ISLAMABAD, June 23: The Capital Development Authority (CDA) is considering to revoke the contracts of sanitation service given to two private firms for five most thickly populated sectors of Islamabad.

The final decision in this behalf would be taken at the CDA budget meeting on Tuesday, and the authority would be able to save Rs25 million annually.

It said in the current fiscal year CDA had borne an expenditure of Rs39 million on sanitation service being provided by private agencies. However, last year the similar contracts were given at a cost Rs13.795 million.

In the current fiscal year the contractors have reportedly adopted some modern ways to lift garbage from these sectors resulting in increase in overall expenditure of sanitation service being provided in five sectors.

“It is proposed that in view of the tremendous increase in expenditure, the procedure of privatization of sanitation in various sectors may be reviewed in the financial interest of the authority,” a proposal added.

A senior official of the sanitation directorate told Dawn that sanitation service had been given to private agencies in sectors G-7, G-8, G-9, G-10 and I-10.

He said some 750 sweepers, provided by the private contractors, were working in these sectors on daily wage basis.

“If the contracts of sanitation service are discontinued, the CDA will have to induct 750 sanitation workers,” he added.

After inducting these staff the CDA will have to pay all allowances, like medical cover, gratuity, pension, house rent, etc. to them. The authority will incur more expenses then it is now paying to the contractors, he added.