The Sindh cabinet has ordered a comprehensive audit and investigation into the Rs. 28 billion World Bank-funded Sindh Solar Energy Project (SSEP), following allegations of serious financial and operational irregularities. The provincial government has also directed that firms found responsible for wrongdoing be blacklisted.
The initiative originally aimed to provide 250,000 households with solar kits consisting of panels, batteries, a DC fan, three LED lights, and a mobile charging system, with each system estimated at around Rs. 55,000. However, despite a contract signed at $151 per kit, import data revealed that the items were valued at less than $50, raising concerns over inflated costs.
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During Monday’s cabinet meeting, Chief Minister Syed Murad Ali Shah instructed officials to initiate recovery measures and hold both contractors and government personnel accountable. Officials briefed the cabinet that although most of the project’s funds have already been spent, it has failed to meet major development targets, including solar parks, rooftop installations, and widespread distribution of solar home systems.
The briefing also highlighted improper contract modifications, payments made for incomplete work, and discrepancies in import records, including allegedly fake documentation submitted by the primary contractor — issues that may have resulted in substantial financial losses.
Additionally, the cabinet learned that several NGOs were hired for distribution activities without competitive bidding, while significant funds were spent on equipment with inadequate documentation. The chief minister emphasized the need for financial discipline and ordered immediate corrective action to safeguard public resources.
