ISLAMABAD: Due to financial constraints, the Capital Development Authority (CDA) has decided not to initiate any new development projects, stating that it will maintain its concentration on ongoing development projects that are a “priority” for the government agency.
Read more with EL news: RUDA will shortly launch Chahar Bagh Phase II
A senior official told Dawn that the civic agency has been experiencing financial constraints as a result of a decline in revenue, and to ensure the seamless flow of ongoing projects, the agency has decided not to accept any new projects at this time.
The official stated that billions of rupees were needed to complete the ongoing projects, which included the expansion of the Motorway, a road from D-12 to E-11, the development of sectors I-12 and I-15, and the remaining allied works of the Bhara Kahu bypass, including the rehabilitation of Murree Road and a connecting road to link underpasses.
According to the CDA representative, the municipal agency was eagerly awaiting the second installment of payment for the auction of commercial plots held earlier this year, which was anticipated by the end of the following month.
The civic body will concentrate on ongoing projects and anticipates the auction of vacant properties.
In a similar vein, an upcoming auction in October-November may generate a “considerable sum of money to ensure the smooth flow” of ongoing projects. decline in earnings
A second official stated that the CDA used to receive income from the transfer of plots and the certification of building plans, but that due to rising taxes, the real estate industry was declining, resulting in less income for the civic agency. The official asserted that the CDA may initiate a few ‘essential nature’ projects if the next auction yields a profit. If not, the emphasis will remain on ongoing initiatives.
According to sources, three projects, the Shaheen Chowk Interchange, the Serena Interchange, and the 11th Avenue Interchange, could be initiated as soon as their respective file preparations are completed.
The projects are not being pursued by the CDA due to financial issues, the sources said, adding that as per PC-I, the 11th Avenue project may cost Rs19 billion and currently the civic agency was not in a position to commence this mega project.
Similarly, the road project that will connect G.T. Road and Peshawar Motorway (M1) is also a multibillion-dollar undertaking. At least Rs3 billion is needed for civil works and Rs2 billion for land acquisition, according to officials, who added that the land acquisition process has not yet begun.
After receiving funds from auctions, according to officials, the CDA will prioritize the Motorway project from PWD to GT Road. The CDA will make every effort to complete the project by March 2024, as required by PC-I, they added.
Likewise, the ongoing project between D-12 and E-11 will be completed by the end of October. The CDA management will attempt to wrap up this project after clearing the dues of the contractor.
Among the new proposed projects, the road from G.T. Road to Peshawar Motorway will be the CDA’s top priority in order to maximize the benefits of Margalla Avenue, according to CDA officials.