Telecom operators in Pakistan have raised alarm over steep increases in charges for laying and maintaining telecom cables, warning that the higher costs could soon be passed on to consumers through more expensive internet packages.
The Pakistan Telecommunication Access Providers Association (PTAPA) has formally approached Punjab authorities and the federal government over the revised charges for laying and maintaining telecom cables at the Quaid-e-Azam Industrial Estate QIE). According to the association, the new rate structure introduced by QIE management represents an increase of up to 600 percent in some categories of charges.
Steep Increase in Cable Infrastructure Charges
Under the revised rates introduced by the QIE management, annual rent for aerial telecom cables has increased from Rs. 50 to Rs. 300 per meter. PTAPA warned that higher infrastructure costs could eventually put pressure on the cost of internet and telecom services across the country.
Charges for underground infrastructure have also increased substantially. The one-time right-of-way (ROW) fee for buried cables has risen 333 percent, from Rs. 300 to Rs. 1,000 per meter, while annual rent has doubled from Rs. 100 to Rs. 300 per meter, a 200 percent increase. The one-time supervision fee for buried cables has also gone up 213 percent, from Rs. 80 to Rs. 250 per meter.
PTAPA Calls for Policy Compliance
PTAPA said the revised charges are inconsistent with the federal government’s Public and Private Right of Way Policy Directives and urged the authorities to enforce the approved policy. The association argued that ROW charges imposed by public authorities should be based on a no-profit-no-loss principle and should cover the cost of providing the relevant service rather than being used as a source of commercial revenue.
The association also said telecom operators that already pay approved tariffs for using electricity distribution company poles should not be subjected to additional permission or NOC charges. PTAPA has asked the authorities to intervene urgently to help with permissions for laying new infrastructure that are currently being withheld, warning that such restrictions could slow the expansion of telecom infrastructure and affect internet services for businesses operating in the industrial estate.
The association has called for the revised charges to be reviewed in line with the federal ROW policy, warning that unresolved infrastructure costs could ultimately be reflected in higher internet and telecom bills for ordinary consumers across Pakistan.
Industry representatives note that Pakistan already has among the highest connectivity costs relative to average income in the region, and warn that any further rise in infrastructure charges could widen the digital divide between urban and rural users. Telecom operators say predictable, transparent right-of-way policies are essential if the government wants to meet its own targets for broadband expansion and digital inclusion under initiatives such as the national digital economy strategy.
