LECTURE # 02

1
THE LOCAL
GOVERNMENT ACT OF
PAKISTAN
DR. ZULFIQAR ALI LASHARI

SUBJECT: DISTRICT & REGIONAL PLANNING 19-12-2022

2
― G.K. Chesterton

• “Internationalism is in any case hostile to democracy.

The only purely popular government is local, and
founded on local knowledge. The citizens can rule the
city because they know the city.’’
 • An administrative body for a small
3
geographic area, such as a city, town,

county, or state.

• Local governments can elect officials,

enact taxes, and do many other things that

a national government would do, just on a

smaller scale.
4 FURTHER EXPLANATION:

• Local government is a form of public administration which exists as the lowest tier of
administration within a given state.

• In federal states, 3rd or sometimes 4th tier whereas in unitary states, 2nd or 3rd tier of
government, often with greater powers than higherlevel administrative divisions.

• The success of public administration and governance relies heavily on the extent of municipal
autonomy.

• The institutions of local government vary greatly between countries, and even where similar
arrangements exist, the terminology often varies.
5

• By local government, we mean the administration of local areas run by its elective
representatives.

• In modern states there is a great import of the local government because democracy is
made real in local government.

• A nation may establish a system of free government, but without the spirit of municipal
institutions it cannot have the spirit of liberty.
6

ADVANTAGES
AND
DISADVANTAGES
OF LOCAL GOVERNMENT
7 ADVANTAGES…

• Decentralization provides a framework which facilitates and increases local sustainable

development throughout all regions of the country.

• Devolution represents the most effective means to decrease concentration of power at the
centre, which is a salient feature of the existing governance model, and

• Which is contrary to several basic features of good governance, e.g. openness,

transparency, fairness.

• Local Government increases efficiency in determining service provision.

8 ADVANTAGES…

• In a decentralized, local system, citizens can influence decisions about service provisions
through means which enable them to indicate the type, level and quality of services they
desire, and the cost they are willing to pay for such services.

• Local Government facilitates a better solution of public affairs.

• The creation of strong local governments with the capacity to effectively manage local
affairs enables central government to concentrate on higher level functions.
9 DISADVANTAGES…

• Since different regions are different in terms of natural resources, level of economic
activities, land values, etc so Inter-regional inequalities may increase, and thus widening
intra-national poverty gaps and encouraging politically destabilizing forces.

• Local Administrations can bring higher risks of resource capture by local elites or special
interest groups.

• Without adequate safeguards, there is a risk that powerful or well placed local elites may
be able to capture the resources/powers allocated and use these resources/powers for their
own benefit.
10 DISADVANTAGES

• A frequently advanced argument in support of centralization is that of limited financial

resources.

• The reason of this argument is that particularly in relatively small states, they have limited
resources and cannot allocate different budgets for different local administrations.

• Inadequate implementation arrangements can lead to disparity between the revenue

available and the mandated responsibilities of local government, which could render them
ineffective and/or bring them in disrepute.
11 WHAT DOES LOCAL GOVERNMENT DO?

• Councils work with local partners and residents to determine and deliver on local
priorities.

• They provide a wide range of services, either directly through their employees or by
commissioning services from outside organizations.

• The Local Government Act, they also have responsibility for the economic, social and
environmental ’wellbeing’ of their area.
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• Promote the economic, social and environmental wellbeing of people

• Education
• Culture and Sports (fairs and shows etc, Libraries, museum, exhibitions etc)
• Agriculture
• Health Care
• Housing and Utilities
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• Maintenance of Infrastructure
• Environmental Protection
• Maintenance of Law & Order
• Spatial Planning and Construction Activities
• - Fire Fighting and Rescue Services
• - Roads and Transport
• - Water Supply and Waste Management
• - Entertainment Provision
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• Planning and development and maintenance of roads, bridges, street lights and storm
water drains

• Providing protection against stray animals and animal trespass, and establishing cattle
pounds

• Public Health (Hospitals, Rural Health Centres, Basic Health Units, Family Welfare
Clinics, Promotion of public health, responsibility for sanitations, removal, collection and
disposal of Refuse, infection diseases, registration of birth, deaths and marriages)
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• Slaughter House

• Streets (Permission of laying out street and proper lightening of streets, Traffic Planning, Street
Watering)

