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ADR Report on Water for NA Def Cmte_ Aug. 17_ 2011

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ASSOCIATION OF DEFENCE RESIDENTS

(JOINT FEDERATION OF THE RESIDENT ASSOCIATIONS OF DHA, FORMED SEPT. 2007)



MEMBERS: DSRA, DACC , Phase IV Resident Association, Phase VII Resident Association, Phase II Ext. Residents Association, SRS, DSRA/N.E.W., Defence Gardens Central

Association, Defence Housewives Association, Helpline Trust, Country Club/Fl Homes/Galaxy, Phase VIII Residents, Phase V & VI Resident Association.

th

3, Mezzanine Floor, Western Plaza, 10-C/II, 12 Commercial St, Phase II Ext., DHA, Karachi. Tel No. 35880519.





ADR REPORT ON WATER SUPPLY

for National Assembly’s Standing Committee on Defence



August 17, 2011



Presented by

Asad H. Kizilbash

Hon. General Secretary



Mother Lease signed by the DHA with the President of Pakistan in 1975 clearly stipulates

that that it is the sole responsibility of the Lessee/Developer (DHA) to build the

infrastructure & arrange for the provision of required bulk water for the areas being

developed by them. On the behalf of the President of Pakistan, the Lessor, it is the

responsibility of the MEO to see to it that the Developer (DHA) fulfills all such

responsibilities in a satisfactory manner. The maintenance of the infrastructure and the

distribution of bulk water, after the satisfactory development of the area as confirmed by

the MEO, are then transferred to the municipal authority (CBC), as per the Mother

Lease, which is then authorized to collect taxes for the rendering of all the municipal

services to its area’s residents.



In the absence of any other water provider except the KWSB, DHA has been historically

engaged in signing of agreements and negotiating with the KWSB from time to time, as

their developed area & the number of households has been gradually increasing over

time.



Current Requirement



According to very conservative CBC estimates, the minimum requirement of water in the

developed area currently under their jurisdiction, PHASES 1 through 7, is 14 Million

Gallons per DAY (14 MGD). Experts at the KWSB have determined the requirement

at around 18 MGD as per their official’s statement during one of the NA’s Standing

Committee on Defence Hearings recently.



On the other hand, DHA has been in a habit of presenting much lower and unrealistic

figures for the water requirements for the DHA in order to relieve themselves of their

duty as a responsible Developer. They use a UN figure as a standard for per capita

water requirement, which might be more suitable for remote villages in an African

desert, where even basic facilities like flushed toilets & showers are neither available nor

used. On the other hand, they use a figure to calculate the number of residents per

Household more likely to be more applicable in Western cities, not taking in to



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consideration that in Pakistan, it is quite common to have extended families in a

Household, as well as a staff of servants & other helpers in an area like the DHA.



DHA/KWSB Agreements (See Annexures A & B)



Prior to 1999, KWSB had been supplying 4MGD of bulk water to the DHA as per their

Agreement.



After September 1999, as per another Agreement, KWSB agreed to supply an additional

amount of 5MGD, bringing the total amount of bulk water to 9MGD.



In 2006, KWSB agreed to supply an additional amount of 3MGD from their newly

constructed K-III project. That would have made the total supply of water from KWSB

to the DHA at 12MGD.



DHA COGEN Plant



Since 1999, there has been a rapid increase in new construction, adding to the total

number of households in the area. But DHA after failing to even secure the additional

3MGD of water from the KWSB as per their agreement of 2006, decided to find other

sources of water.



DHA arranged for two Cogeneration Plants to fulfill their responsibility to provide sources

of bulk water matching the needs of the existing developed phases, as well as required

for their ongoing projects and development activities in Phase 8.



The First COGEN Plant was completed and subsequently inaugurated by the then

President of Pakistan, Gen Pervaiz Musharraf, on Feb. 15, 2008. The Plant was built to

supposedly supply 3MGD of water for the benefit of DHA residents, besides producing

electricity to be sold to the KESC, at a total cost of USD 1.25 million. As we all know by

now, the DHA COGEN failed to operate satisfactorily from the very first day of its

inauguration, & has been out of order till today.



The planned Second COGEN Plant, after the disappointing results of the First one, has

been shelved. The Second COGEN Plant was expected to start delivering an additional

6MGD of water by 2010-2011.



If all had gone as planned and agreed, KWSB would be providing 12MGD of water and

DHA COGEN Plants an additional 9MGD, bringing the total to 21MGD, meeting the

requirements of the current residents as well as the requirements of gradually increasing

households and other DHA projects of Phase 8 as well.



Current Supply of Water (See Annexure C)



As per the monthly records of CBC, the total water being supplied by the KWSB during

an average month has been varying in the vicinity of 6MGD to 7MGD. There are days



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when it falls down to even 2MGD & 3MGD. It is to be noted that as per the

Agreements, the total amount of water to be supplied by the KWSB is 12 MGD.



