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CDA to Auction Kiosks in Islamabad Next Month
According to a news report on April 5th, the Capital Development Authority (CDA) has made a decision to hold an auction for vending points, also known as kiosks, in various locations throughout the capital city.
The Chief Commissioner Islamabad and Chairman of CDA, Noor ul Amin Mengal, has announced that the vending points auction will take place from May 15th to 17th at the Citizen Club in F-9, beginning at 10 AM. Additionally, he revealed that the Metropolitan Corporation Islamabad (MCI) will oversee the auction of the planning wing’s authorized kiosks.
The auction will consist of 1,807 vending points, with 200 kiosks available for auction the following month. These kiosks will be designated for Juice & Shakes, Tea & Coffee, Fruits & Vegetables, Burgers & Snacks, Tuck Shops, and Decoration & Gift shops. The vending points will be located in various areas, including parking points, parks, playgrounds, bus stations & terminals, and markets.
According to the information provided, the kiosks will be built with a specific design to improve the aesthetics of the federal capital. The successful bidder will be granted a 10-year license to operate the vending point as part of this initiative. CDA Chairman Mengal explained that seating arrangements will not be provided at the kiosks to prevent encroachment on state-owned land.
MCI Administrator, Irfan Nawaz Memon has stated that the MCI will provide the successful bidder with a design for establishing the vending points. CDA Chairman Mengal added that the auction will promote economic activity and eliminate encroachments from public areas and sidewalks in Islamabad.
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CDA decided last month that kiosks should be built at designated sites, following Islamabad’s primary plan and with a specific design. All kiosks will then be leased out through open auctions.
It is important to mention that there were more than 450 kiosks, both licensed and illegal, in Islamabad. However, some years ago, the MCI cancelled all licenses and subsequently demolished all the kiosks. Afterwards, several kiosk owners rebuilt their structures, but the CDA did not recognize them.
For the past few years, the CDA has been requesting the kiosk owners to construct new ones with a proper design. It is worth noting that in the past, the allocation of kiosks was surrounded by controversy as the DMA (Municipal Administration Directorate) and the environment wing of the CDA used to allocate plots on a selective basis.
Furthermore, there were allegations that many officials from the CDA/DMA had their kiosks allocated through intermediaries.
The CDA official suggested a competitive process should be implemented by the CDA and DMA for the allocation of kids’ play areas to generate significant revenue. However, a new committee has been established to identify fresh locations, and the kiosks will be leased through open auctions once again.
The auction of kiosks is expected to generate economic activity in multiple ways. Firstly, by leasing out kiosks through a competitive auction process, the CDA can generate revenue from the successful bidders. This revenue can then be utilized to fund various development projects in the city, promoting further economic growth.
Secondly, the kiosk owners can use the space to set up businesses, such as food and beverage stalls or retail shops, which can create employment opportunities and provide goods and services to the local community.
Additionally, by regulating the kiosk operations, the CDA can ensure that they comply with health and safety standards, which can lead to increased consumer confidence and foot traffic in the area. Overall, the auction of kiosks can serve as a catalyst for economic activity by promoting entrepreneurship, generating revenue for the government, and ensuring the provision of safe and legal vending options for the public.