were related to the higher education sector. The first was “Strengthening of the Women University of AJ&K Bagh”, at an estimated cost of Rs2.55bn.

The second project, “Provision of academic facilities at Emerson University, Multan”, is estimated to cost Rs1.04bn.

The CDWP approved the establishment of an Institute of Technology and Management Sciences in Hyderabad at an estimated cost of Rs4.56bn.

The fourth project to win CDWP’s approval was the “Strengthening of Khan Bahadar Choudhry Mushtaq Ahmed College of Veterinary and Animal Sciences)” in Narowal, Ahsan Iqbal’s hometown, at a rationalised cost of Rs4.28bn instead of Rs5.49bn.

Published in Dawn, August 7th, 2026