RAWALPINDI, Feb 15: The Ministry of Defence is unlikely to consider the Punjab government’s request for Rs915 million as its share in the cost of a sewage treatment plant being constructed in Adiala under the Rawalpindi Environment Improvement Project (REIP).

The Punjab government, following an in-depth review of development projects in Rawalpindi by Chief Secretary Javaid Mahmood a week ago, had written to the defence ministry asking it to pay the amount as the capital cost share of the cantonment areas towards the completion of the project.

Informed sources told Dawn that the Ministry of Defence had taken a position on the project and was questioning the provincial government as to why it should pay the huge amount against its share, contrary to the fact that the City District Government Rawalpindi was to pay only five per cent of the cost, as the rest was being covered by the loan sanctioned by the Asian Development Bank.

Though the Punjab government is presently asking for Rs915 million, the share may not be less than Rs1.5 billion as the existing figures had been worked out on the basis of PC-1 that was approved in December 2005. Since that period, the rupee value against the dollar as well as cost of construction and material has risen sharply, thus the value may not be the same as it was in 2005.

Officials of the Military Lands and Cantonments Directorate-General office, Rawalpindi Cantonment Board and Chaklala Cantonment Board were of the view that Rawalpindi as a whole is the part and parcel of Punjab while 90 per cent of the population in the cantonment areas is civilian. “This fact should be taken into account by the Punjab government,” they stressed.

Considering the present financial crisis being faced by the government, it is believed that the Ministry of Defence will certainly refuse to pay the huge share towards the project or may defer the payment indefinitely.In these circumstances, the REIP is expected to run into difficulties, denying residents of Rawalpindi improved sanitation facilities and a better environment.

The defence ministry, which controls cantonment boards, is unable to meet the financial needs of these civic agencies for development of cantonment areas. From the revenue that the cantonment boards generate from different kinds of taxes, no major development work could be carried out except some maintenance work.

A host of civic problems like extremely poor sanitary conditions, dilapidated and narrow roads, poor streetlight system, inadequate water supply and uncountable encroachments, were being faced by residents of cantonment areas in Rawalpindi. On its part, the cantonment boards do have adequate manpower but lacks financial resources to sort out grievances of people.

The enforcement departments of the cantonment boards generate millions of rupees each month by imposing fines on illegal encroachments, but this huge chunk of income allegedly goes into private hands.

For this reason, residents have no confidence in the boards and are reluctant to pay taxes. Only civilian portion of the population in cantonment areas pay taxes while serving or retired servicemen and government officials enjoy the exemption.

Due to financial crisis, the federal government has clamped the payment of Rs700 million to the Rawalpindi Cantonment Board for carrying out the third phase of Khanpur Dam water supply project.Out of this amount, the federal government recently released only Rs2 million for the project. This meager amount has become a laughing stock for the officials of the Rawalpindi Cantonment Board, who are in a dilemma as to what to do with Rs2 million.

Sources said that the Ministry of Defence was sitting on the request of the cantonment board for sanctioning Rs93 million as share of Khanpur Dam water supply project to be paid to the Capital Development Authority. Against non-payment, the CDA has reduced the supply of water to cantonment areas from nine million gallons per day to seven million gallons per day since last month.