Islamabad- The Senate Standing Committee on Economic Affairs met under the chairmanship of Senator Saifullah Abro to review matters related to ongoing development projects, financial compliance, and transparency in foreign-funded initiatives.
The Secretary, Irrigation Department, Government of Sindh along with Project Director of the Sindh Water and Agriculture Transformation (SWAT) briefed the Committee on the improvement and rehabilitation of the Akram Wah Canal (SWAT Project) under the World Bank, including the prequalification process of consultants and contractors, complete tendering process, bidding data sheet, latest progress, and the implementation status of the Committee’s previous recommendations on the said project.
While briefing the Committee on the latest progress of the project, the Project Director stated that discussions are underway with the World Bank regarding the prequalification of contractors. He added that department remained committed to responding to the World Bank in a timely manner and are currently awaiting its response.
The Committee was informed that the World Bank has its own transparency mechanisms for project implementation and that the project is currently at the prequalification stage. The authorities also shared the scope of work for the consultant. However, when the Committee sought details of the consultant’s hiring process, including the list of technically qualified and disqualified firms for the project, the department was unable to provide satisfactory information. The department assured the Committee that required details will be submitted before the next meeting.
The Chairman Committee observed that Pakistan is already burdened with heavy loans and that such loans will ultimately be repaid by the entire nation; therefore, all such contracts must be fully transparent. He directed that all relevant documents, along with complete details, be uploaded on the official SWAT website to ensure transparency and facilitate public review. The Chairman Committee further observed that failure of the consultancy firm to review the project design even after 20 months raises serious questions about its performance and eligibility for the project.
In response to a query raised by Senator Syed Waqar Mehdi regarding the project review mechanism of the Economic Affairs Division, the Secretary, EAD, briefed the Committee in detail on the monitoring process for foreign funded projects. He explained that Ministry is responsible for overseeing the projects and ensuring that funds are utilized transparently and strictly for their intended purposes. The Member observed that disbursement of loans should also be carefully overseen by the EAD, particularly in light of the country’s significant fiscal constraints. He expressed concern that loans are not always utilized properly or in a transparent manner by the concerned departments.
The Committee also discussed on all ongoing and incoming projects undertaken by the Provincial Government of Khyber Pakhtunkhwa in collaboration with multilateral, bilateral partners and UN agencies including their proposals, tendering process and up-to-date progress. The Secretary, Planning and Development Department, Government of Khyber Pakhtunkhwa, briefed the Committee that there are a total of 52 schemes with an estimated cost of Rs. 1,072.3 billion. Out of these, 23 projects are funded by the World Bank and the Asian Development Bank, mainly focusing on education, MSD, agriculture, roads, tourism, health, finance and energy sectors.
The Chairman Committee also inquired about the ongoing and upcoming road sector projects in Khyber Pakhtunkhwa. He stressed that prequalification and tendering processes must be conducted in a fully transparent manner, especially as his office has received complaints regarding alleged irregularities in the tendering process. He called for strict action against those found responsible and directed that the Committee’s earlier recommendations on the matter be implemented without delay. He further directed the department to submit a one-page brief on all on-going projects to the Committee.
The Chairman Committee expressed serious concern over the delay in the recovery of the embezzled amount of Rs. 5 billion in the Sindh Solar Energy Project. The Committee recalled that the Secretary, Government of Sindh, had previously acknowledged during a meeting that significant misappropriations and irregularities had been identified in the project. The Chairman Commitee directed the EAD to take up the matter on an urgent basis and make every possible effort to recover the amount and ensure its deposit into the national exchequer. The EAD assured the Committee that the matter will be taken up with the Government of Sindh and that appropriate action will be initiated against the officials found involved.
The meeting was attended by Senators Syed Waqar Mehdi, Haji Hidayatullah Khan, Rana Mahmood-ul-Hassan, Kamran Murtaza and Rubina Khalid.