It has been learnt that discussions had been held with Waqar by the PCB Chairman Najam Sethi recently in Lahore and Dubai about a possible assignment for him with the national team.
According to PCB sources, Waqar has made it clear he will have a proper say in all selection matters including sitting with the national selectors when a touring side is being shortlisted.
"This time Waqar who is settled in Australia has shown interest in the coaching assignment but also kept forth some strong conditions to sign a fresh contract."
"He has also asked for more authority and a pay package equivalent to what the board is paying Whatmore," the source added.
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Waqar, who captained Pakistan in 2003 World Cup, was head coach in 2010 and 2011 and the team fared well under him, reaching the semi-final of the 2011 World Cup in India.
The PCB, which has already announced that Whatmore will not be extending his contract, paid the former Australian player approximately Rs 1.6 million per month besides other perks.
The sources said there was also talk about handing Younis Khan the additional responsibility of being the team's batting coach besides playing in the Test matches.