PTA moves IHC for deadline extension: deadlock between government, mobile operators persists

The deadlock between the government and mobile operators on licence renewal persists as Pakistan Telecommunication Authority (PTA) has again approached Islamabad High Court (IHC) for seeking extension in deadline, it is learnt. The court has issued notices to other parties (mobile operators) for July 17, 2019 while seeking their comments on PTA's request for extension in the deadline for licence renewal.
Earlier, the IHC had disposed of mobile operators' petition while observing it a regulatory matter and directed the PTA to itself decide about licence renewal applications independently by July 15. Chief Justice IHC Athar Minallah while hearing the case had asked mobile operators to appear before the PTA on June 25. The court also observed that mobile companies can also file appeal after the PTA decision on their applications for renewal of licences.
The cellular mobile licences of Pakistan Mobile Communications Limited (ex-Warid/Jazz) and Telenor Pakistan Limited (Telenor) expired on May 25, 2019 and were due for renewal. The licence of China Mobile Pakistan (CMPak Zong) is due for renewal on October 22, 2019. However, Jazz and Telenor had approached the IHC to decide on the terms of licence renewal in an equitable, fair and transparent way.
Official sources told Business Recorder that mobile operators appeared before the PTA and presented arguments on their applications for licence renewal; however, the final decision is yet to be taken. During the hearing, the operators presented their arguments and pleaded for licence renewal on the same terms and conditions as well as other benchmarks like rollout obligations on which the licence of Ufone had been renewed in 2014.
"We are ready to pay $291 million (around Rs 32 billion) i.e. the same price Ufone had paid in 2014, which is now around Rs 62 billion," said a senior official of a cellular company on condition of anonymity who attended the hearing.
The official went on saying that the price of around $450 million is too much for them and the request was presented before the Authority. Replying to a question, the official said that they also asked for the same rollout obligations and other benchmarks to provide level playing field to all operators.
Senior PTA officials revealed that the government would renew licences of mobile operators as per the government policy. They further said that operators can come anytime and get their licences renewed by paying the government approved fee along with due surcharge.