Gwadar struggles with persistent power and water shortages, delays in CPEC’s key promise

Despite ten years of CPEC progress meetings, strategic city faces ongoing challenges in securing basic infrastructure

ISLAMABAD: A decade after the launch of the China-Pakistan Economic Corridor (CPEC) and following 78 review meetings, it remains clear that Gwadar, the centerpiece of this multibillion-dollar initiative, continues to struggle with a lack of essential infrastructure, particularly clean water and reliable electricity.

The latest CPEC progress review meeting, held on Tuesday, echoed the same concerns voiced in previous meetings: the absence of meaningful progress despite repeated efforts, with new deadlines once again being set. The meeting was chaired by Federal Minister for Planning, Ahsan Iqbal, who expressed dissatisfaction over the ongoing delays in connecting Gwadar to Pakistan’s national electricity grid. He directed both the Quetta Electric Supply Company (QESCO) and the Power Division to submit an updated progress report within five working days.

Two months ago, in the last review meeting, Iqbal had called for a compliance report within one week to ensure that Gwadar and its Free Zone were connected to the national grid. Gwadar currently relies on imported electricity from Iran, a situation that highlights a broader policy failure in electricity distribution. Despite Pakistan’s surplus electricity, the country spends over Rs2.1 trillion on idle capacity charges while struggling to establish effective transmission infrastructure.

At the January meeting, Iqbal had also instructed QESCO and the Power Division to work closely with the Gwadar Port Authority and the Pakistan Navy to quickly provide electricity to Gwadar Port and the South Free Zone. However, many of these issues remain unresolved, and the most recent review showed little progress.

In another alarming development, Iqbal raised concerns over the non-operational desalination plant in Gwadar, stressing the urgent need for a sustainable supply of clean drinking water. He directed that immediate action be taken within the week to address the water crisis.

China has already provided significant assistance, including 10,000 solar panels in May 2024 and an additional 5,000 panels in September, as well as drinking water supply equipment, including 150 filtration plants and 10 tube well solarisation units. However, these materials have yet to be distributed or installed, prompting Iqbal to demand that the Ministry of Food develop a comprehensive distribution plan within three days.

While Pakistan initially envisioned Gwadar Port as a transshipment hub, the failure to provide basic utilities has hampered its development. Although CPEC initially progressed smoothly up until the seventh Joint Cooperation Committee (JCC) meeting, progress has stagnated since 2017, with six more meetings failing to deliver tangible results.

The latest meeting also focused on preparations for the upcoming 14th JCC meeting, scheduled for July 2025, with working group meetings to take place in March and April to ensure readiness. Iqbal emphasized the importance of these preparatory meetings, particularly in areas of safety, security, and science and technology. He also urged Pakistan’s diplomatic mission in Beijing to work closely with Chinese authorities to ensure timely visits by technical and financial experts to resolve ongoing issues, particularly with the Karachi-Hyderabad section of the Main Line-1 (ML-I) project.

Despite these efforts, the underlying challenges of inadequate infrastructure remain a significant obstacle for Gwadar’s transformation into a thriving economic hub.

Monitoring Desk
Monitoring Desk
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