Sindh barrages project faces $72m financial gap

Updated 18 Dec, 2023

ISLAMABAD: The “Sindh Barrages Improvement Project” of worth $326.6 million is facing financing gap of about $72 million and will require either government of Sindh counterpart funding or additional IDA funding to meet contractual obligations in the medium-term. Official documents of the World Bank revealed that due to accumulated delays, completing the works at Guddu and Sukkur will require more time beyond the current project closing date of June 30, 2024.

The project was approved in 2015 with development objectives to improve the reliability and safety of the Guddu barrage and strengthen the Sindh Irrigation Department’s capacity to operate and manage the barrage. The original closing date was 22 December 2020, which was later revised to June 30, 2024.

The bank has rated the progress towards achievement of project development objective and overall implementation progress as moderately satisfactory.

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The project has made substantial progress. Works at Guddu are progressing and have reached 48 per cent physical progress for the barrage and substantial completion for the river training works. Remaining river training works at Right TJ Spur are yet to be launched.

The rehabilitation of Sukkur barrage started in February 2023 and shows a steady progress and currently at 4.5 per cent physical progress. Moreover, the project has a financing gap of about $72 million and will require either the GoS counterpart funding or additional IDA funding to meet contractual obligations in the medium-term.

The Government of Sindh has processed a Planning Commission form 1 (PC-1) amalgamating the previous two separate PC-1, one for Guddu and one for Sukkur, and reflecting the new financing requirement and extended timeframe.

On the institutional side, the Government of Sindh has established a Barrage Management Unit (BMU) headed by a chief engineer to oversee the operation and maintenance of the three barrages in Sindh (Guddu, Sukkur, and Kotri). The capacity of BMU will be strengthened under the project’s component B supporting Improved Barrage Operation, the bank noted.

Documents noted that six gate leaves have been replaced but their hoisting systems have not been replaced yet. Both gate and hoisting system to be replaced to count for additional flood passage capacity.

Copyright Business Recorder, 2023

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