Islamabad: According to a report from August 1, the Capital Development Authority (CDA) is thinking of making a big adjustment to the way it approves projects.
The CDA is in the early stages of deliberating a pivotal shift that could reshape its internal processes, specifically how financial sanctions for projects are handled. Traditionally, the approval process within the CDA is bifurcated, with technical sanctions being granted by respective technical formations and financial sanctions being centrally managed by the finance wing. This separation is designed to ensure that financial oversight remains stringent, independent, and free from potential conflicts of interest.
However, recent developments suggest that the CDA’s current management is exploring a new approach that would empower technical members, such as Member Engineering, to hold authority over both technical and financial sanctions for projects. This proposed change is inspired by the practices currently in place within the Communications and Works Department (C&W) of Punjab, where similar powers are vested in technical members to streamline project execution.
The rationale behind this proposal is to streamline the project approval process, thereby reducing delays and enhancing operational efficiency. By consolidating these responsibilities under technical roles, the CDA aims to create a more agile and responsive framework that can expedite project approvals, potentially leading to faster project completions and better resource utilization.
However, this proposed shift has not been without its critics. Sources within the CDA, particularly those with financial expertise, have raised concerns about the potential risks of centralizing financial sanction powers. Critics argue that merging these roles could compromise transparency, as the checks and balances traditionally provided by separate financial oversight may be weakened. This could, in turn, affect the fairness of project evaluations and the integrity of the auditing process.
The CDA board recently convened to discuss the proposal in light of these concerns. During the meeting, it was decided that a thorough study would be conducted to examine the financial rules and practices of other institutions nationwide. The board has emphasized the importance of adopting the best financial practices that not only enhance efficiency but also safeguard transparency and accountability. This review process is expected to guide the final decision, ensuring that any changes made will align with the CDA’s commitment to maintaining rigorous financial oversight while striving for greater operational efficiency.
