ISLAMABAD -UNS: The federal government is moving towards providing cheaper electricity to telecommunications companies by extending industrial power tariffs to telecom infrastructure, a move expected to reduce operating costs and encourage investment in 5G networks.
Prime Minister Shehbaz Sharif has directed a special task force to finalize recommendations on extending industrial electricity rates to the telecom sector. The task force has been asked to consult the Power Division and Finance Division and submit proposals outlining the financial implications and a mechanism to cover the tariff difference.
The development follows a joint request by the chief executives of Jazz, CMPak (Zong), PTMIL (Ufone and Telenor), and PTCL, who have urged the government to provide industrial electricity rates to licensed telecommunications infrastructure.
LTelecom Operators Seek Industrial Tariff Relief:
Telecom operators argue that the sector has long been recognized as an industry under government policies and legislation but continues to pay commercial electricity rates.
They believe rising energy costs are making investments in 5G deployment, fiber connectivity, and AI-ready data centers increasingly challenging.
A task force, headed by the Secretary of the Ministry of Information Technology and Telecommunication, was established on June 29, 2026, to examine industrial electricity tariffs, smart grid solutions, and dedicated power feeders for telecom infrastructure. Its first meeting was held on August 4, 2026, under the chairmanship of the ministry’s Special Secretary.
$2 Billion Investment Planned Over Three Years:
Telecom operators have committed approximately $2 billion in investments over the next three years to expand 5G services and fiber connectivity across the country.
The planned investment also includes the development of AI-ready Tier III data centers to strengthen Pakistan’s digital infrastructure.
