close
Money Matters

Changing Fata’s fate…

By Asif Khan Turk
Mon, 05, 17

POLICY

Federally Administered Tribal Areas (FATA) are rich in oil, gas, and minerals and hold tremendous potential for exploration, field development, and production. However, almost none of the governments ever tried to tap this vital sector to develop Fata. Due to this indifferent attitude of successive regimes, Fata people, who have never seen any significant development in their area since the creation of Pakistan, continue to suffer and are forced to lead miserable lives. Finally, there’s a ray of hope.

For the development and prosperity of the people of Fata, the present government has started the revival of economic activities in the area. On the behest of Iqbal Zaffar Jhagra, Governor Khyber Pakhtunkhwa, Fata Development Authority (FataDA) has launched, “Oil & Gas Facilitation Unit (OGFU).” This unit will facilitate as well as promote the exploration activities in Fata to bring the backwater in the mainstream of national development.

In this regard, OGFU has awarded fifteen exploration leases (of 15 blocks) to eight national and multinational companies. From February 2016 to this very moment, it has attracted Rs20 billion in investments in oil and gas sector through 2D seismic survey and geological mapping, which is a hallmark achievement.

Similarly, FataDA has started interacting with different companies for initiating developmental activities in the area as per their commitments in Petroleum Concession Agreement (PCA) with the federal government, while OGFU has also ensured the firms of its full cooperation in addressing their problems.

With the help of OGFU, Oil & Gas Development Company Limited (OGDCL) has kicked off multiple projects across Fata, whereas the unit has also assisted BGP, a Chinese company, in embarking on 2D seismic survey in Latambar Block of Frontier Region (FR) Bannu. These activities have contributed a number of benefits to the locals in term of jobs, free medical assistance, and installation of free pressure pumps, etc.

 Following the successful completion of the aforementioned activities, Geofizyk Kraków, a Polish geophysical company, and Senshe, a Chinese manufacturers of seismic geophones,  also started and successfully finished the geophysical survey in Baska North Block (FR DI Khan) and Kohat Block (Lower Orakzai, FR Kohat and FR Peshawar) respectively. They also brought with themselves a number of employment opportunities and other social benefits to the region.

 Owing to this situation other oil exploration and production companies, having stakes in Fata, have also rushed to OGFU for the same assistance.

MOL Pakistan, which has completed a gravity survey in North Waziristan Agency, is also planning a 2D seismic survey. The OGDCL has completed seismic survey in Latambar Block and Kohat Block and would start drilling down the line. The national ‘oil gas giant’ has also launched seismic survey in many other blocks i.e.,  Wali Block (FR Lakki, FR Tank and South Waziristan Agency), Tirah Block (Khyber Agency, Kurram Agency and Orakzai Agency), Nashpa West (FR Bannu) and Orakzai Block (Orakzai Agency and Kurram Agency) etc.

These activities have created multiple employment opportunities for the youth of Fata. To date, the young population of Fata has been provided with 1000 direct and indirect skilled and unskilled jobs.

To understand what makes it so effective, it is important to have an idea about the operation of OGFU. According to details, the OGFU, after receiving a request from a company, forwards it to Fata Secretariat and Law & Order Department for the issuance of no objective certificate (NOC). The secretariat then forwards that request to the political administration of the concerned agency/FR, where company intends to work. After getting permission from all the channels, Fata Secretariat issues an NOC to the company. Then the OGFU, in collaboration with political administration, calls a Jirga (meeting) of the local tribal elders to take them into confidence about the planned activities. In the meeting all the incentives and employment opportunities attached with the project are conferred to the locals and terms and conditions are finalised.

Similarly, “Mohmand Marble City” (MMC), the first ever industrial estate in Fata, is going to be established near Machini area, 30 kilometers from Peshawar. Reports have it that three other industrial estates, in North and South Waziristan and FR Kohat, will also be established later.

The MMC project consists of 295 plots, which have been allotted to industrialists.

The energy crises, unsatisfactory infrastructure, lack of skilled human resources and unavailability of quality raw materials are the reasons of unemployment, and economic problems in Fata; however, the security unrest is the key factor behind this situation. 

The MMC project, to be completed shortly, will create more than 18,000 employment opportunities in the region. On the special efforts of Governor Jhagra, the project has also been made a part of the China-Pakistan Economic Corridor (CPEC), which will change the fate of Fata.

All the aforementioned activities have helped in the restoration of a peaceful image of Fata that was previously considered to be a no-go area. Therefore, it is necessary for the government to continue to progress towards sustainability at all levels and in true letter and spirit. Otherwise, all the efforts being done will never be able to bear fruit.

The writer works as a staff reporter with Daily Jang in Peshawar