RAWALPINDI:
In a rare case of a federal institution defaulting on provincial government dues, the District Rent Assessment Committee (DRAC) and Rawalpindi Municipal Corporation (RMC) have found Islamabad Electric Supply Company (IESCO) to owe Rs1 billion. in unpaid rent.
Following directions from the Administrator and Rawalpindi Commissioner, IESCO has been asked to pay the outstanding amount within 15 days for the continuous use of 11 MCR-owned commercial properties in Rawalpindi for the last 65 years.
According to officials, the properties have been under IESCO’s use since January 1, 1961, without any lease agreement or payment.
A joint rent assessment by DRAC and MCR calculated arrears from January 1961 to November 2025 by applying a rate of Rs2.5 per sq ft with an annual increase of 10 per cent.
In a letter issued by Administrator MCR and Commissioner Rawalpindi Engineer Aamir Khattak to IESCO Managing Director, it was informed that the utility has to deposit Rs1 billion. in outstanding rent in the municipal fund within 15 days.
The properties include offices, flats and a petrol pump located in Rehmanabad SDO Construction Camp, Asghar Mall grievance office, Chandni Chowk XEN RO office, Satellite Town B Block grievance office, Saidpur Road flats, Satellite Town Wapda Foundation petrol pump, Asghar Mall subdivision grievance office, Ganj Mandi subdivision S Road grievance office, Ghaazbadni grievance office, Ghaazbadni. Ganj Mandi and Committee Chowk Sub-Divisional Office.
Chief Officer MCR Imran Ali said the company would not only recover the arrears but also sign a new rental agreement with IESCO to ensure regular monthly rental payments.
He added that clear instructions had been received from the Punjab government and a formal recovery process had begun under the supervision of the Rawalpindi Commissioner.
