ISLAMABAD: The federal government has prepared a landmark proposal to transform the Islamabad Capital Territory (ICT) into an autonomous federal unit with its own elected assembly and local chief executive, according to sources familiar with the matter.
The proposal has been developed by a special committee led by Planning Minister Ahsan Iqbal. The committee has reportedly finalised a draft titled the “Islamabad Capital Territory Government Act 2026”, which has been placed in the public domain for consultation before it is considered by Parliament.
Under the proposed governance model, Islamabad would have a 27-member elected assembly. The assembly would consist of 21 directly elected members, five reserved seats for women and one seat for minorities.
The elected assembly would choose a local leader who could be designated either Chief Minister or Mayor. The new administration would be responsible for several major civic and social services that are currently managed by different government and bureaucratic institutions.
The proposed devolution would cover areas including health, education, municipal services, waste management, revenue collection and social welfare. As many as 27 administrative departments are expected to operate under the new setup, supported by a Chief Secretary and four dedicated secretaries.
However, law and order and master planning would remain under federal control because of Islamabad’s strategic importance as the national capital. The federal government would also retain the authority to issue binding directions to the local administration.
The draft legislation also proposes merging relevant provisions of the Local Government Act 2015 and the CDA Ordinance 1960. The move could help address overlapping jurisdictions that have contributed to administrative challenges in the capital.
The proposed structure would include six specialised authorities covering health, education, environment and climate, social welfare and inclusion, tourism and culture, and digital and e-governance.
Islamabad would also be divided into three town corporations aligned with National Assembly constituencies. Each corporation would have a mayor and two deputy mayors, resulting in three mayors and six deputy mayors under the proposed arrangement.
The committee has also discussed broader questions surrounding administrative decentralisation in Pakistan, including the possibility of creating 12 to 15 provinces or establishing 160 fully empowered district governments.
Supporters of greater decentralisation argue that smaller and more empowered administrative units could bring public services closer to citizens. However, critics have raised concerns about the financial implications, constitutional issues, water distribution under the 1991 Water Accord and possible changes to representation in the Senate.
Government sources have clarified that while the Islamabad governance proposal has reached an advanced stage and is currently open for consultation, no final decision has been taken on the creation of new provinces across the country.
If implemented, the Islamabad model could represent a significant shift from bureaucratic administration towards a more locally elected and accountable system of governance in the federal capital.
