PSDP 2025-26: Rs424 Billion Water Projects Proposed, K-IV Delays Persist

Bhasha-Dam

ISLAMABAD: The Ministry of Water Resources has proposed 33 new water sector projects worth Rs424.128 billion for inclusion in the Public Sector Development Program (PSDP) 2025-26, seeking an allocation of Rs42.432 billion for the upcoming fiscal year.

During a briefing to the Senate Standing Committee on Water Resources, chaired by Senator Shahadat Awan, Secretary Syed Ali Murtaza outlined the proposed projects.

Breakdown of Proposed Projects
WAPDA Projects: Four projects totaling Rs33.0155 billion, with Rs1.584 billion sought for FY 2025-26.
Sindh: Three projects worth Rs257.783 billion, with a funding request of Rs15.805 billion.
Khyber Pakhtunkhwa: 19 projects valued at Rs94.130 billion, requiring Rs14.242 billion.
Punjab: Seven projects worth Rs39.200 billion, with Rs10.800 billion sought.
Balochistan: No new projects included in PSDP 2025-26.
However, none of these projects have been officially included in the PSDP yet, as their PC-1 approvals remain pending.

K-IV Project Faces Delays and Cost Escalation
The Greater Karachi Bulk Water Supply Scheme (K-IV), Phase 1, launched in 2022 with a budget of Rs126.404 billion, is now projected to cost Rs150 billion—an 18% increase, as stated by WAPDA Chairman Lt. Gen. (Retd) Sajjad Ghani. The project, originally scheduled for completion in 2026, may extend to 2027 due to delays in awarding tenders for water distribution lines by the Karachi Water & Sewerage Board (KWSB).

Key challenges include:

Funding Shortages: The Government of Sindh has yet to release its Rs8.503 billion share.
Power Supply Issues: Delays in providing electricity for the project.
Legal and Security Concerns: Right of Way (RoW) clearance disputes and security for Chinese nationals working on-site.
Despite assurances from the Ministry of Water Resources to arrange funds, the delay lies with the provincial government.

Committee’s Concerns and Directives
Senator Shahadat Awan stressed prioritizing the completion of ongoing projects before initiating new ones. The Committee also sought updates on the Thal Canal, following a Sindh Assembly resolution against it, and emphasized the need to accelerate execution to tackle water scarcity.

In response to concerns about project audits and monitoring, the Ministry assured the Committee that a dedicated department oversees progress on a frequent basis.

Story by Mushtaq Ghumman

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