After five years of its launch, the Capital Development Authority is engaged in negotiation with a Chinese state-owned firm for development of the residential sector I-15 and the contract agreement is likely to be signed within fortnight.

“We are in negotiation with a Chinese firm. They met CDA high ups last week. We had disagreed to their estimates and asked for revision. They would come up again with revised costs next week,” a senior CDA official told this news agency.

He said estimates given by the firm were based on hi-tech and foreign technology with imported construction material that could have been unaffordable by the people, the ultimate bearer of the cost.

Launching the residential sector I-15 in year 2005, the CDA has pledged to develop 5,560 plots and 8,000 flats in the sector and had also earned Rs 150 million from the sale of more or less 300,000 broachers.The official said three companies took part in pre-qualification but Chinese firm remained successful as the rest two did not participate in bidding.

“As the project is loan-based, so its execution is not affordable for every firm. The matter would be finalized between the two respective governments,” said the official. He said differing with the firm’s cost estimates, the CDA had called for its revision based on indigenous technology and construction material to keep the prices within the affordable limits.

“We have asked them to use local technology, not the imported one. Our targets vis-…-vis development cost is that of the Federal Government Employees Housing Foundation and Pakistan Housing Authority,” he said. Besides residential flats, the Chinese firm would also be responsible for the development of whole sector and the time period for the whole project is yet to be finalized in consultation with the firm, adding that the firm would execute the project in joint venture with a e said for execution of multi-billion project, the Chinese firm would get loan from its government for which the CDA would provide guarantee that would follow the agreement-signing between both the governments