ISLAMABAD - The Capital Development Authority is presenting today (Thursday) its budget of Rs28 billion for financial year 2012-13 with main focus on development of the federal capital and generation of revenue through sale of plots.
The Authority will generate Rs 21423.90 million through its own resources, mainly by selling plots across the federal capital. The figure Rs 21.4 billion, is approximately Rs 8.173 billion more than the outgoing fiscal year’s target, where the authority has announced to generate Rs 13.250 billion through self-resources.
Similarly, CDA will generate Rs 4648.41 million (Rs 4.64 billion) through revenue department that includes property tax, water charges, toll tax, municipal receipts, interest on deposits, sanitary receipts and other municipal charges.
The federal government would provide Rs1690.63 million (Rs1.69 billion) to the Authority under Public Sector Development Programme (PSDP) and Rs1798.29 million (Rs1.8 billion) under maintenance grant. The maintenance grant would be utilised against the maintenance of government buildings including Presidency and Prime Minister House, Pak Secretariat, Parliament House, Parliament Lodges and other buildings. A big chunk of Rs16 billion approximately is allocated for several developmental schemes and programmes. The allocation is higher than Rs12.11 billion that was allocated by the Authority for fiscal year 2011-12.
Allocation for non-development expenditure for fiscal year 2012-13 will be Rs12 billion as compared to Rs9.76 billion for fiscal year 2011-12. The reason stated for Rs2.24 billion more allocations under the head of non-development expenditures is recent increase in salaries and pension announced by the federal government and overall price hike and increase in POL prices. Though the Chairman CDA on Thursday (today) while addressing a news conference after presenting budget would tell media ‘all is well,’ Auditor General of Pakistan in its audit report for year 2011-12 has portrayed a grim picture of the affairs of the Authority.
The report mentioned that the Authority missed an enormous 65 per cent of its planned targets pertaining to the development of the federal capital for fiscal year 2011-12. While during the same year there was an excess of 135.35 per cent in non-development budget of the Authority.
“During fiscal year 2011-12, the non-development expenditure was on rise whereas development activities were not being given priority,” audit report stated.
The AGP also pointed out the unrealistic and over-ambitious estimates in terms of collection of revenue the Authority had portrayed in its budget document for year 2011-12.
The CDA, during 2011-12, collected revenue of Rs 10.23 billion - from self-financing sector and other receipts - against estimated receipts of Rs18.9 billion. Thus, there was a shortfall of Rs 8.67 billion (45.86 per cent) in overall estimated receipts.
“The figures indicate that estimates of receipts were either unrealistic or the Authority failed to exploit and derive benefits from the available resources,” the report stated.
Israr Ahmed from Rawalpindi adds: Town Municipal Administration (TMA) Rawal Town passed its annual surplus budget worth Rs 1.17 billion here on Wednesday.
In the budget, presented by TMA Rawal Town Administrator Saif Anwar Jhappa, the outlay with Rs815 million has been reserved for development projects. It is pertinent to mention here that this was the first budget in the history of Rawal Town that crossed the outlay of Rs 1 billion and no new tax has been added in the budget for the year 2012-13.
Talking to media persons, TMA Rawal Town Administrator Saif Anwar Jhappa said that a total of Rs 351.5 million has been reserved for non-development expenses including the salaries of the staff and pensions of the retired staff. Despite the 20 per cent raise in the salaries and pensions no new tax had been imposed in the tax, he added. He said that the TMA Rawal Town would hire new staff in July 2012.
He further said Rs31 million had been set aside for Citizen Community Boards (CCBs) and Rs 206 million had been allocated for new development schemes that would be introduced by the PML-N MPs.
Some Rs 86.4 million had been set aside for development schemes announced last year that yet to be started whereas Rs 43.1 million has been reserved for ongoing development schemes in the limits of Rawal Town. The Administrator was of view that Rs 9.6 million and Rs 9 million have been reserved for the welfare of youth Rs9.6 million and for sports activity respectively.
The construction of shops along with Benazir Bhutto Road (BBR) would cost Rs 37 million to the civic body, Jhappa mentioned. Similarly, Rs 5 million had been allocated for renovation of damaged streetlights and Rs 4 million for carpeting of roads in Rawal Town areas. With Rs 25 million, the new complex offices would be constructed for TMA Rawal Town, Saif Anwar Jhappa asserted.