• Trees, Parks, Gardens and Forests

• Social Welfare (Welfare homes, asylums, orphanages, widow and shelter houses and other
institutions for the relief of the distressed, Prevention of beggary, gambling, taking of injurious
drugs and consumption of alcoholic liquor and other social services)
17 SOURCES OF INCOME OF LOCAL BODIES

• Tax on the annual value of buildings and lands

• Tax on transfer of immovable property

• Fee for registration and certificates of birth and death, marriages and divorce

• Advertisements including bill board and hoarding

• Cinemas, dramatic and theatrical shows etc

• Vehicles (other than motor vehicle but including carts bicycles and all kinds of boats)
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• Tolls on roads, bridges and ferries

• Rate for the supply of water
• Schools fees in respect of schools established or maintained by the Local Govt
• Fees for fairs, agricultural shows, industrial exhibition, tournaments and other public
gatherings
• Fees for markets
• Fees for licenses, sanctions and permits granted by the Local Government
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• Fees for slaughtering of Animals

• Parking Fee

• Fisheries

• Any other tax which is levied by Government

• Grants by Provincial / Federal Govt, if any

20 FINANCIAL AUTONOMY:

• One way to measure local government financial autonomy is to compare its own
revenues as a share of its total budget.

• In the region, local government investments are the engine in the catch-up game of
providing modern infrastructure such as water and sewer systems, solid waste
management, street lighting and roads.

• There are several factors that reduce the ability of local governments to raise revenues
including the heavy concentration of the population in capital cities.
21 HOW TO ACHIEVE FINANCIAL AUTONOMY IN L.G

• Increase Local Tax Net

• Reduce/Discourage Urban Migration
• Surcharge on Personal Income Tax
• Formation of a Development Fund in which citizens contribute and then those funds are used
for their own betterment. This will lower the burden on National Budget.
• One cost-saving solution is inter-municipal cooperation, where small municipalities join
forces to enjoy the same benefits as big cities.
• It can be used for capital investments such as roads, delivery of public services such as solid
waste management, and organization of professional services
22

ROLE OF CITIZENS
IN
LOCAL GOVERNMENT
23 ROLE OF CITIZENS:

• The participation of citizens in Local Government holds the key to its success.
• Since citizens are directly being affected by the decisions, policies, plans or any step that
the Local Government takes, so the involvement of citizens is very important.
• Citizens can show their participation in following ways:
• Full Cooperation with the Local Administration
• Citizens can show Social Participation
• Political Involvement
• Showing participation in Administrative Processes
24 CITIZENS CAN:

• Review the decisions of Local Authorities

• Form advisory committees to give advice

• Contribute to Local Revenue by paying taxes

• Maintain close coordination with Local Administration

• Contribute in Infrastructure Development

• Form Public-Private Partnership

25 HISTORY OF LOCAL GOVERNMENT IN PAKISTAN

• Post Independence up to Ayub Khan

• Ayub Khan’s Regime

• Zia and Post Zia Period

• New Devolution of Power Plan (Musharraf’s Plan)

26 THE LOCAL GOVERNMENT IN PAKISTAN (1947-
1958)
• The system of local government inherited by Pakistan in 1947 was a product of a series of
British efforts made from time to time through reforms, laws and commissions,

• To promote local institutions autonomous in certain respects but substantially under the
control of the provincial government through district officers.
27 THE LOCAL GOVERNMENT IN PAKISTAN (1947-
1958)
• After independence, the policy of the Pakistan Government in regard to local government
was that fullest autonomy shall be granted to such bodies;

• This was borne out by the 1948 Muslim League Manifesto which stood for the ‘very
widest extension of Local Government on the models of parishes and communes of the
United States’.
28 INTRODUCTION OF L.G.S IN PAKISTAN

• The Ayub Period:

• In 1958, Ayub Khan dissolved the government and established local governments in the
form of “Basic Democracies.”

• BDs were used by Ayub to legitimize his essentially unitary new Presidential Constitution
(1962), which gave effective state power to the armed forces through the office of the
President.
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• The new local governments, established under the Basic Democracies Ordinance, 1959
and the Municipal Administration Ordinance 1960, comprised a hierarchical system of
four linked tiers.

• The lowest tier, which was the union councils, comprised of members elected on the basis
of adult franchise who, in turn, elected a chairman from amongst themselves.

• The higher tiers of local government had some members elected indirectly by these
directly elected members and some official members nominated by the Government and
had these officials as Chairmen.
30 BASIC DEMOCRACIES

• The most important and controversial function which was included in constitutions of
1962 was that members of the lowest tier, the Union Councilors, were designated as the
Electoral College and empowered to elect the President and the members of national and
provincial assemblies.

