Deficit budget: WASA faces Rs289 million revenue shortfall
The agency will get Rs450m more for ADP this year .
RAWALPINDI:
The Water and Sanitation Agency (Wasa) has failed to meet its revenue target facing huge budgetary deficit that has almost doubled, according to the financial balance for the year 2014-15.
The agency’s estimated revenue for the fiscal year 2014-2015 has been estimated at Rs1.6 billion and the expenditure at Rs2.2 billion as compared to last year’s revenue of Rs1.1 billion.
Wasa spokesperson Muhammad Umar Farooq told The Express Tribune that the budget for the year 2014-15 will be approved by the governing body this month.
He said that the agency’s total income stood at Rs1.6 billion, whereas the expenditure was estimated at Rs2.2 billion. In comparison, the total income in 2013-14 was Rs1.1 billion and expenditure was Rs1.5 billion.
The official mentioned that the deficit for the year 2014-2015 increased to Rs623 million, while it was
Rs334 million in 2013-14, recording an increase of Rs289 million.
Farooq said that the agency would generate Rs230 million from consumers as water and sewerage charges, Rs116 million from bulk water sales in the city, Rs10 million from new water connections, Rs200 million from urban immoveable property tax share and Rs25 million from other sources. The income in the year 2013-14 was Rs221 million, Rs116 million, Rs9 million, Rs160 million and Rs30 million respectively, he added.
Farooq said that the Punjab government would also provide Rs240 million in the form of soft loans for Punjab Cities Governance Improvement Programmes (PCGIP) and Rs595 million for Annual Development Programmes (ADP) in various parts of the city.
Wasa will be getting Rs450 million more compared to the allocated amount of Rs145 million for ADP in the last budget. Similarly, it received Rs199 million in the form of soft loans in 2013-2014.
Farooq said that the agency will have to spend approximately Rs488 million on electricity bills, Rs355 million on water supply and sewerage, Rs375.7 million on the salaries of the staff and Rs32 million for contingent expenditure.
Meanwhile, the expenditure for the year 2013-14 was Rs425 million, Rs251 million, Rs271 million and Rs25 million respectively. The Wasa will have to pay Rs114 million to the Capital Development Authority (CDA) for water treatment and supply from Khanpur Dam, while the amount was Rs68 million last year.
In addition to that, the agency will spend Rs695 million on different development schemes, he said. Farooq said that almost Rs20 million had been set aside for the rehabilitation of ineffective and abandoned tube-wells with pumping machinery and allied work and Rs30 million for the dredging and desilting of Leh Nullah for the year 2014-15.
The Wasa Managing Director, Raja Shoukat Mehmood told The Express Tribune that the agency had also planned to start some new development projects for this year.
He added that allocation had been made for those projects in the proposed budget. Mehmood said that almost Rs200 million had been earmarked for comprehensive water supply schemes for Rawalpindi District, Rs200 million for the upgradation of Rawal Lake filtration plant, Rs20 million for feasibility study and detailed design for augmentation of water supply from Chehan Dam.
He said Rs100 million had been earmarked for laying of trunk, secondary and lateral sewer in union councils 30, 31, 42, 43, 44 and 45 in Rawalpindi and Rs25 million for comprehensive master planning for water supply, sewerage and drainage.
Mehmood said that it was a deficit budget because the Punjab government had stopped the agency from increasing water and sanitation charges. He claimed that Wasa water charges were less as compared to other civic bodies like CDA.
Mehmood said that the provision of subsidy by the provincial government was aimed at giving relief to common man.
Giving details about the newly initiated schemes, he said that the agency was given extra responsibilities by the provincial government this year.
Mehmood said that the agency had recently started development schemes in PP-6, Rawalpindi.
He said that the government handed over the development affairs of the area to the residents to include all stakeholders in the decision-making process.
Mehmood said that some influential people started misusing the authority and embezzled government funds. He said that the government was forced to hand over the responsibilities to Wasa.
He said that the agency had sent all the relevant data regarding irregularities to the government. The government has decided to allocate Rs500 million for the development projects in the area for the year based on the assessment data sent by the agency.
