What the HM-1 contract covers

The Water and Power Development Authority, known as WAPDA, has awarded a major hydro-mechanical contract for the Diamer-Bhasha Dam project to a Chinese-led joint venture, according to a WAPDA spokesperson quoted in the reports. The HM-1 contract is worth Rs133.18 billion and covers the manufacturing, supply and installation of equipment essential for controlling water flow through the dam.

The contract was awarded to a joint venture between PowerChina and ICAN, also spelled IKAN in some reports. The agreement was signed by Diamer-Bhasha Dam Project Director Arif Ali and the joint venture's representative, Ling Jianke. WAPDA Chairman Lieutenant General (Retd) Muhammad Saeed also attended the signing ceremony, which was held at WAPDA House in Islamabad.

Equipment and the wider project

Under the agreement, the joint venture will manufacture, supply and install gates and steel structures designed to regulate water flow. The equipment will be installed at flushing tunnels, power intakes and dam inlets. The contract also includes steel lining, hoisting systems, pumping systems and associated electrical works.

The Diamer-Bhasha Dam is being built on the Indus River, about 40 kilometres downstream from Chilas. Once completed, the project is expected to have a water storage capacity of 8.1 million acre-feet and generate 4,500 megawatts of hydroelectric power. The reports describe the dam as a federal priority project aimed at strengthening water, food and energy security, though completion dates were not given in the contract reports.