Potential of Natural Resources and State of Various Agreements in Balochistan

As a part of ongoing campaign to raise awareness among people regarding Balochistan Rights Package, the Center for Research and Security Studies (CRSS), Islamabad in collaboration with ActionAid, Pakistan organized a roundtable discussion on ‘Potential of Natural Resources and State of Various Agreements in Balochistan,’ at its office premises on August 17, 2011. Mr. Sheikh Asad Rahman, Director Programs at Sungi Development Foundation and Mr. Naseer Gilani, National Program Director for Drought Recovery System at Planning Commission of Pakistan was speakers at the occasion.

A Norwegian senior social scientist, Mr. Atle Hetland participating in the roundtable emphasized that the government ownership of the development process in Balochistan is the key to better exploitation of natural resources of the province. The successful case of state and non-state enterprise for equitable and efficient exploitation of natural resources in Norway was pointed out as the best example for the government of Pakistan to emulate. Addressing the roundtable discussion Mr. Sheikh Asad Rahman said that the government pretension of lack of technological development as the excuse for poor exploitation of natural resources does not pass the test of scrutiny. He said it were local Baloch laborers, engineers and experts, who started and developed Saindak gold project back in 1975. But due to pathetic government response later on, the project was folded. Then again during General Musharraf regime Saindak was handed over to a Chinese company on a 10-year lease without consideration of the Balochistan government. The distribution of profits is according to a formula that is incomprehensible. The Chinese company takes 75 per cent; the Federal Government 23 per cent and only 2 per cent of revenue is passed onto the Balochistan Government. Also, the vast copper and gold reserves of Koh-i-Dalil have been similarly leased to an Australian company.

Mr. Rahman pointed out that the issue of leasing of the world largest copper deposits located at Reko Diq in theChagai District of Balochistan was also a replica of Saindak project, where Balochistan government was bypassed. He said it was due to the judicial activism that today the issue is being renegotiated by the provincial government. He lamented the fact that unfortunately much talked about Aghaz-e-Haqooq-i-Balochistan Package does not speak much of equitable distribution of natural resources and it merely touches upon the issue as a matter of concern, while doe not provide any blueprint for ensuring the Baloch right over their resources. Addressing the roundtable, Mr. Gilani said the government of Pakistan overdependence on foreign investment and foreign technology is the real stumbling block in the development of the bounty of natural resources in Balochistan. He narrated that the government hires foreign firms for development of local natural resources by design, in order to get maximum kickbacks and commissions out of such deals. He said local ownership and development of the natural resources is the best way to fully utilize the potential of natural resources and address the long held grievances of Baloch people.

During the roundtable participants demanded a new discourse on Balochistan issue and asked the government to play proactive role to ensure that natural resources of Balochistan may be utilized for the progress and uplift of Baloch people. They stressed upon the need for socio-economic development in the province in order to lure back the disenchanted Baloch youth.

Suggesting the way forward for guaranteeing equitable distribution and optimal development of the potential of natural resources in Balochistan, Mr. Rahman said Baloch people should be given their due share in order to bring them back as real stakeholders in the development process of their province. He said Pakistan has all the expertise needed to exploit the natural resources sans political will. He said youth is the capital of future for Pakistan and the government should make sure to fully harness and utilize this potential to brighten the future of coming generations and as well as Pakistan. Meanwhile, Mr. Gilani said the government should develop fishing industry in Balochistan for generating financial resources out of it and for the purpose it should suspend the licenses of international fishing trawlers doing business inside Pakistani waters. He said ‘They come and sweep waters and go back with the bounty.’ He also suggested that the government should suspend the licenses of foreign mining companies working in Balochistan at the earliest and should renegotiate the distribution of natural resources in the province.