Published in The Express Tribune, July 5th, 2014.
The Water and Sanitation Agency (Wasa) has failed to meet its revenue target facing huge budgetary deficit that has almost doubled, according to the financial balance for the year 2014-15.
The agency’s estimated revenue for the fiscal year 2014-2015 has been estimated at Rs1.6 billion and the expenditure at Rs2.2 billion as compared to last year’s revenue of Rs1.1 billion.
Wasa spokesperson Muhammad Umar Farooq told The Express Tribune that the budget for the year 2014-15 will be approved by the governing body this month.
He said that the agency’s total income stood at Rs1.6 billion, whereas the expenditure was estimated at Rs2.2 billion. In comparison, the total income in 2013-14 was Rs1.1 billion and expenditure was Rs1.5 billion.
The official mentioned that the deficit for the year 2014-2015 increased to Rs623 million, while it was
Rs334 million in 2013-14, recording an increase of Rs289 million.
Farooq said that the agency would generate Rs230 million from consumers as water and sewerage charges, Rs116 million from bulk water sales in the city, Rs10 million from new water connections, Rs200 million from urban immoveable property tax share and Rs25 million from other sources. The income in the year 2013-14 was Rs221 million, Rs116 million, Rs9 million, Rs160 million and Rs30 million respectively, he added.
Farooq said that the Punjab government would also provide Rs240 million in the form of soft loans for Punjab Cities Governance Improvement Programmes (PCGIP) and Rs595 million for Annual Development Programmes (ADP) in various parts of the city.
Wasa will be getting Rs450 million more compared to the allocated amount of Rs145 million for ADP in the last budget. Similarly, it received Rs199 million in the form of soft loans in 2013-2014.
Farooq said that the agency will have to spend approximately Rs488 million on electricity bills, Rs355 million on water supply and sewerage, Rs375.7 million on the salaries of the staff and Rs32 million for contingent expenditure.
Meanwhile, the expenditure for the year 2013-14 was Rs425 million, Rs251 million, Rs271 million and Rs25 million respectively. The Wasa will have to pay Rs114 million to the Capital Development Authority (CDA) for water treatment and supply from Khanpur Dam, while the amount was Rs68 million last year.
In addition to that, the agency will spend Rs695 million on different development schemes, he said. Farooq said that almost Rs20 million had been set aside for the rehabilitation of ineffective and abandoned tube-wells with pumping machinery and allied work and Rs30 million for the dredging and desilting of Leh Nullah for the year 2014-15.
The Wasa Managing Director, Raja Shoukat Mehmood told The Express Tribune that the agency had also planned to start some new development projects for this year.
He added that allocation had been made for those projects in the proposed budget. Mehmood said that almost Rs200 million had been earmarked for comprehensive water supply schemes for Rawalpindi District, Rs200 million for the upgradation of Rawal Lake filtration plant, Rs20 million for feasibility study and detailed design for augmentation of water supply from Chehan Dam.
He said Rs100 million had been earmarked for laying of trunk, secondary and lateral sewer in union councils 30, 31, 42, 43, 44 and 45 in Rawalpindi and Rs25 million for comprehensive master planning for water supply, sewerage and drainage.
Mehmood said that it was a deficit budget because the Punjab government had stopped the agency from increasing water and sanitation charges. He claimed that Wasa water charges were less as compared to other civic bodies like CDA.
Mehmood said that the provision of subsidy by the provincial government was aimed at giving relief to common man.
Giving details about the newly initiated schemes, he said that the agency was given extra responsibilities by the provincial government this year.
Mehmood said that the agency had recently started development schemes in PP-6, Rawalpindi.
He said that the government handed over the development affairs of the area to the residents to include all stakeholders in the decision-making process.
Mehmood said that some influential people started misusing the authority and embezzled government funds. He said that the government was forced to hand over the responsibilities to Wasa.
He said that the agency had sent all the relevant data regarding irregularities to the government. The government has decided to allocate Rs500 million for the development projects in the area for the year based on the assessment data sent by the agency.
Published in The Express Tribune, July 5th, 2014.