Identifier
Created
Classification
Origin
10ISLAMABAD432
2010-02-23 14:16:00
CONFIDENTIAL
Embassy Islamabad
Cable title:  

PROGRESS CONTINUES ON SOUTH WAZIRISTAN PROJECTS

Tags:  PGOV PREL EAID MOPS PK 
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C O N F I D E N T I A L SECTION 01 OF 02 ISLAMABAD 000432 

SIPDIS

E.O. 12958: DECL: 02/23/2020
TAGS: PGOV PREL EAID MOPS PK
SUBJECT: PROGRESS CONTINUES ON SOUTH WAZIRISTAN PROJECTS

Classified By: Ambassador Anne W. Patterson for reasons 1.4 (b) and (d)
.

Summary
-------

C O N F I D E N T I A L SECTION 01 OF 02 ISLAMABAD 000432

SIPDIS

E.O. 12958: DECL: 02/23/2020
TAGS: PGOV PREL EAID MOPS PK
SUBJECT: PROGRESS CONTINUES ON SOUTH WAZIRISTAN PROJECTS

Classified By: Ambassador Anne W. Patterson for reasons 1.4 (b) and (d)
.

Summary
--------------


1. (C) On February 20, U.S. Economic and Development
Assistance Coordinator Robin Raphel (AssistCoord) met with
Army Director General of Staff Duties Major General Zubair
and Federally Administered Tribal Area (FATA) Additional
Chief Secretary (ACS) Habibullah Khan and their team to
discuss South Waziristan Agency reconstruction projects.
Based on the presentation by the Pakistani side, AssistCoord
agreed that the USG would provide the requested 15 percent
($8.25 million) lump sum mobilization advance to cover the
costs of deploying the Frontier Works Organization to project
sites and the purchase of required equipment as soon as the
Ministry of Finance establishes the assignment account for
the project. To address tribal parity, General Zubair and
FATA ACS Khan proposed to include two additional projects in
Wazir tribal areas in the initial phase of assistance * the
Tank-Wana road and a second dam. General Zubair stated that
all GOP project documentation associated with reconstruction
projects would be finished by April 15, 2010 and committed to
the first project monitoring trip by USAID's local contractor
in mid April 2010. Border Coordinator Elizabeth Richard,
USAID Mission Director Robert Wilson, USAID Deputy Mission
Director - NWFP/FATA Ed Birgells, and Special Assistant
Khashayar Ghashghai also attended the meeting. End Summary.

Pakistanis Military ) Good Faith Effort
--------------


2. (C) General Zubair provided an update on current
activities, stating that ground has been broken on two roads
in South Waziristan Agency (SWA) and that 70 kilometers of
road surveys were complete. He said that feasibility and
political studies have been completed for a number of dams in
SWA and that two sites have been selected. He reported that
Planning Commission Pro Forma Number 1,s (PC1s) for
electrification in SWA are now being verified by the Frontier
Works Organization (FWO). (Note: A PC1 is a GOP approved
roadmap for project implementation. End Note.)


3. (C) General Zubair highlighted Pakistani military efforts
in positioning personnel and equipment in SWA, including a
total of 1020 FWO staff, many of whom had been repositioned
from Quetta where several projects had been cancelled due to
insufficient development funds. He reiterated that these
moves were made in advance of the receipt of USG assistance
funds and were proof that the GOP was serious in its efforts
to hold territory gained in recent fighting.

Seeking More Assistance
--------------


4. (C) Stating the need to balance tribal issues, General
Zubair asked that we consider adding two projects totaling
$44 million to the current $55 million, bring the total for
the first phase to $99 million. $31 million would pay for a
road between Tank and Wana and $13 million would pay for a
dam in the Wazir area of Dana. These new projects would
benefit Wazir tribal areas. General Zubair said it was
important to begin work in both the Wazir areas and the
Mehsud areas at the same time in order to avoid showing
favoritism and asked for USG commitment to fund the projects
as soon as possible.

Advancing Payment
--------------


5. (C) Based on the presentation of the Pakistani side,
AssistCoord agreed that the USG would provide the 15 percent
($8.25 million) mobilization advance in a lump sum as
requested by General Zubair. (Note: On 11 February General
Zubair specifically requested Ambassador Patterson to provide
the advance in a lump sum rather than advance 15 percent of
each of a series of individual PC-1 documents that will cover
various elements of the first phase of the SWA effort. He
cited the considerable costs already incurred and the fact
that the individual PC-1s were taking more time than

ISLAMABAD 00000432 002 OF 002


expected.) The funds will be provided to the FATA
Secretariat as soon as the required assignment account is
established by the Ministry of Finance.

The Reimbursement and Monitoring Process
--------------


6. (C) All parties once again agreed that future funding
would be in the form of reimbursement for completed work and
tied to approved PC1s and the verification of completed work
by USG contractors. Once a PC1 is approved, project
milestones would be negotiated by USAID and Pakistani
technical experts. Once a project reaches a milestone, the
completed work would be verified. The Project Management
Unit (PMU) based in Dera Ismail Khan and USAID contractors
would independently carry out the verification. Once
verified, the FATA Secretariat would then be reimbursed for
work completed. General Zubair committed to having the first
project monitoring trip by USAID contractors in mid April
with subsequent trips to be mutually decided.

Civilian to Civilian Assistance
--------------


7. (C) AssistCoord emphasized that the SWA assistance program
needed to be, and be seen as, civilian led. She referenced
recent news reports showing Chief of Army Staff (COAS) Kayani
inaugurating the road projects and indicated it would have
been helpful if officials from the FATA Secretariat had been
present. AssistCoord reiterated that U.S. civilian
assistance funds cannot go to military institutions. General
Zubair stated he understood, saying that the FATA Secretariat
was the military's &client8, and that Mr. Habibullah is in
charge.

Comment
--------------


8. (C) The effort that has already taken place to get these
SWA reconstruction projects off the ground demonstrates
commitment of the Pakistani military to reconstruction in
South Waziristan. The Pakistani military views the road
between Tank and Makheen in particular to be strategically
important to their national security interests. This road
will provide both civilian and military access to areas deep
within South Waziristan and eventually into North Waziristan
and is in their best interests.


9. (C) Delays thus far have resulted from the Frontier Works
Organization taking more time than expected to complete the
PC-1 planning documents, as well as survey work and required
detailed designs. An additional delay in the agreed
mobilization advance could occur if the Ministry of Finance
is slow in opening the required assignment account into which
the funds will be deposited, but we expect this should occur
in a matter of days. Providing a mobilization advance before
the PC-1 documents detailing the more precise cost and
timelines for the project could set an unhelpful precedent,
but Post believes it is necessary to keep essential momentum
in SWA reconstruction effort going, and is committed to
holding the line against further such exceptions in the
future.


10. (C) The more challenging aspect of this effort will be
agreeing on the milestones against which further funding can
be reimbursed, and ensuring regular monitoring of the actual
work on the road and other projects. While we have a very
firm commitment by the Pakistan military to facilitate this
monitoring on a regular basis, we will need to remain wary of
possible excuses for them not to make good on this
commitment. End Comment.
PATTERSON