The Punjab government has frozen the funds of all 40 district councils, including Rawalpindi, under the newly introduced local government system, leading to the cancellation of 286 small and large development schemes previously approved by the Rawalpindi District Council.
District council funds are now being transferred to the newly established tehsil councils, and contractors previously registered with district councils are being re-registered with their respective tehsil councils.
Only development schemes in their final stages of completion have been allowed to continue. All remaining grants and development funds have been placed under the control of the new tehsil councils.
The Rawalpindi District Council had earlier approved a budget of Rs7.84 billion, with around Rs3 billion allocated for local-level grants and development schemes.
Following the funds freeze, new water supply and grant-funded projects in Rawalpindi district are now being executed through the tehsil councils and the Water and Sanitation Agency (WASA).
Water supply schemes previously handled by the district council have been transferred to WASA, including the Chahan Dam Water Supply Project. The project is designed to provide 12 million gallons of clean water daily to around one million residents.
Under the Punjab chief ministers Clean Drinking Water pilot project, supply of clean water through pipeline networks and filtration plants has also begun in underdeveloped areas of Rawalpindi and Chaklala.

