Making idle assets work
EDITORIAL: Punjab’s decision to establish a dedicated authority for identifying, managing and monetising under-utilised public assets deserves support because it addresses a problem that has been allowed to persist for far too long. Government land and property scattered across departments, autonomous bodies and provincial entities often remain idle, encroached upon or trapped in outdated…
Punjab has taken a commendable step by establishing an authority dedicated to identifying, managing, and monetising under-used public assets. This move is timely and economically sensible, as it addresses a long-standing issue of idle, encroached, or bureaucratic assets scattered across various departments and entities. The Asset Management Authority of Punjab aims to bring these assets into productive use, which is crucial for the province's financial stability and development.
The primary challenge lies in the lack of a centralized mechanism to assess the full extent of landed assets, their current condition, and their optimal use. The proposed digital inventory and GIS-based database will help overcome this by making it difficult for valuable public property to remain hidden or vulnerable to encroachment.
The broader mandate of the authority is equally promising, as properly managed public assets can generate non-tax revenue, attract private investment, support new infrastructure, and create employment.
The framework includes safeguards such as valuation, disposal, and grievance committees, as well as an annual audit by the auditor general. The requirement that 98% of project proceeds be deposited into the provincial consolidated fund ensures that the majority of revenue returns to the public exchequer. However, the implementation history of similar initiatives in Punjab raises concerns about bureaucracy and political interference.
The method of disposal and monetisation will be closely scrutinised to prevent politically connected individuals or preferred investors from acquiring assets below market value. All transactions should be conducted through open, competitive, and independently verified processes, with full transparency in asset valuations, reserve prices, bidding documents, successful bidders, and final proceeds. Any assets retained for social or strategic purposes should also have their reasoning documented and disclosed.
To ensure accountability, the authority should release quarterly reports listing identified assets, surveyed properties, removed encroachments, approved projects, completed transactions, revenue generated, and the amount of proceeds reaching the provincial consolidated fund. These disclosures will provide citizens with a clear understanding of whether the authority is unlocking public wealth or merely adding to administrative overhead.
While Punjab has identified a serious governance failure and proposed a potentially workable solution, the success of the authority will ultimately be measured by its ability to generate transparent and measurable public value from idle assets. The initiative is sound on paper, but its credibility will depend on the actions taken following its implementation.
Written by urgent.news from Business Recorder's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
