News
CDA Told to Fast-Track Shahdara Dam, Offer Illegal Housing Societies a Chance to Regularise

By Mariam Khan
Real Estate Analyst
3 min read
Islamabad's Capital Development Authority (CDA) has been directed to expedite the Shahdara Dam project, replace rusted water pipelines, and bring illegal housing societies under its regulatory framework, according to Dawn, published 8 August 2026. Interior Minister Mohsin Naqvi issued the directives, saying construction on the dam could begin within the next few months once tenders are floated.
Why Islamabad Needs New Dams
The CDA currently supplies around 70 million gallons of water per day (mgd) against an estimated demand of 220 mgd, with residents of Sector H-13 and Ghouri Town relying entirely on water tankers. Naqvi said Shahdara Dam, with a 10 million-gallon-per-day storage capacity, will be built first, ahead of the proposed Chinot and Dotara dams — which together are designed to add a combined 72 mgd for Rawalpindi and Islamabad. A consultant has already been hired, and the CDA must acquire more than 30 acres of land for the Shahdara project before design finalisation and tendering.
Illegal Housing Societies Get a Regularisation Window
Naqvi said there are 199 illegal housing societies in Islamabad, and that CDA teams are working through each one. Rather than immediate demolition, sponsors will be offered an option to register and fulfil legal and planning requirements before enforcement escalates — a pattern consistent with milkiyat.com's earlier coverage of the CDA's list of illegal housing schemes and how buyers can verify jurisdiction before investing. Naqvi added that construction is now being monitored via satellite, and that fines will follow for schemes that fail to comply.
Stalled Sectors and Compensation
Special attention will go to stalled residential sectors: development in Sector C-14 is complete, and work in remaining stalled sectors is targeted for completion this year and next so allottees can take possession. Naqvi also said compensation claims for affectees whose land was acquired for CDA projects will be resolved on a priority basis — an issue that echoes ongoing land-compensation disputes covered in milkiyat.com's report on the Rawalpindi Ring Road's affected landowners.
Other Projects Discussed
The meeting also covered plans to upgrade F-9 Park on the pattern of London's Hyde Park, develop a new forest along Margalla Avenue, and build a sewage treatment plant to stop untreated sewage from flowing into Rawal Dam.
What This Means for Buyers
Anyone holding a plot in one of Islamabad's illegal or unregulated schemes should watch for the CDA's regularisation process rather than assume automatic legal cover, and should independently verify a scheme's NOC and layout-plan status before any transaction. For a full breakdown of jurisdiction and verification steps, see milkiyat.com's guide to RDA Green Property Certificates and CDA enforcement across the twin cities.
Sources
- Dawn — "Civic body asked to fast-track Shahdara Dam project, regulate illegal housing societies", 8 Aug 2026: https://www.dawn.com/news/2021329/civic-body-asked-to-fast-track-shahdara-dam-project-regulate-illegal-housing-societies
- The Nation — "Interior Minister orders complete digitalization of CDA records in 120 days": https://www.nation.com.pk/30-Apr-2026/interior-minister-orders-complete-digitalization-cda-records-120-days
- Dawn — "Crackdown on illegal housing societies, constructions ordered": https://www.dawn.com/news/1913281
- CDA — Illegal Housing Schemes (official list): https://www.cda.gov.pk/illegal-housing-schemes