Land acquisition issue: Rs 40bn compensation for Diamer Bhasha Dam affectees

[Lahore_Real_Estate]

By Zeeshan Javaid

ISLAMABAD: The issue of land acquisition for controversial Diamer Bhasha Dam has resolved as the federal government would pay Rs 40 billion compensation to affectees of the project, while its construction would be likely to start at end of 2010.

Water and Power Minister Raja Pervez Ashraf, Kashmir Affairs Minister Mian Manzoor Ahmed Watoo and Gilgit-Baltistan Chief Minister Syed Mehdi Shah expressed these views during a joint press conference here on Thursday.

Watoo said the negotiation was on the way to debt financing from World Bank (WB) and Asian Development Bank (ADB) and soon all matters with international financial institutions would be settled down.

He said litigation process with affectees had almost been settled and all stakeholders of 4500 MW Hydel power project had agreed to go ahead with it.

He said 37,000 acres of land had been acquired and according to the agreement 18,896 acres would be used, adding the government would pay compensation against land.

He said the federal government would pay total amount of compensation within three years and no more survey of the site would be conducted because the previous survey would be considered final to get rid of any controversy.

“Committee formed on Diamer Bhasha Dam has decided to offer jobs to locals,” he said. He said Dispute Resolution Committee (DRC) had been formed to resolve the unexpected and minor disputes in the future.

Watoo said by the construction of Dyamir-Basha Dam, life of Terbella Dam would likely increase 40-50 years due to reduction in water pressure. “Water storage capacity of Diamer Bhasha Damis 6.4 million acres feet (MAF) and this dam has a capability to generate 4500 MW Hydel power,” he said. He said request for release of Rs 0.6 billion for development works particularly road maintenance had been moved to Prime Minister Yousuf Raza Gilani.

“It has also been decided to establish a Polytechnic Institute in Chillas. While Water and Power Development Authority (WAPDA) has expressed its interest to upgrade the health facilities in Chillas and Skardu’s district hospitals for the local residences,” he said.

Water and Power Minster Raja Pervez Ashraf said the project with a total cost of $12 billion would start at the end of 2010 and the government had the opportunity to get funds from international financial institutions for this second largest Hydel power project in the country.