ISLAMABAD - The PC-I cost of Diamer-Bhasha Dam is likely to increase by Rs31 billion and so far Rs 72.2 billion has been released to the project.

The federal government has released Rs72.7 billion for Diamer-Bhasha Dam out of the total allocation of Rs101 billion, the official of the Water and Power Division said while briefing the Senate Standing Committee on Planning, Development and Reform which met here with Agha Shahzaib Khan Durrani in the chair.

The meeting was held to consider and finalize recommendations of the members on the Public Sector Development Programme (PSDP) 2018-19.

While briefing the committee regarding the allocation of Rs 101 billion for the land purchase and related matters, it was informed that the cost of land purchase for Diamer-Bhasha Dam is around Rs50 billion while the cost for rehabilitation of affected people is Rs51 billion.

The cost of the reservoir portion of the dam is expected that the cost will increase by Rs31 billion, the officials said.

Out of Rs 101 billion allocation, the federal government has released Rs72.7 billion for Diamer-Bhasha Dam, the official informed and added that so far about 85 percent land for the project has been purchased. Total cost of the dam is estimated to be Rs1,450 billion, of which Rs650 billion will be spent on the reservoir construction, the officials informed.

The parliamentary panel was further informed that the prime minister has constituted a committee for resolution of dispute between Gilgit-Baltistan and KP.

The committee was also briefed about the progress on Dasu Dam and it was informed that 1,500 acres of land is required for the project.

The World Bank has agreed to finance the land purchasing for Dasu Dam, which falls in Khyber Pakhtunkhwa province and the Net Hydle Profit (NHP) of the dam will go to the province.

The committee recommended for early release of funds against the ongoing development funds in Balochistan province.

The panel recommended for conducting scientific survey for natural resources in Balochistan province and for early release of funds to complete the survey timely.

The committee also recommended for establishing the Institute of Technology in Karak. The committee further recommended for increase in the budget allocation for Aviation Division.