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Sindh cabinet okays Rs4bn compensation package for rain-affected people


December 10, 2020

The Sindh cabinet has approved a Rs4.021 billion compensation package for people affected by the heavy monsoon rains earlier this year, and requested the federal government to match the grant/compensation so that the affected people could be rehabilitated in letter and spirit.

The cabinet also decided to exempt the affected small traders and growers from federal and provincial taxes to compensate them for the losses they had suffered due to heavy downpour in 2020. The meeting was attended by all ministers and advisers, Chief Secretary Syed Mumtaz Ali Shah and other officers.

The board of Revenue on the directives of the cabinet had conducted a survey of the people affected by the monsoon rains this year. The survey revealed that the heavy rains claimed 149 lives, left 103 people injured, destroyed 7,120 pacca and 75,195 katcha houses, and partially damaged 9,102 pacca and 171,463 katcha houses. Also, 8,165 cows, buffaloes, horses and camels and 11,630 goats, sheep and donkeys perished.

The cabinet was told that under the law, compensation for a person who dies in natural calamity has been fixed at Rs100,000 for bread-earners, Rs50,000 for non-bread-earner. The cabinet said that the amount was meagre; therefore, Rs100,000 for every person who died due to heavy rains, including both bread-winner and non-bread-earner, may be given. It approved the proposal.

The cabinet approved Rs25,000 in compensation each of injured, Rs25,000 for partially and completely damaged pacca houses, Rs10,000 for completely and partially damaged katcha houses, Rs10,000 for each of large cattle heads (cow/buffalo/horse/camel) and Rs5,000 for each of small cattle heads such as goat, sheep and donkeys perished.

The total amount of the compensation to be given to the affected people would come to Rs4.021 billion, which the cabinet felt was insufficient for the rehabilitation of the poor people. Therefore, the cabinet requested the chief minister to write a letter to the prime minister and request him to match the compensation amount of Sindh so that every affected person could get double the amount to get himself/herself rehabilitated.

The cabinet also approved provision of relief to small traders and growers who suffered losses due to heavy rains by giving them exemption from the federal as well as provincial taxes. The provincial government would request the federal government to give exemption from its taxes to the rain-affected small traders.

Stamp duty

The cabinet on the request of the Pak-Oman Investment Company Ltd approved exemption of stamp duty amounting to Rs53.8 million on transfers of their shares.

It observed that when the agreement between Pak-Oman Investment Company was signed by the federal and the Oman government, the provincial government was not taken into confidence on the clauses of the agreement/exemptions. The cabinet honouring the federal government’s agreement with the Oman government approved the exemption form the stamp duty of Rs53.8 million on transfers of their shares, but simultaneously requested the federal government to reimburse the amount, Rs53.8 million, to the Sindh government.

KCR project

The Transport & Mass Transit Department told the cabinet that out of 24 crossing sites of the Karachi Circular Railway track, 11 crossings have to be constructed either in the shape of underpasses or flyovers for smooth flow of traffic.

The detailed design and preparation of PC-1 for the proposed structures has to be made by the Frontier Works Organisation for which the Sindh government had to release Rs25 million. The government has already released Rs15 million and the cabinet approved the release of the remaining Rs10 million.

The cabinet observed that with the start of the old KCR the modern KCR as approved and included in CPEC projects could not be launched. Therefore, it was proposed that the present KCR be stopped and work on a modern one (KCR) be started by urging the federal government to finalise the financial mechanism with the Chinese authorities to start the project, otherwise it would be an injustice with the people of Karachi to travel in the old KCR.

Safe City Project

The home department told the cabinet that under the Safe City Project the technical process for the installation of 10,000 CCTV cameras have been completed and now the installation work had to be carried out.

The cabinet, after thorough discussion, allowed the home department to sign an MOU with the NRTC (National Radio Telecommunication Corporation) for the installation of 10,000 cameras in Karachi. The home department said that the project inception report, the technical viability assessment report, the bidding document, PC-I, the survey report and a control room survey had also been shared with the NRTC so that before signing the MOU necessary documents and reports could be finalised.

Magisterial powers

The cabinet on a proposal from the home department granted special magistracy powers to the revenue officers. The powers include criminal procedure code, motor vehicle ordinance, Ehtram-e-Ramzan Ordinance 1981, price control, prevention of profiteering, control of loudspeakers, gambling ordinance, animal slaughters control act, prohibition of smoking and manufacture and use of polythene bags. The cabinet directed the department to coordinate with the Sindh High Court for its consent.


The cabinet approved the appointment of Justice (retd) Shahnawaz Tariq as provincial ombudsman for protection against harassment of women at workplace for a tenure of two years.

Time scale

The cabinet was told that some college teachers were demanding promotions on the basis of time scale. The cabinet directed the education minister to review the request keeping in view the seniority of teachers, the cumulative financial impact and other related factors and to submit a report.

Tax exemption

The energy department presented a request to the cabinet, saying that the federal government had already granted exemption from its taxes on the construction of coal-mining development and coal-based electricity generation in the Thar coal field. The Sindh government had also given such exemption which expired in June 2020. The cabinet, keeping in view energy sector development projects in Thar, granted exemption from the Sindh Sales Tax for another five years up to June 2025.

Pistols procurement

The cabinet was told that the IGP intended to procure 700 9mm (8-6) pistols from M/s Wah Industries for which solicited exemption from operation of SPPRA (Sindh Public Procurement Regulatory Authority) rules was requested. The cabinet approved the exemption and release of Rs630 million.

CNG buses

The cabinet was told that the KMC had 66 CNG buses but almost all were off the road. The local government department requested the cabinet to approve relaxation of rules for the auction of rights for operation, complete management and fare collection of dedicated 66 CNG buses. These buses would operate on the route from Gulshan-e-Hadeed to Keamari via Sharea Faisal nd other routes for public transport service in the city.

The cabinet relaxed the rules and allowed the local government to auction the operation rights for five years.

Falconry ground

The forest department told the cabinet that a member of the ruling family of Qatar has applied for the allotment of a non-cultivated belt in Tehsil Jati, District Sujawal, for falconry season 2020-21 with assurance of abiding by rules. The cabinet was told that the compulsory hunting fee was $100,000 which has been increased by $5,000. The cabinet approved the request.


The Sindh Katchi Abadis Authority (SKAA) presented a budget of Rs369 million for the year 2020-21 which the cabinet approved and directed the authority to release salaries of the employees immediately. The chief minister directed the chief secretary to convene the next cabinet meeting on December 24 in which different committees would present their reports.