RAWALPINDI, Aug 22: The Asian Development Bank (ADB) has refused to restore loan for the multi-billion Rawalpindi Environmental Improvement Project (REIP) that was suspended last year.

The Punjab government had recently claimed that the ADB would restore loan in July this year, but talks between the local authorities and the ADB collapsed, as the bank refused to restore the loan citing administrative 'negligence'.

The Rs5.142 billion environment project that had been initiated in Rawalpindi city in 2006 was aimed at improving the living condition and quality of life in the garrison city through improvement of water supply and sanitation facilities, solid waste management, waste water treatment and construction of slaughterhouses.

However, the city authorities took four years to complete only 30 per cent work on the project, and during this period three project directors were transferred or their services terminated for alleged malpractices. Dawn

Talking to , REIP Project Director Salim Raza said that the Punjab government and local authorities were in talks with the ADB for restarting the environment project, adding that the joint venture was vital for the city.

“I am quite sure that the project would be resumed soon as we cannot leave the project incomplete. We have done 50 per cent work and the remaining segments would be completed as soon as the funding from the Asian Development Bank is restored,” Mr Raza said.

Rift between the cantonment and city authorities, difference of opinion over the execution of project and political favouritism forced the ADB to suspend loan for the project.

However, the director of the environment project was optimistic about receiving the loan.

The segments of the project include installation of 160-km sewage network within the boundary limits of Rawal Town over an area of 384 hectares and construction of outfall sewer to the sewage treatment plant (STP) that would be installed near Adiala village.

Under the project, procurement of sewage cleaning equipment and machinery and replacement of undersize sewer are also included besides state-of-the-art filtration plants.

Mr Raza said that the provincial government would share the cost of the project equally, adding that once the loan was restored, the project would be completed on time as spadework in this regard had been carried out in advance.