Musharraf govt awarded Nandipur but not being probed

ISLAMABAD: Though Nandipur Power Project has emerged as a mega scandal involving previous government of Pakistan People’s Party and the current PML-N government, and National Accountability Bureau has also completed its probe as far as the PPP government was concerned but there is no mention of the Pervez Musharraf’s government which initially awarded this controversial project without inviting open bidding.
Documents available with The News reveal that 425-525 MW Combined Cycle Power Plant Nandipur (Project) was initially awarded on January 9, 2008, and agreement was signed on January 28, 2008, at a time when caretaker set-up was there as the country was heading for 2008 election.
In 2013, when the Ministry of Water and Power requested the Transparency International to review PC-1 of Nandipur Project, the Transparency International Pakistan’s report on resumption of 425-525 MW combined cycle power plant mentions that for installation of 450-500 MW combined cycle power plant at Nandipur a PC-1 with a cost of Rs18.900 billion was prepared by Pepco and further processed by Planning Commission for arranging its approval of the competent forum.
“CDWP, in its meeting, held on 24-10-2005, cleared it and recommended for approval by the Executive Committee of the National Economic Council (Ecnec).
The Ecnec accorded anticipatory approval on 20.08.2007 for the project with the permission to incur an expenditure of Rs4,622 million during the financial year 2007-08 with the condition that the sponsoring ministry would submit updated/ revised PC-I for approval of CDWP/ Ecnec at the earliest.
The Central Development Working Party (CDWP) reconsidered the PC-1 and recommended for approval of the Ecnec in its meeting held on 26-11-2007. Finally Ecnec accorded approval to the PC-1 with total cost of Rs22.334 billion (FEC ($232 million) Rs14.198 billion + LCC Rs8.136 billion) in its meeting dated 06.02.2008.
The Economic Coordination Committee (ECC) approved EPC contract (engineering, procurement and construction contract) in Case No ECC-197/16/2007 dated 27-12-2007 at an agreed cost of $329 million with M/S Dongfeng Electric Corporation China. In pursuance of this decision, contract was awarded to M/S DEC on January 09, 2008 and the contract Agreement was signed on January 28, 2008.
The contractor mobilised and started work at site on 16.10.2008 with scheduled completion on 16-4-2011.
All the funding needs except 85 percent of the EPC contract cost were to be borne by the employer through PSDP or own resources whereas 85 percent of EPC contract cost was to be funded through the ECA (export credit agency) financing. The approved EPC contract cost was US$329 million…”
Adviser to Transparency International Adil Gilani, when contacted, said that Nandipur project was awarded by Musharraf government without open tendering and contracts were signed during the caretaker set-up in 2008 when everyone was busy in elections. He said that a wrong done by dictator has now become a monster as it is one of the major scams of PPP’s government and the incumbent government is also feeling the heat of unsolicited contract awarded by Musharraf.
Reportedly, NAB too has almost completed its inquiry into Nandipur power project controversies of PPP’s tenure and has found the ministries of Water and Power, and Law and Justice responsible for delaying the project which has cost billions to the public kitty. However, investigation of Musharraf’s era regarding Nandipur project is yet to be done.