We would like you to note that the current requirement of just Phases 1 through 7 is

14MGD, likely to increase further as new construction adds further households in the

area. Phase 8, after development is completed is expected to more than double the

population & the number of households in the DHA, requiring approximately around

28MGD to 30MGD of water in the near future.



DHA has lately, inconsiderately and against all wisdom, drastically increased penalties on

empty plots not only in Phases 1 through 7, but also in sections of Phase 8 as well which

have been declared as ready for construction, in the guise of NON-UTILIZATION FEE

or NUF. NUF penalty far exceeds even the total annual amount of taxes charged by the

CBC on constructed buildings, which includes besides water charges, conservancy, house

tax, and other related charges for various services provided. It is totally an

incomprehensible penalty, as in the absence of bulk water; it is quite irresponsible for

the Developer to force even the hesitant-to- build plot owners to quickly start building

and consequently rapidly multiplying the number of households, and thus adding to the

miseries of all the DHA residents, new and old.



RECOMMENDATIONS OF ADR



1) Order the KWSB to fulfill their obligation to immediately start supplying the agreed

upon quantity of 12MGD of bulk water to the DHA residents on a regular basis.

2) They should be asked to immediately shutdown the hydrant constructed only a few

yards away from the supply point of water to the DHA at Chakra Goth. This

hydrant was officially meant to supply only 250,000 gallons of water per day to

private tankers. Investigations by the CBC & the Station Commander Karachi’s

officials have confirmed that instead of only 250,000 gallons per day, the hydrant

is openly diverting between 4MGD to 5MGD of water to the private tankers from

the supply which was actually meant for the DHA residents. (See Annexure D)

3) DHA must be asked to fulfill their responsibility as the Developer to immediately

arrange other sources of bulk water for their area & MEO needs to be instructed

not to allow further development till such satisfactory arrangements have been

made, as per MEO’s duties specified by the Mother Lease by the President of

Pakistan.

4) DHA must be asked to immediately withdraw their outrageous NUF penalties on

owners of empty plots in all the DHA Phases, in order to decrease the pressure on

already over stretched basic resources like water & electricity.

5) ADR & CBC has recently mutually and unanimously agreed during their joint

meeting, chaired by the CEO CBC and the Member Cantonment Board Clifton, Mr.

Aziz Suharawardy, that following steps will immediately be implemented by the

CEO CBC to alleviate the miseries of its Tax-Paying Residents:

a) All the future building permits for construction in the Developed Phases of

Phase 1 through 7 will only be issued with the following official provision that

CBC will not provide any water connection till the regular supply of bulk water





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to DHA has not reached a minimum of 12 MGD , and till that time CBC will not

charge the Household any water charges as well.

b) All future building permits for construction in Phase 8 will only be issued with

the official provision that CBC will not provide any water connection till the

regular supply of bulk water to DHA has not reached a minimum of 14 MGD,

and till that time CBC will not charge any water charges from that Household

as well.

c) In view of acute shortage of water for the benefit of tax-paying DHA

Residents & Households, CBC will immediately stop supplying or selling water

to all the non-tax-paying DHA institutions and buildings, as well as private

and commercially run DHA Clubs and other businesses. CBC’s first and

foremost duty is to serve its tax-paying residents. It is assumed that all

these institutions & businesses can buy water from commercially available

water tankers, just like even most of the tax-paying Residents are forced to

do on a regular basis.

d) CBC will immediately disconnect water connections and stop supplying water

to all the tax-defaulting DHA residents & Households, till all the past arrears

and all the current tax obligations are satisfactorily fulfilled and paid in full.

e) CBC will allow Tax-Paying residents who are not satisfied with the amount of

water being supplied to them to request and get water supply to their

Household disconnected, and CBC will stop charging for water from all such

disconnected Households immediately thereafter. That would further

decrease the demand for water while keeping the affected resident relatively

satisfied.

f) CBC will immediately stop supply of water to all commercial institutions in the

area, including hotels, restaurants, etc. These commercial institutions can

well afford to purchase water from commercial operators already doing brisk

business in the area.

6) The Standing Committee may request the DHA to immediately provide it with a

copy of its 1975 Master Lease to all its Members. In light of the provisions

prescribed in the Master Lease, a thorough investigation needs to be carried out

by the Committee to determine whether the Developer (DHA) has fulfilled all its

duties as per the specifications in the Mother Lease, and whether MEO has

diligently fulfilled its duties as outlined in the Mother Lease and as entrusted by

the President of Pakistan.



For further details, please contact Mr. Asad H. Kizilbash, Hon.

General Secretary ADR.









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