The cost of the Tarbela 5th Extension Project has increased by 282%, rising from Rs. 82 billion to Rs. 316 billion.
The revised estimate adds Rs. 234 billion to the project’s original cost. The increase comes despite concerns about management, oversight and previous structural failures.
ECNEC Approves Revised Tarbela Project Cost
The Executive Committee of the National Economic Council (ECNEC) approved the revised project cost.
Deputy Prime Minister Ishaq Dar chaired the meeting. The committee approved the Tarbela project as part of a package of 16 development schemes.
Together, the approved projects have an estimated cost of Rs. 1.15 trillion.
Inquiry Found Design and Supervision Failures
The Tarbela project has faced several delays and setbacks.
An inquiry examined the collapse of the downstream cofferdam. It found that the failure was linked to a design change, inadequate supervision and delayed administrative action.
The inquiry reportedly did not attribute the collapse to flooding.
These findings raised further questions about the management and oversight of the project.
Government Departments Raised Concerns
Planning Minister Ahsan Iqbal had previously raised concerns about the project’s management, transparency and oversight.
Meanwhile, the Finance Ministry sought an explanation for the 282% increase in the project’s cost.
The ministry also requested details about the repayment mechanism. The project is being financed through international lenders.
However, ECNEC approved the revised cost despite these concerns.
Lahore-Sahiwal-Bahawalnagar Motorway Also Approved
ECNEC also approved the Rs. 407 billion Lahore-Sahiwal-Bahawalnagar Motorway.
The project will retain its original 295-kilometre alignment.
Its first 18.5-kilometre section will run from Lahore Ring Road to Raja Jang Interchange. This section was approved at an estimated cost of Rs. 49 billion.
Other Major Development Projects
Several other infrastructure projects also received approval.
These include the Rs. 116.6 billion Khwazakhela-Besham Expressway. A Rs. 29 billion road project linking Gilgit-Baltistan with Azad Kashmir was also approved.
In addition, ECNEC approved the Rathoa Haryam Bridge at a revised cost of Rs. 10.8 billion. The bridge was originally estimated to cost Rs. 1.4 billion.
Wastewater, Poverty and Education Projects Included
The committee also approved a Rs. 56.6 billion wastewater treatment project in Lahore.
A Rs. 29.7 billion poverty alleviation programme covering 10 districts in southern Punjab also received approval.
Meanwhile, Rs. 10.6 billion was approved for the Fulbright scholarship programme.
Projects Worth Rs. 1.15 Trillion Approved
The 16 development schemes have a combined estimated cost of Rs. 1.15 trillion.
According to the figures, around Rs. 320 billion in additional costs are linked to delays and rising prices.
The Tarbela 5th Extension Project accounts for one of the biggest cost increases. Its final estimated cost has now reached Rs. 316 billion, compared with the original estimate of Rs. 82 billion.
