KARACHI: The Sindh government on Monday ordered a wide-ranging investigation into the World Bank–funded Sindh Solar Energy Project (SSEP) after senior officials reported major financial and procedural irregularities, including forged import paperwork, unauthorised contract alterations and payments made for incomplete or unverified work.
Briefing the provincial cabinet, officials said several key components of the project — including solar parks, rooftop systems and large-scale installations — remained largely unimplemented despite near-full utilisation of funds. Equipment listed as imported never reached Pakistan, while NGOs were hired for distribution activities without competitive bidding. Payments, they noted, were issued against “unclear or undocumented outputs”.
Chief Minister Syed Murad Ali Shah directed comprehensive financial and technical audits, recovery actions and accountability measures against all firms and officials linked to the project. The cabinet also approved the blacklisting of the main contractor identified in the inquiry.
The SSEP, due to close in July 2025, was designed to expand renewable energy access across the province. Officials said the Solar Home System programme — aimed at distributing 250,000 free solar kits — continued to show gaps in beneficiary verification, monitoring and system quality, prompting concerns about data reliability.
The chief minister said the government “will not tolerate misuse of public resources” and instructed the Energy Department to tighten oversight of ongoing and future renewable-energy projects. Audit teams will submit further reports in the coming weeks.
The cabinet released Rs6.61 billion for the Thar Coalfield–Chhor railway line after the project cost rose from Rs53 billion to over Rs90 billion. The federal government has already disbursed Rs18.7 billion and asked Sindh to release its share to avoid delays.
A new water rate for DHA was approved, reducing the tariff under the Dumlottee–DHA pipeline project from Rs0.75 to Rs0.60 per gallon following negotiations between KWSC and DHA.
The cabinet gave in-principle approval for a province-wide digital land record system featuring blockchain-based databases, online transfers, and SIM-enabled digital property cards. Sukkur IBA University will build the software, while a new Sindh Land Records Authority will oversee the rollout.
Sindh approved a request to the Ministry of Interior for a one-year extension of Pakistan Rangers (Sindh) deployment in Karachi under the Anti-Terrorism Act.
Sindh Modaraba will receive Rs2 billion in equity over FY26–FY27 to strengthen its Islamic financing portfolio. The institution has maintained strong credit ratings and an NPL ratio of 1.26%.
The cabinet ratified loan and grant agreements for the $200 million Sindh Coastal Resilience Sector Project, backed by ADB and the Green Climate Fund. The programme includes integrated water management, flood-resilience work and large-scale mangrove plantation, with completion targeted for December 2031.
