KARACHI:
In a key move aimed at addressing the chronic water shortages in Karachi’s Defence Housing Authority (DHA), the Sindh government on Tuesday approved an interest-free loan of Rs10.56 billion for the Karachi Water and Sewerage Corporation (KW&SC) to launch a dedicated water supply project.
The decision was taken during a provincial cabinet meeting chaired by Chief Minister Syed Murad Ali Shah at the CM House. Officials briefed the cabinet that the project entails the construction of a 36-kilometre pipeline stretching from Dumlottee to DHA, along with essential infrastructure including a pumping station, forebay reservoir, and a filtration plant.
Cleared earlier this year by the KW&SC board in February 2025, the project is expected to be completed within 11 months, according to project planners.
More Cabinet Decisions: Focus on Relief, Infrastructure, and Reforms
In addition to the DHA water project, the Sindh cabinet approved a number of development and policy initiatives covering agriculture, energy, infrastructure, and digital governance:
Flood Relief Package Expanded:
The allocation for the Flood Emergency Response Component (FERC) was increased from Rs21.56 billion to Rs27.67 billion to support over 151,000 flood-hit farmers from the 2022 disaster.
- Rs6.1 billion is set aside for verified pending cases.
- Another Rs2.37 billion in unutilized funds will be distributed through the Benazir Hari Card.
Benazir Hari Card Activation:
The cabinet gave the green light to the Agriculture Department to sign an MoU with Sindh Bank to operationalize the Benazir Hari Card system, which offers agri-input subsidies, disaster relief, and soft loans.
- So far, 237,000+ farmers have registered, and 88,871 applications are ready for processing.
Thar Coal Railway Connectivity:
A major approval was granted for a Rs45.02 billion rail project connecting the Thar coalfield (Islamkot) to Chorr, spanning 105 kilometers.
- The federal PSDP for 2025–26 has already earmarked Rs7 billion for the project.
- Plans also include dual tracks from Bin Qasim to Port Qasim and a coal unloading terminal.
E-Stamping Reform:
Amendments to the Sindh E-Stamp Rules, 2020 were approved, eliminating the need for physical stamp paper in regions where e-registration is fully functional—paving the way for faster, paperless property transactions.
Agricultural Income Tax Rules Finalized:
The cabinet formally endorsed the Sindh Agricultural Income Tax Rules 2025, which require:
- Mandatory registration of agricultural taxpayers
- E-filing of returns
- Record keeping in Urdu, Sindhi, or English
- Provisions for carrying forward losses due to natural disasters
Hyderabad Industrial Enclave Approved:
Plans were approved to establish a new industrial enclave on 951 acres in Hyderabad through a public-private partnership (PPP).
- Land will be handed over to Sindh Economic Zones Management Company (SEZMC)
- The Finance Department will allocate Rs3.54 billion
- The project is expected to create over 55,000 jobs
Land Transfer for M-6 Motorway:
The cabinet also cleared the transfer of 248 acres of land for the Hyderabad–Sukkur Motorway (M-6) project, valued at Rs667.23 million. Additional land acquisitions were approved for Jamshoro, Sukkur, and other districts.
