I think this statement is factually wrong. There have been tonnes of feasibility studies done on Kalabagh dam with hundreds of millions of rupees spent on it. And this is done years ago. The construction did not start not for lack of feasibility studies, but because NWFP and Sindh oppose it for various reasons. Simple as that.
Here is a more recent news article with important excerpts reproduced below (for full article click on the link)
**Experts find Bhasha dam best choice **
Chairman of the parliamentary committee on water resources Senator Nisar Memon has said that a panel of foreign experts has declared the $6.7 billion Bhasha dam as the ‘best choice’ on technical grounds and human displacement rate but the $5.6billion Kalabagh dam could still be preferred for other reasons.
He said a Wapda team briefed the parliamentary committee on various aspects of Kalabagh, Bhasha, Akhori and Katzara Skardu dams, besides Thal and Kachhi canals. He said there were three dams before the committee for a decision, Kalabagh, Bhasha and Akhori. **The cost of Kalabagh dam is $5.65 billion, Bhasha $6.7 billion and Akhori $1.6 billion. **
Kalabagh dam would have a storage capacity of 6.1 million acre feet and a power generation capacity of 3,600mw, he said and added that its feasibility study and design were complete and technically it was considered feasible for construction.
The Bhasha dam would have a storage capacity of 7.3maf and power generation capacity of 4,500mw. Its feasibility study had been reviewed and declared as ‘best choice’ on technical grounds by a panel of experts from France, Germany and Norway, Mr Memon said and added that the panel was appointed by the government of Pakistan.
The construction of Kalabagh dam could be started by 2005, Bhasha dam by 2007 and Akhori by 2008. From the point of view of power supply arrangements, Kalabagh dam was ideally located, while Bhasha dam had some problems, he added.
Kalabagh dam would displace 120,000 people, Bhasha 24,000 and Akhori 49,300, he added.
Responding to a question, Mr Memon said so far no consensus had been achieved on the question of the construction of a dam because every province had its own point of opinion and position.