Pak: Diamer-Bhasha Dam costs soar to 300 per cent amid financial struggles

Diamer [PoGB], September 14 : The Diamer-Bhasha Dam, in Khyber Pakhtunkhwa and the Diamer district in Pakistan-occupied Gilgit-Baltistan (PoGB) has been mired in controversy since its initiation because the Federal Minister for Planning Ahsan Iqbal highlighted that the cost of the Diamer-Bhasha Dam project has surged by over 300 per cent due to "inefficiencies" of the previous government, Pakistan-based daily, Dawn reported.
Iqbal also pointed out that the financing plan for this crucial project constructed on the Indus River and located on the border between the Kohistan district, remains incomplete, Dawn reported.
Iqbal in a statement on Wednesday claimed, "Funding shortages and delays have caused the project's cost to escalate from PKR 479 billion to PKR 1,400 billion. We are enduring the fallout from the previous government's mismanagement in every sector".
As per Dawn report, the dam is located in a highly seismic zone causing major concerns for residents of PoGB. The locals of the area have been bearing the brunt of its construction, while the benefits after the completion of the project are expected to largely favour the Punjab and Sindh provinces of Pakistan.
Additionally, the dam's construction has negatively impacted citizens, whose views have been ignored by the Pakistan government. As it has failed to compensate these residents for the land acquisitions before the dam project. Initially, promises of providing jobs were also made to citizens, but none have been fulfilled yet.
As per Dawn report, the minister expressed regret that the project's financing plan remains incomplete. He further stated, "Even today, the estimated cost on paper is listed as PKR 480 billion, despite the actual cost having risen to PKR 1,400 billion. The responsibility for this exorbitant increase in the Diamer-Bhasha Dam's construction cost lies with the previous incompetent government".
According to the same news report, the meeting was attended by the Secretary for Planning, the Chairperson of the Water and Power Development Authority (WAPDA), and senior officials from relevant institutions related to the project. Iqbal explained that the cost of this key project began to escalate due to delays and postponements. In December 2020, the previous administration hastily commenced construction without securing the necessary finances for the project, as per Dawn report.