ISLAMABAD: Prime Minister Yousuf Raza Gilani has set up a new agency — Pakistan Transborder Water Organisation (PTWO) — to look into construction of dams and water sector projects by upper riparian countries, India and Afghanistan, and coordinate steps to protect Pakistan’s water rights on rivers flowing from the neighbouring countries.To the surprise of Water and Power Ministry, which had not made such a proposal nor was it consulted by the Prime Minister’s secretariat, a formal notification has been issued to set up the PTWO under the leadership of Prime Minister’s Special Assistant on Agriculture and Water Resources Kemal Majidullah.

According to the notification, the office of Pakistan’s Indus Waters Commissioner (PCIW) will report directly to Mr Majidullah and apprise him of any move by the upper riparians to develop water storage or hydroelectric projects that may affect Pakistan’s water rights. Working as an attached agency to the water and power ministry, the PTWO will coordinate Pakistan’s reaction and policy initiatives with relevant institutions, including the ministries of foreign affairs, law and environment, and the chief engineer of the Pakistan army, informed sources told Dawn on Monday.

In reply to a question about proposed power tariff increase, he said a plan for a 12 per cent increase in power rates during the current financial year had been formulated, but no decision had yet been taken.

He said Pakistan had requested US officials to finance the 4500MW Diamer-Basha dam, adding that they had promised to take up the matter with the US Congress.

Officials said the need for establishment of Pakistan Transborder Water Organisation (PTWO) was felt amid growing anxiety being expressed by relevant agencies and water experts over increasing Indian desire to construct more than two dozen medium-to-large water sector projects on western rivers — Indus, Jhelum and Chenab — mostly in occupied Kashmir and recent reports of Indian help to Afghanistan to develop dams on the tributaries and main river Kabul.

Pakistan lost its case to India a few years ago on the controversial Baglihar Hydropower Project on the river Chenab as Islamabad made a belated move to contest it before the World Bank-appointed neutral expert after New Delhi had made significant progress.  Another Indian project on the river Neelum-Kishenganga Hydropower project – is currently before the International Court of Arbitration.