ISLAMABAD: The Lahore High Court’s Rawalpindi Bench has suspended the implementation of Punjab Local Government Act (PLGA) 2025 that empowered the provincial government of declaring any revenue estate as “urban area” with a single stroke of pen.
Justice Jawad Hassan stayed the government’s decision declaring the revenue estate of Daud Khel Pacca an “urban area” under the PLGA, in a case filed by Maple Leaf Cement Factory Limited.
Justice Hassan issued the interim order while hearing writ petition, challenging the government’s decision.
Representing the petitioner, Mirza Mehmood Ahmad, argued that the classification of the area as urban is illegal, arbitrary, unconstitutional, and contrary to the Punjab Demarcation, Classification and Naming of Local Areas Rules, 2025.
He submitted that around 80 percent of the subject area remains rural in nature, consisting of agricultural, hilly, and industrial land, and does not meet the legal threshold required for urban status.
The petitioner contended that the impugned proposals and decisions were made on an incorrect interpretation of Section 6(3) of the PLGA 2025 and relevant demarcation rules, and sought a declaration that the area should instead be classified as rural and included in the proposed Tehsil Council Mianwali.
The court also examined the maintainability of the petition in light of the 26th Constitutional Amendment (2024), which limits the High Court’s jurisdiction to grant relief beyond the specific prayers contained in a petition.
The bench referred to its recent ruling in Kakakhail Traders v. Province of Punjab on the scope of constitutional jurisdiction.
The petitioner further argued that the urban classification could lead to environmental degradation, unplanned urbanization, loss of agricultural land, increased flood risk, and pressure on water resources, asserting that it violates the fundamental right to a clean and healthy environment.
On the other hand, the Punjab government, through its Law Officer, objected to the maintainability of the petition, stating that the demarcation process had been carried out in accordance with the Punjab Demarcation Rules, 2025, including Rule 10.
After hearing preliminary arguments, the court issued notices to the respondents for February 18, 2026, directing them to submit parawise comments and official reports before the next hearing.
The court also directed the Advocate General Punjab to respond to the legal questions raised in the petition under the Civil Procedure Code, noting that the matter involves issues of public importance.
In an interim measure, the court ordered that the impugned decision shall not be implemented until the next date of hearing.
Published in Dawn, February 6th, 2026
