A meeting of central development working party (CDWP) was held under the chairmanship of the Minister of Planning and Special Initiatives Ahsan Iqbal in the capital city of Pakistan. During the meeting, Mr. Ahsan Iqbal vividly directed the Water and Power Development Authority (WAPDA) to rationalize the cost of 800 MW Mohmand Dam Hydropower Project which is currently under construction.
The project mainly consists of construction of a total of 135 km, two 220kv DC transmission lines made from a 70 km line from Mohmand to Nowshera and a 65 km line to proposed Jamrud substation and two line bays to be installed at 220-kV Nowshera Industrial and Jamrud substations. The per km cost of the proposed transmission lines of the project are on higher side as compared to similar nature projects being executed in the past by NTDC.
The Project Director, Monitoring and Evaluation observed and stated that the funds provided under the heads of RoW, Engineering & Consultancy, Administration and supervision and contingencies need cost rationalization. NTDC, while replying to the queries, stated that the cost of RoW of the project has been allocated on the basis of similar transmission line projects in the area although, further expenditure will be made according to the requirements of the time.
Ministry of Planning and Special Initiatives observed that the consultancy cost and contingencies that were already at 2 percent should be at a bare minimum of one percent and the costs of Engineering and Consultancy may also be reduced to 50 percent. Further requirement of vehicles should be curtailed to 50% and he also directed NTDC to obtain a certificate from WAPDA regarding the timelines for the completion of Mohmand HPP. Total cost of the project is Rs 13.822 billion, with a FEC of Rs 5.967 billion.