ISLAMABAD: The Economic Coordination Committee (ECC) members are said to have urged Naya Pakistan Housing and Development Authority (NAPHDA) to be very careful in selection of developers and choose only credible developers, well-informed sources told Business Recorder. The ECC members conveyed their observations at a recent meeting of the committee, when the proposal for negotiated procurement for public private partnership was submitted by NAPHDA.
The Chairman, Naya Pakistan Housing and Development Authority, Lt. General Anwar Ali Hyder (retired) briefed the forum about the details of the proposal, adding that the Policy Board of NAPHDA, in its meeting held on February 3, 2021 recommended submitting the case for consideration and approval of the ECC. In the light of Board approval following proposals were submitted to the ECC for consideration: (i) NAPHDA may be allowed to enter into negotiated procurement of the Public-Private Partnership scheme for the development of low-cost housing on privately owned lands, pursuant to Regulation 19(2) of the PPP Regulations, 2020 and ;(ii) project selection and execution process may be approved. During the ensuing discussion, Adviser to the Prime Minister on Institutional Reforms and Austerity, Dr. Ishrat Hussain supported the proposal. He however, raised a query as to the safeguard adopted to check credibility of the developers. In response, Chairman NAPHDA clarified that requisite safeguards were taken care of in the proposed scheme. However, the banks will further scrutinize the developers to ensure their credibility as per their own prescribed criteria. Minister for Privatization, Muhammadmian Soomro emphasized that while implementing the scheme, NAPHDA must ensure that selected developers should not have any default in the past. Moreover, some mechanism must be built in to put restriction on cost escalation.
Copyright Business Recorder, 2021
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