Dams: The real bailout for crisis-hit power economy

LAHORE: Pakistanis have proved their resilience by surviving in the most adverse circumstances that hit them periodically. Let’s find out what forces are at work here to impede economic progress in the country.

Looking at our past 40 years’ history we find out the country needed International Monetary Fund (IMF) bailout package after every five years. We did manage to get out of some very tight spots with the help of each package, but we never ever were able to land in a comfortable zone.

The IMF assisted us to the extent of our getting out of the balance of payment crisis; however, that was never enough to put us on the path of sustained growth. The fact remains that the mother of our all economic ills is the power sector. Pakistan was basically producing bulk of its power through water.

However after constructing Mangla and Tarbela dams in 1974, we failed to exploit our hydropower potential for the next 20 years. Both of the dams were built on schedule under the supervision of Water and Power Development Authority (WAPDA).

In fact, Tarbela was built six months ahead of the deadline. The expertise of Wapda engineers in building dams was wasted for long times. When power crisis hit the country in the nineties, the Pakistan People’s Party government opted for expensive furnace-oil-fired power plants. That decision changed the dynamics of power sector for good. The electricity cost multiplied overnight after the commissioning of furnace oil based power plants.

The vested interests and Western leaders succeeded in convincing the planners in Pakistan that the fault lies with Wapda.

They suggested unbundling the Wapda into power distribution and transmission companies. The situation became more fluid after this unbundling. Weakening of the authority has made Pakistan strategically vulnerable on energy as instead of hydroelectricity it depends on imported fuel for power generation. The question is whether our planners were hoodwinked by the so-called global power experts, who weakened our energy security.

Until two years ago, we were sitting at 6000 megawatt hydropower. In the last two years we added 2450 megawatt more through Nelum-Jehlum, Tarbela 4, and Golen Gol projects. These projects were lying in limbo for several years but the change of guard at Wapda accelerated the process.

The government and judiciary have now realised the gravity of water and power situation in the country. They want to built the Diamer-Basha Dam and Mohmand Dam at a fast pace. Would it be possible?

Yes it is, but before that we will have to move ahead with a clear head. Money is not the only problem in building that dam. There are other issues that have escaped our attention. If we go ten years back, we find that General (retd) Musharaf inaugurated the construction of this dam.

The same process was repeated by Yusuf Raza Gilani as Prime Minister of Pakistan. Then Nawaz Sharif as Prime Minister also inaugurated the same dam at the same site. Practically not a stone has been laid at the dam site. In these ten years only the land that will come under water of this dam has been acquired. Now when it looks the government is serious in building this dam, a number of issues has surfaced.

The burning of schools in Gilgit-Baltistan started after it was seen that the construction of dam would start soon. This terrorist activity is most probably foreign-funded. Some quarters have raised the issue of dam site being in the earthquake zone.

They hide the fact that three separate seismic surveys have been conducted in the past and all have declared the site safe for the dam. Asking for another survey would mean a delay of two years. The dam construction is being delayed on these grounds. Recently a leader of engineers has boasted that he can reduce the cost of the dam by Rs400 billion.

This seems to be a bait to start further feasibility and delay the dam for indefinite period. Some elements are playing with the sentiments of Prime Minister by propagating that the present Wapda chairman was appointed by Pakistan Muslim League-Nawaz, but he is fully involved in the construction of Diamer-Basha Dam and should be facilitated in his endeavours for making the country energy-secure.