• To sum up, the Basic Democracies scheme failed because its authors tried to shape it
against the fundamental laws that is to say that they did not adhere to the concept that
autonomy is the corner stone of local govt.
31 ZULFIQAR ALI BHUTTO’S REGIME

• When Pakistan People’s Party with Zulfiqar Bhutto came to power,

• The concept of People’s Local Government was introduced.

• In the law order each province passed its own local act.

• In the new order institutions of local government were set up on their own account and
had no political strings.
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• It provided representation for minorities, women, peasants and workers on the local
councils.

• The local councils were required to hold meeting once a year to which voter were to be
invited.

• The new law introduced some useful reforms in the field of local government.

• But as elections were never held under the new law, and the local councils were not
constituted under the new law, these reforms were not implemented.

• The country did not have any Local Government system during the period 1971 to 1979.
33 ZIA AND POST ZIA PERIOD:

• The new Martial Law Government of General Zia-ul- Haq declared in clear terms their
policy of revitalizing local government.

• In undertaking of this policy new local government laws were drafted for each province,
Federal Area, Northern Areas, and Azad Kashmir.

• These laws were promulgated and enforced in 1979.

• These laws followed the same pattern, but slight variations were made here and there to
suit local circumstances.
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• Like Ayub , Zia combined political centralization at the federal level with decentralization
from the provincial to the local level in order to legitimize his military regime.

• Decentralization was achieved through the promulgation of Local government ordinances

(LGOs) and local bodies were elected in all four provinces during 1979 and 1980.
35

• Centralization Reinforced Through Direct Military Control of Quasi-Presidential

Government Implemented Bhutto’s LGOs

• – No Constitutional Protection Given to Elected Bodies

• – Provision of Municipal Services Primary Objective

• – Local Governments Given Little Financial Power

• Non-Party Basis of Elections Curtailed Power of Parties, and Prolonged Customs Politics
and Elite Capture
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• Urban Councils Enjoyed Higher Levels of Revenue and Income than Rural and semi-
Urban Ones

• Urban Councils Under No Obligation To Provide Funds to Rural or semi-Urban Areas

• Rural and semi-Urban Areas Dependent on Provincial Administrative Tier for Financial
Support

• Competition between Urban Middle Class and Numerically Strong Rural Elites for
Resources
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• Non-Party Based Elections in 1985 Created Localization of Politics at all Levels

• Revival of Party Basis (1988) Did Not Reverse Localization of Politics Due to Weakened
Parties

• Space Left by Parties Filled by Fluid Local Political Factions

38 MUSHARAF’S REGIME

• In order to establish democracy at grassroots level, the regime of General Pervez

Musharaf, introduced the Local Government System.

• This was not a new experiment in Pakistan.

• This new system of Local Government was installed on August 14, 2001, after holding of
elections.

• Direct elections on non-party basis were held in five phases for members of Union
Councils, Union Nazim, and Naib Union Nazim during 2000 to 2001.
39 THE NEW DEVOLUTION OF POWER PLAN:

• Musharaf’s regime • Devolution of political power

• Introduced by General Pervaiz Musharraf • Decentralization of administrative

in January 2001. authority

• De-concentration of management functions
• It was implemented in September 2001.
• Diffusion of the power – authority nexus
• The Local Government was based on and
five ground rules: • Distribution of resources.
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LOCAL GOVERNMENT
SYSTEM - 2013
41 ANALYSIS OF LOCAL GOVERNMENTS ACTS OF 2013

• In accordance with the 18th Amendment to the Constitution, the provincial assembly of
Balochistan passed the LG Act in 2010,

• Whereas the provincial assemblies of Punjab, Sindh and Khyber Pakhtunkhwa passed
their LG Acts in 2013.

• Despite a lack of enthusiasm, and due consultation during the formulation stage, the
passage of the LG Acts is a significant milestone.
42

• One striking feature of all four LG Acts, in comparison with the LGO 2001, is that none
of the Acts devolves sufficient functions and powers to the local governments, and all four
provincial governments have retained the authority to suspend or remove the heads of an
elected local government.

• The functioning of the Local Government Fund is managed by the Finance Department
and Finance Minister of the province.
43 STRUCTURE AND CONSTITUENCY DELIMITATION

• All four LG Acts provide for local government elections on a party basis.

