• TP4 project aimed at quicker delivery of clean water for Karachi
• Rs22 billion wastewater improvements secured with global funding
• Timelines set to revive TP1 for recycled water supply to industry
KARACHI (Feb 28): Sindh Chief Minister Syed Murad Ali Shah, presiding over a meeting, reviewed Karachi’s wastewater treatment and recycling initiatives and approved Rs5 billion to ensure the secondary treatment of 100 MGD from TP1 by December 31.
The CM also set an interim target of treating 30–35 MGD by June 30. “This is not just a long-term vision. Karachi will see tangible improvements this year,” the chief minister declared, emphasising that wastewater treatment remains a top priority for his government.
Murad Shah further reviewed progress on Karachi’s wastewater treatment and recycling projects, describing the TP4 initiative as a “transformational step” for the city’s water management system, and directed all stakeholders to accelerate decision-making.
The meeting emphasised the completion of ongoing treatment plants, the urgent revival of TP1, and advancing the flagship TP4 Wastewater Treatment & Recycling Project – implemented via Public-Private Partnership (PPP) – towards financial closing and execution.
Timelines and Coordination
The chief minister said that TP1 is a 100 MGD treatment facility and that, with immediate measures, 30–35 MGD could be operational by June 30. He was informed that Rs5 billion is needed to fully operationalise TP1 by December 31, 2025.
Supporting full government backing, the chief minister stressed the urgency. “The funds will be provided, but the work must start immediately. Delays are not an option when it comes to Karachi’s wastewater management,” he said.
He instructed the Mayor of Karachi, the Water Board, and the Planning & Development Department to convene and resolve all pending issues for smooth execution.
G2G framework:
It was revealed that a Memorandum of Understanding (MoU) was signed in December 2025 between the Karachi Water and Sewerage Corporation and Enertech Holding Company under a Government-to-Government framework, boosting investor confidence.
To ensure financial feasibility, major funding commitments have been secured: the World Bank pledged $100 million in Viability Gap Funding; the Asian Development Bank committed $50 million; and the Sindh government contributed Capex funding of USD 80 million.
“These commitments reflect global confidence in Sindh’s reform agenda and Karachi’s future,” the chief minister commented.
Industrial impact and project scope
Designed under a DBFOMT (Design, Build, Finance, Operate, Maintain, and Transfer) model, the TP4 project includes a 22-kilometre interceptor with a capacity of 200–250 MIGD, a wastewater treatment plant of around 100 MIGD, and a recycling plant of approximately 40 MIGD to supply reclaimed water to the Korangi Industrial Area and Korangi Creek Industrial Park.
The chief minister noted that supplying recycled water to industries would reduce pressure on potable water while fostering economic growth.
Addressing land-related delays, Murad Ali Shah issued clear instructions. “We must accelerate the resolution of land issues at the TP4 site. 140 acres are already free from encumbrances and sufficient for construction. The Deputy Commissioner must immediately survey, demarcate, and officially allocate the land to avoid any further delay.”
The CM was also briefed on feasibility milestones, with the Technical Feasibility submitted in the first phase on 18 February 2026. The second phase involves Financial Feasibility expected by mid-March 2026, aiming for financial close by October 2027, with commercial Operations targeted for the end of 2030.
Immediate Relief through secondary treatment
In positive news for Karachi, the meeting confirmed the allocation of Rs5 billion to ensure the secondary treatment of 100 MGD from TP1 by December 31. An interim target to treat 30–35 MGD by June 30 was also set.
“This is not just a long-term vision. Karachi will witness tangible improvements within this year,” the chief minister reiterated, emphasising that wastewater treatment remains a top priority of his government.
