LAHORE: The possible delay in completion of the 1,410MW Tarbela (4th Extension) Hydropower Project due to various reasons will considerably reduce the benefits estimated by the World Bank and the Water and Power Development Authority.

Under an ‘accelerated plan’, Prime Minister Nawaz Sharif had desired to accomplish the project about eight months before the actual deadline of March, 2018.

Funded by the World Bank, the completion schedule of the project (worth $928 million as per PC-I) had been squeezed to July, 2017.

However, keeping in view various reasons, including high water flows and Irsa’s constraints vis-à-vis releases of water from the dam and the accident at site on July 2, which resulted in death of two Chinese and as many Pakistani workers, Wapda is considering revising the construction schedule.

According to officials, the situation was also discussed in a meeting presided over by Wapda Chairman Zafar Mahmood.

The meeting was told that the first generation unit (470MW) is expected to be completed in August 2017 while there is no possibility of completing the remaining two (each 470MW) in the same month or year. However, the remaining two units will come online in February and March 2018.

In the light of the accelerated plan, officials say earlier the WB and Wapda had separately analysed cost and economic benefits. The bank had estimated additional economic benefits up to $750 million while Wapda came up with $300m figure. And the contractor had demanded an additional amount of $51m for completing the project in July 2017.

When the project cannot meet the deadline, the estimated benefits will surely reduce, they say.

“Therefore, it is important to include fresh cost-benefit analysis in the revised construction schedule so that a final decision could be taken,” Wapda Chairman Zafar Mahmood said while presiding over the meeting held to review the pace of work on the project.

It was also decided in the meeting that the revised schedule be submitted to the authority by Thursday (Aug 25) so that it could decide either the accelerated time frame be allowed to continue or the original construction plan is to be followed.

The chairman warned that if the contractor failed to submit a justifiable schedule, the accelerated plan will have to be aborted in accordance with the contractual clauses, and $25.5m paid to the contractor till February 2016, would also be recovered.

Published in Dawn, August 22nd, 2016