US may link funding for dams with water sector reforms

Funds pledged for projects in flood-hit areas diverted to rehabilitation programmes, Pakistan told.

ISLAMABAD:

The United States expressed its willingness to fund the multibillion-dollar Diamer Bhasha and Kurram Tangi dams, conditional to reforms in the water sector, but made no firm commitments in this regard.

Various proposals to reform the water sector, help reduce losses and improve (in cost) recovery of water in the agriculture sector were discussed in the Pakistan-US water sector dialogue that concluded here on Wednesday.

“We are considering extending funding for dams including Diamer Basha,” sources said quoting US officials, but added that no firm commitments were made to provide loan for the dam.

The Americans, however, offered to provide modern technology for data collection of water inflows and outflows.

Meanwhile, in another setback to disbursement of pledges, US officials informed Pakistani counterparts that funds allocated for different projects in flood-hit areas had been diverted to rehabilitation of flood victims.

Curtail water wastage

US officials pushed Pakistan to curtail water wastage and improve water cost recovery mechanisms to resolve the power crisis in the country.

“US authorities were briefed about the theka abiana, a form of tax collected from farmers on water use for irrigation,” sources said.

The Americans called for enhancing the rate for this type of collection on water, they added. The Asian Development Bank has already asked Pakistan to impose a tax on water to be stored in Diamer Basha dam for irrigation purposes.

Pakistan is fast losing its storage capacity – it has dropped from 15 Million Acre Feet (MAF) to 12 MAF. The country lost 12 MAF in the recent Kharif season.

Seeking technical support

“Pakistan is our valued partner and we would help it come out of crisis,” said US Under Secretary for Global Affairs Maria Otero, who led the US delegation at the talks.

The meeting discussed and reviewed in detail the progress and recommendation on establishment of a national water commission and formation of a national water policy. A detailed presentation was made by the US delegation on their methods of water distribution and procedures for water data collection.

Pakistan wants US’ support in training its officials and implementation of modern technology for water conservation, said Secretary Water and Power Imtiaz Kazi.

There is no concept of water management and conservation and it is imperative to sensitise the public in this regard, he added.

The fifth session of the dialogue will be held in Washington in April 2012.

Published in The Express Tribune, November 3^rd, 2011.