The Pakistan Telecommunication Authority (PTA) is set to grant a licence for establishing, maintaining, and operating a system to provide Fixed Satellite Services (FSS) in the country. This move opens the door for satellite-based broadband, backhaul, and data communication facilities across Pakistan.
Fixed Satellite Services Green Signalled
According to the licence terms, the operator will be authorized, on a non-exclusive basis, to set up and run fixed earth stations, VSATs, gateway earth stations, and related terrestrial transmission facilities connecting with the Public Switched Network. The services will include satellite broadband, bandwidth provision to PTA licensees, corporate intranet solutions, and backhaul services.
Conditions and Agreements
For the licence, the operator must pay an Initial Licence Fee (ILF) of US$500,000. Annual contributions include 0.5% of gross revenue as Annual Licence Fee (ALF), 1.5% toward the Universal Service Fund (USF), and 0.5% as Annual Spectrum Usage Fee (ASUF). These charges will be calculated on gross revenue from licensed services, minus inter-operator costs and PTA/FAB mandated payments.
The licensee must comply with the Pakistan Telecommunication (Re-organization) Act, relevant rules, and the Pakistan Space Activities Rules 2024. Gateway and VSAT stations must be registered with PTA, and subscriber data maintained and shared upon demand.
The licence does not allow Direct-to-Home (DTH), mobile satellite, direct-to-cell/device services, broadcasting, or internet to Earth Stations in Motion (ESIMs) without separate authorization. PTA requires that the licensee start services within 18 months of the licence’s effective date and establish at least one gateway earth station within Pakistan during that period.
Use of radio frequency spectrum for FSS remains subject to allocation by the Frequency Allocation Board (FAB). The licensee must use ITU and FAB-designated systems to report and resolve harmful satellite interference.
Industry insiders say the move could boost connectivity in underserved regions, support telecom backhaul, and expand Pakistan’s digital infrastructure footprint. However, competition may remain limited due to high entry costs and regulatory constraints.
Scope of the Licence
This licence authorizes the licensee to establish, maintain, and operate a Licensed System within Pakistan, on a non-exclusive basis, for the provision of Fixed Satellite Services in accordance with clauses 1.2 to 1.4.
Licensed System
Subject to the licence terms, the licensee is authorized to establish, maintain, and operate:
- Fixed Earth Stations including Fixed Terminal Earth stations/VSATs
- Fixed Gateway Earth Stations
- Associated terrestrial transmission facilities, only to connect its Fixed Gateway Earth Station with the Public Switched Network
- Any other telecommunication system, with prior PTA approval
Licensed Services
The licensee is authorized to provide the following FSS to end users and PTA licensees in Pakistan using its Licensed System through a Registered Satellite Operator:
- Satellite broadband services
- Backhaul services to PTA licensees
- Provision of satellite bandwidth to PTA licensees for their telecommunication services
- Intranet services for corporate networks
- Any other FSS approved by PTA
The licensee must interconnect its Fixed Gateway Earth Station with an LDI Licensee to obtain international IP bandwidth for data traffic exchange.
Fixed Satellite Services Limitations Under the Licence
The licence does not authorize:
- Establishing or operating a terrestrial-only Public Switched Network
- Direct interconnection with telecom systems outside Pakistan
- Services using only terrestrial network elements
- Mobile Satellite Services
- Internet service to ESIMs without separate PTA authorization
- Radio or TV program distribution or broadcasting
- Direct-to-Home (DTH) services
- Direct-to-Cell/Device services
- Any other prohibited activities or telecom services as notified by PTA.
Compliance with Law
The licence remains subject to the Pakistan Telecommunication Act, Rules, Policies, and Regulations. In case of conflict, these legal provisions prevail. The licensee must comply with the Radio Frequency Spectrum Regulations 2021, Pakistan Space Activities Rules 2024, and subsequent amendments.
All Fixed Gateway Earth Stations, Satellite Hub Sites, and VSATs must register with PTA before installation or relocation. PTA will share this data with FAB to manage interference. Operators must maintain subscriber records and submit them to PTA when required, ensuring no unregistered subscriber uses the service.
Operators must terminate all transmissions before relocating any Fixed Terminal Earth Station unless PTA grants specific authorization.
Network Rollout
(a) The licensee must begin providing services within 18 months from the Effective Date.
(b) The licensee must establish at least one Gateway Earth Station within Pakistan during the same period and maintain adequate capacity and security compliance for the full term of the licence. Leasing from another PTA licensee is allowed if the lease covers the entire licence term.
Payment of Fees
The licensee must pay the Initial Licence Fee (ILF) of US$500,000 before the Effective Date.
The Annual Licence Fee (ALF) will be 0.5% of annual gross revenue from licensed services, minus eligible deductions. Similarly, a 1.5% Universal Service Fund (USF) contribution and a 0.5% Annual Spectrum Usage Fee (ASUF) apply, with deductions allowed only on actual payments. The licensee will be eligible for USF projects in rural and underserved areas.
Radio Frequency Spectrum
Use of spectrum remains subject to FAB allocation. In case of interference, the licensee must follow FAB or PTA directions, which may include equipment adjustments or service suspension in the affected range.
The licensee must use the ITU Satellite Interference Reporting and Resolution System (SIRRS) or FAB’s authorized portals to report and resolve interference issues. FAB remains Pakistan’s notifying administration for ITU space services.