Delay doubled the cost of Lakhra

ISLAMABAD: Ministry of water and power Wednesday admitted before the sub-committee of the Public Accounts Committee that delay in starting the Lakhra Power project has more than doubled its cost.
The project, which was to be launched in 1987, had its initial cost of completion to be Rs2.65 billion but due to delay of 120 months its cost has increased to Rs5.73 billion.The sub-committee meeting, chaired by its convener Shahida Akhtar Ali, discussed the audit paras relating to the ministry of water and power and ministry of railways for the financial year of 1998-99.
The audit officials told the committee that despite fixing of the responsibility for the delay in the project, so far no action was taken against the those responsible for this delay.Secretary ministry of water of power told the committee that there was nothing in black and white in the record about who is responsible for the delay but the committee could order an inquiry into it.
The audit officials told the committee that the third unit of Lakhra Power project was accepted without trial, which caused a loss of approximately Rs2 billion.On this Secretary Ministry of Water of Power said: “The Lakhra Power project was giving zero production as all its three unit could not run simultaneously and it would not be viable to make further investment in it,” he told the committee.
The committee directed the ministry of water and power to submit a report on the project within two weeks.While examining the audit paras relating to ministry of railways, the audit officials told the committee that the Pakistan Railways failed to take action against those who were accused of theft of Rs5.2 million.
Secretary ministry of railways Ms Perveen Agha told the committee that the inquiry board has been formed and once the inquiry report submits its report action would be taken against the culprits. She told the committee that Pakistan Railways has recovered Railway land worth Rs10 billion from the land mafia.