- Will there be a second foundation stone also?
One appreciates Prime Minister Imran Khan’s determination to build the Diamer-Bhasha dam, the biggest water reservoir in the country. The dam will not only provide cheap power but also conserve water for the country which already faces water shortage. The dam will go a long way for economic development and social uplift of Pakistan. Even in the short run the construction activity will create thousands of jobs.
In his speech, Mr Khan regretted that the decision to build the Dam was taken 50 years ago but the work has begun now, saying “this is one of the biggest reasons why we haven’t progressed.”
Mr Khan’s predecessors had a feasibility report prepared and got approval for the construction of the dam from both the ECNEC and CCI. In 2018, WAPDA claimed that 89 percent of the land required for the dam had been acquired. Where the previous governments failed was in getting a loan of $12.6 billion required at the time to build the dam. Turkey was reportedly approached but funds could not be arranged. The World Bank refused on account of the Indian objection that the area was disputed. The then PM Yousuf Raza Gilani laid the foundation stone of the project on 18 October 2011.
In 2011 the Chinese Three Gorges Project Corporation (CTGPC) had shown willingness to invest in the Bhasha dam provided it was given the project on single-bid basis. The government might have over-ruled bureaucratic objections and ignored US displeasure, but with the PTI leaders dangling charges of corruption against anything done in contravention of rules, the government hesitated.
The appeals made jointly by CJP Mr Justice Saqib Nisar and Mr Khan for donations to construct dams led only to a meagre sum of Rs 8.46 billion being deposited in the SBP. While the World Bank and Asian Development Bank still refuse to provide funds for the dam, China has agreed to finance the project, setting aside Indian objections. The contract for the construction of the Diamer-Bhasha Dam has been awarded to a joint venture between Power China and FWO. It is not known if the conditions for loan this time would be different from those in 2011. Hopefully the government will go ahead notwithstanding US pressure. With Pakistan facing a financial crunch, will the joint venture be ready by 2028?
