950827

Compromise proposal being evolved

Kazi rules out

privatization of

irrigation system

IKRAMUL HAQ

ISLAMABAD: The irrigation system is not being privatized nor is there any chance of doing so in a very distant future.

This categorical assertion was made by Asif H. Kazi, Specail Secretary, Ministry of Water and Power, when his comments were sought on the press reports that such decision has already been taken by the government at the highest level.

Asif H. Kazi who is also Chief Engineering Advisor explained at length the World Bank's preference for privatization in all sectors for infusing efficiency and minimizing wastes but he also explained the peculiar circumstances of the country not taking this step. "Such a decision could be considered at a very distant future." But in his opinion, there was no chance of doing so.

Asif Kazi explained that in the Third World countries the World Bank insists that subsidy on water sector be gradually aliminated and replaced by some sustainable system under which operation, management and further development of irrigation is self-financed.

He added that in this connection the World Bank has been urging the borrowing countries to create water markets where irrigation water can be sold freely and that water be declared private asset rather a public property, and finally the irrigation network at the lower levels i.e., distributory canals from which outlets supply water to the fields, be privatized through formation of water users associations. These should not only own best manage and distribute water. These associations whould have their own staff, technical as well as non-technical to manage the system.

Commenting on the proposal, Kazi said that it was a very good idea, and is entirely compatible with modern trends all over the world where privatization is being pursued in utilities, like electricity, telephone, gas and supply of water. Since the private sector is profit-oriented, it is more conscious in curtailing costs and also thriving through enhancing efficiency. In these processes, the price of the utility is bound to go up. Such increases are normally acceptable to the consumer who receives better quality of service.

However, in the context of a country like Pakistan where majority of farmers are poor and illiterate, and possess small holdings such an approach in this crucial sector of water may not be advisable in one go.

Asked it such a decision was taken at the top level meeting at the presidency which approved a long-term Rs. 30 billion water development programme, Kazi said that the decisions are yet secret. His understanding is that after due consideration of the World Bank suggestion, a half way option is being persued whereby autonomous bodies would be created at the provincial levels and there would be area water boards for canals. At the lowest tier, the farmers or users associations will be associated in the management of distribution channels. This will be done after various patterns of participatory managements have been tried on a pilot scale. It is only after the results of the pilot projects are available that a decision would be taken based on the most optimum model of farmers' involvement.

Kazi added that among various options, the one more promising and consistent with our environment and the one which meets the wishes of the people would be adopted.

As regards the option of privatization, he said that it is only in a very distant future that the privatization of the irrigations system starting from the outlets (moghas) can come up for consideration. In my opinion there is no chance of privatization of the irrigation system, he concluded.