• Punjab, Sindh and Balochistan will have Union Councils and District Councils in the rural
areas and Union Councils/Committees and Municipal Committees in the urban areas.

• The Khyber Pakhtunkhwa LG Act also provides for Tehsil Councils and Village Councils
in the rural areas and Neighbourhood Councils in the urban areas.
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45 LOCAL GOVT IN SINDH (2015)
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48 UNION GOVERNMENT

• The lowest tier, the Union Government was a corporate body covering the rural as well as
urban areas across the whole District.
• It consisted of Union Nazim, Naib Union Nazim and three Union Secretaries and other
auxiliary staff.
• The Union Nazim was the head of the Union Administration.
• The Union Secretaries coordinated and facilitated in community development, functioning of
the Union Committees and delivery of municipal services under the supervision of Union
Nazim.
• In addition to the fiscal transfers from the Province, the Local Governments were authorized
to generate money from their own sources by levying certain taxes, fees, user charges, etc.
49 TEHSIL GOVERNMENT

• The middle tier, the Tehsil Government, had Tehsil municipal administration headed by
the Tehsil Nazim.

• Tehsil municipal administration consisted of a Tehsil Nazim, Tehsil municipal officer,

Tehsil Officers, Chief Officers and other officials.

• The tehsil municipal administration was entrusted with the functions of administration,
finances, and management of the offices of local government and rural development, and
numerous other subjects at the regional, divisional, district, tehsil and lower levels.
50 DISTRICT GOVERNMENT

• The District Government consisted of the Zila Nazim and District Administration.

• The District Administration consisted of district offices including sub-offices at Tehsil level,
who were to be responsible to the District Nazim assisted by the District Coordination
Officer.

• The District Coordination Officer was appointed by the Provincial Government and was the
coordinating head of the District Administration.
51 DISTRICT GOVERNMENT

• The ZilaNazim was accountable to the people through the elected members of the Zila
Council.

• A Zila Council consisted of all Union Nazims in the District.

• The Zila Council had a separate budget allocation.

• The District Government was responsible to the people and the Provincial Government
for improvement of governance and delivery of services.
UNION COUNCIL UNION COMMITTEE DISTRICT COUNCIL
52
TOWN
53COMMITTEE MUNICIPAL COMMITTEE MUNICIPAL CORPORATION
54

PROBLEMS OF LOCAL
GOVENRMENT IN
PAKISTAN
55 PROBLEMS

• Political parties do not believe in decentralization/local democracy

• Constitutional and legal recognition for local democracy

• Over centralized modal and mindset

• Economic constraints and lack of infrastructure

• Bureaucratic Hurdles
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• Un-elected intuitions are more powerful than representative parliament

• Relatively weak role of parliament

• Development funds to MNAs/MPAs and undermine the role of LG

• Corruption in almost every sector

• No Public Participation

• Growing urbanization
57 SUGGESTED SOLUTIONS:

• The first area for improvement is to divest the District Governments of the powers of Law
and Order, Revenue Record maintenance and Disaster Management.
• These functions should be entrusted to District Coordination officer.
• Executive magistracy should be restored.
• The District Nazims should be elected directly by the voters rather than indirectly by the
Union Nazims.
• The political parties should be allowed to contest the elections and nominate the
candidates for all the offices at the Union, Tehsil and District Government.
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• The demarcation of responsibilities between the Provincial and District Governments

should be drawn more clearly and explicitly and the possible areas of ambiguity and
overlap resolved upfront.
• The Provincial Government should design policies, standards, procedures, rules,
regulations and ensure their implementation by the Local Governments.
• The Provincial Governments should supervise, monitor the activities , finances and
outcomes of the local governments and have a transparent process in place that authorizes
them to take action against violations committed by the local governments.
• Audit and accountability processes have to be strengthened for this purpose.
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• The point of interaction between the citizens and the government functionary has to be
manned by persons of competence, integrity and commitment.
• There is an urgent need to change the Thana-Kutchery culture that symbolizes the
government today. This model is outdated and completely out of sync with the rising
expectations of the people.
• The Community Citizens Boards (CCB)s) are a useful innovation to promote an all
inclusive partnership between public, private sector and NGOs.
• Given the poor access and quality of education and health in the rural areas of Pakistan
the CCBs can supplement the efforts of the government departments in the planning,
execution, delivery, monitoring and evaluation of development projects.
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