Somersaulting of ADB

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The Asian Development Bank had agreed in June this year to partly fund Diamer Bhasha Dam with provision of US $5 billion. Rest of the funding was to come from the US that committed to provide US $1billion over five years whereas Islamic Development Fund and the Kuwait Funds also agreed to partly fund the project. The dam would cost US $12 billion that will be returned over six years once the dam gets commissioned. It is designed to generate 20billion units per annum and contribute US $5 million per day benefit to the national economy. Any delay in provision of funds would additionally cost US $1.825 billion a year. A mission of ADB had visited the Dam site in June this year and went back satisfied with the project.
The Asian Development Bank in a turn of events has back tracked from its commitment to finance the project. The Bank that had earlier partly funded the Mangla Dam on the Pakistani side of Kashmir did not seek any NOC that it seeks now from India. What changed the ADB minds is its inability to counter Indian Influence in its affairs. The ADB has a history of bowing down to the interests of its donors keeping the organization afloat for political gains. In Pakistan’s case, the ADB has apparently ditched the country on Bhasha Dam funding thereby seriously affecting the work already underway on the site for the last four years. India is the 3rd largest share holder of the Bank with 224010 shares.
At the World Bank the US-India nexus is at play once again to starve the country on water and energy resources. The World Bank has also shown reluctance on funding the project under Indian pressure or is it American pressure? The World Bank also seeks NOC from India on the issue. The US has overwhelming influence over the World Bank also being its largest financier and also holds the presidency of the Bank. The World Bank says that the site is in the disputed area between India and Pakistan.
On the other hand, it says that if Pakistan gets a NOC from India it might relent. It is a dilemma for Pakistan because by going to India the whole issue would legitimize the status of Gilgit-Baltistan as a disputed territory. Our planners would have been wiser if they could earlier anticipate the grandeur designs of hostile countries the tools of which are ADB and the World Bank for squeezing the needy countries. India has not made its objections on the project vocal and in factually its water security is not threatened by the Bhasha Dam project.
In such a dithering scenario it would be in the fitness of things that instead of going to Institutions that survive on the US inhibitions, Pakistan looks elsewhere for funding the project. Major friends like China, Arab countries like Saudi Arabia and Turkey are approached for formation of some kind of consortium to fund the project. On the home front there is a need to gather banks, lending agencies, local investors besides the people themselves to contribute towards this strategic project which may become an asset in combating impending water shortages in the country.
ENGINEER JAVED IQBAL
Islamabad

2 COMMENTS

  1. In this situation it becomes even more important to fall back on Kalabagh dam for which funding would be forthcoming from ADB and WB. We need to revisit the Water Apportionment Accord of 1991 which had addressed the apprehensions of the smaller provinces. Distribution of river waters was taken away from Wapda and entrusted to the federal body IRSA with equal representation from all the provinces (later a federal representative from Sindh has been included). Punjab has agreed to a reduction in its share in order to increase Sindh's share in all future dams. 37% of 6.1 maf for both despite the vast difference in population and in the area under cultivation. A monitoring team of engineers from the Sindh irrigation department has been posted on major head works of Punjab. They are in daily communication with their head office and have not reported any misappropriation of water to date. The left bank canal at Kalabagh dam will also come under their jurisdiction. Sindh will get all the benefits of water and power without the loss of even one acre of land or the displacement of even one person.

  2. It is incorrect to claim misappropriation of water in Punjab has not been reported so far. The Sindh minister for Irrigation Mr Dharejo has repeatedly said Sindh's share of water is being taken away in Punjab by installing illegal lift pumps etc.

    Recently, Sindh's share of water has been reported missing (about 37000 cs) in Punjab between Taunsa and Chashma and this is not fist of such type of dacoity committed.

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