ABBOTTABAD: A recent monitoring report on the Khyber Pakhtunkhwa Cities Improvement Project (KPCIP) in Abbottabad has revealed financial, operational, and procedural discrepancies in the ongoing multi-billion-rupee water supply scheme.
The findings have prompted questions about project management and oversight. However, project officials have rejected the allegations, defending the technical integrity and quality assurance of all materials used.The inspection was carried out by the Deputy Director Monitoring & Evaluation in Hazara, in coordination with representatives from Water and Sanitation Services Company Abbottabad (WSSCA) and the project’s supervision consultants.
The monitoring report pointed to several systemic weaknesses, including cost escalations, infrastructure duplication, and questionable procurement practices.Major findings of the M & E report include escalating costs: duplication of infrastructure: work suspension and material quality issues.
The report stated that project’s original approval was valued at Rs 7,940 million, yet contracts were reportedly awarded at much higher rates - Rs. 8,503.65 million (45 per cent above estimate) and Rs 2,596.19 million (80.2 pc above estimate).
The monitoring team cited a subsequent request for Rs 1,497.43 million in additional funds, terming it evidence of weak financial planning and oversight.The report highlighted that new water supply lines were being laid in four union councils - Nawansher, Kahal, Malikpura, and Union Council Urban - where a functioning water system, developed under the Japanese International Cooperation Agency (JICA) programme, already exists.
The team noted that this could amount to duplication of resources and misallocation of funds from areas with no existing supply.The project has reportedly faced a year-long suspension due to local disputes. During the inspection, the M&E team expressed concern over the use of “low-grade pipes” showing uneven welding and missing manufacturer marks or certificates - issues that could compromise long-term performance and public safety.
The contract was allegedly awarded to a single bidder, raising questions about transparency and competitiveness.Given that the project is financed through Asian Development Bank (ADB) and Asian Infrastructure Investment Bank (AIIB) loans, the team also noted the absence of a detailed financial return or risk assessment, warning that poor fiscal discipline could impact repayment obligations.
Meanwhile, in an official rebuttal, project officials refuted the monitoring report’s claims, particularly about material quality.Resident Engineer Engr. Muhammad Shoaib said that all Mild Steel (MS) pipes used in the Abbottabad scheme fully complied with ASTM international standards and contractual requirements. He added that quality verification had been independently validated through third-party testing.
He stated that All MS sheets were procured from certified suppliers - Jamal Steel and Victory Pipes - approved by project consultants. Similarly, all pipes underwent testing and certification by an independent laboratory.
Advanced techniques such as ultrasonic thickness testing, hydraulic testing, and epoxy coating assessments were conducted to ensure durability and compliance.The chief engineer, CIU Abbottabad, formally communicated the project’s position to the project director, KPCIP (PMU) in Peshawar, confirming that “quality concerns stand duly addressed and resolved.”