ISLAMABAD: Prime Minister Shehbaz Sharif gave a go-ahead for the long-awaited 5G spectrum auction to be completed by December 2025, despite delays caused by cellular company mergers, litigation over prime bands, and economic hurdles.
The decision was shared on Tuesday during the Senate Standing Committee briefing by the Special Secretary of the Ministry of Information Technology and Telecommunication, which was chaired by Palwasha Mohammad Zai Khan.
The auction advisory committee, chaired by Finance Minister Muhammad Aurangzeb, will meet on Monday to review proposals from an international consultant. The Pakistan Telecommunication Authority (PTA) and Frequency Allocation Board (FAB) confirmed that 606 MHz of spectrum has been made available, including 154 MHz currently under litigation.
Policy directive awaited: 5G spectrum auction likely in coming months: minister
DG Licensing Amer Shahzad emphasized that mid-band frequencies—particularly 2600 MHz for 4G/5G and 3500 MHz for 5G— are key to improving service quality and coverage. Pakistan’s IMT spectrum remains significantly lower than regional benchmarks.
To ensure transparency, former minister Anusha Rahman proposed including the National Accountability Bureau (NAB) in the auction committee. Legal representatives also briefed the committee on ongoing stay orders, with the next hearing set for September 17. Lawmakers warned that further delays could hinder Pakistan’s digital and economic progress.
The National Cyber Crime Investigation Agency (NCCIA) briefed the committee on alarming developments in cyber fraud, revealing that scams have cost citizens over Rs. 3 billion. Officials reported the dismantling of 63 illegal call centers, recovery of Rs. 40 million, and the arrest of approximately 450 individuals.
The agency flagged exploitative loan apps charging interest rates up to 1,800 percent, often operated by non-banking financial entities. Committee members voiced concern over digital loan scams, gambling platforms, and misinformation campaigns on social media. Efforts to curb cybercrime include enhanced coordination with banks to detect skimming devices and intensified digital surveillance during sensitive national events.
The Chairperson directed NCCIA to present a comprehensive report on cyber-linked offences in the next session. The briefing underscored the urgent need to restore digital trust and protect vulnerable users from financial exploitation.
The committee was briefed by the PTA and the Auditor General of Pakistan regarding audit findings that allege telecom giant Jazz overcharged users by Rs. 6.58 billion through quarterly tariff hikes of up to 15 percent.
Anusha Rehman pressed PTA officials on whether the tariff increases were regulated and why approval records had not been shared with audit authorities. Audit representatives confirmed that PTA failed to provide updated documentation, submitting outdated records instead.
PTA responded that it had requested time to verify the data, but was not granted sufficient time by the concerned authorities. Committee members expressed concern over weak regulatory oversight, which they said enabled unilateral price increases without formal PTA approval.
Despite assurances from PTA that all procedures were followed and documentation exists, the committee directed both PTA and the Auditor General’s office to submit complete records. The matter will be reviewed further in the next meeting.
On the issue of spectrum under illegal use by China Mobile, the representatives from PTA briefed that litigation over 6.6 MHz in the 1800 MHz band remains pending. Despite the Supreme Court directing proceedings in PTA’s favour, the matter has been shifted to lower courts, where delays persist. Members expressed concern over such delaying tactics, noting they result in heavy financial losses and undermine national interest.
The Committee decided to summon representatives of the Law Division to the next meeting to explain tribunal delays and recommend a way forward.
The committee grilled the Ministry of IT for failing to disclose names, designations, and perks of PTCL and Ufone board members. Calling PTCL’s board a “white elephant,” the chairperson demanded clarity on meeting allowances and whether payments are made in rupees or dollars.
Officials claimed they have contacted Etisalat for details, but they emphasized that sufficient time had already been granted and cautioned that a privilege motion may be moved if the information is not provided. The Special Secretary assured the Committee that the required details would be furnished.
The committee members raised critical questions about PTCL’s financial obligations, audit compliance, and management practices. The committee raised serious concerns over PTCL’s failure to undergo an official audit, despite clear directives from the Supreme Court of Pakistan.
Audit officials revealed that PTCL has consistently declined to undergo auditing, stating that the Etisalat Group, which owns a significant stake in PTCL, is not a public body and therefore does not fall under audit obligations.
The committee also expressed deep concerns over the possible exit of Telenor Pakistan, warning that it could create serious challenges for the telecom sector, particularly in the rollout of 5G services. Former IT Minister and Senator Anusha Rahman blamed policies for Telenor’s decision to leave Pakistan. PTA representative acknowledged that Telenor had “three to four major issues” but argued that “all telecom companies have challenges, and we have been informing the Advisory Committee about the issues regularly.”
Ministry of IT assured the committee that Telenor would be taken into confidence regarding the upcoming 5G package.
The committee; however, demanded a separate briefing on the proposed Telenor–Ufone merger, signalling the significance of consolidation in shaping the industry’s future. In addition, the Committee summoned the Competition Commission of Pakistan (CCP) to its next meeting to review merger implications and market competition concerns. Anusha Rahman pressed further, stressing that if Pakistan is seeking new investment in the telecom sector, then it is crucial to engage directly with Telenor.
PTA officials emphasized that a decision on the merger of telecom companies must be finalized before the highly anticipated 5G auction. They emphasized that industry consolidation is crucial for ensuring smooth operations and financial stability in the sector.
Copyright Business Recorder, 2025