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Telecom operators demand 5G with free spectrum for 5 years, no taxes: Report

MM News Staff by MM News Staff
March 29, 2023
Reading Time: 2 mins read

KARACHI: In order to rollout their services in Pakistan, Telecom operators are believed to have demanded of the government 5G with a free spectrum for five years and no taxes on the import of equipment and 5G handsets/devices.

According to a report which quoted official sources, the federal government is reportedly evaluating a number of plans to roll out 5G at least in the nation’s biggest cities.The country’s 5G network was initially scheduled to launch in major cities by the end of March 2023, according to the previous administration’s plans. But, it was not made practicable due to the nation’s political unrest.

The report says that considering the economic climate in the nation as a whole, and the telecom business in particular, industry players as well as senior government officials are of the opinion that the introduction of 5G will be challenging even by the end of December 2023.

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According to official papers, telecom companies have made certain proposals to the government for the introduction of 5G services in the nation.

Operators demanded that a novel, radically different, and workable 5G policy be introduced, with the following points to be taken into account:  (i) free spectrum for first five years with zero taxes on import of equipment and 5G handsets/device, (ii) any proposal of auction should be after five years, once the use cases have developed and (iii) policy intervention required to ban 2G/3G handset local production as well as import.

According to the Pakistan Telecommunication Authority (PTA), the government of Pakistan would publish a policy direction for the rollout of 5G in the nation in response to telecom operators’ demands.

The report further suggests that a consultant will be appointed to make recommendations based on the government’s directives. This consultant will work closely with stakeholders, do a thorough market analysis, look at foreign regulatory standards for the launch of 5G, and look at other pertinent factors. The Authority replied by asking cellular mobile operators (CMOs) to submit their ideas for evaluation and eventual formulation of recommendations for the government.

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