The federal government has announced the abolition of Right of Way charges on federal land, beginning with Islamabad, in a major step to support telecom infrastructure development. The move, approved by the Capital Development Authority (CDA) Board, is part of a broader plan to standardize rates across the country and remove operational hurdles for telecom companies.
According to the Ministry of IT, the CDA Board has formally approved the removal of Right of Way charges in Islamabad, reducing the cost to zero. Discussions are underway with the National Highway Authority (NHA) and Pakistan Railways to implement the same decision, while other federal bodies are also expected to waive these charges as part of the initiative.
The Ministry of IT confirmed that amendments to the Pakistan Telecommunication Act are in progress to ensure a uniform Right of Way charges structure nationwide. Prime Minister Shehbaz Sharif directed these amendments to remove discrepancies between regions and authorities. Once enacted, the standardized rates will apply across Pakistan, streamlining processes for telecom operators.
Eliminating Right of Way Charges to Boost Network Expansion
Officials explained that the decision is designed to remove barriers that have slowed the expansion of fiber optic and broadband networks. Eliminating Right of Way charges is expected to facilitate faster network rollout, especially in underserved rural and suburban areas, closing connectivity gaps and boosting service reach.
Industry analysts believe that reducing network deployment costs will encourage greater investment, intensify competition, and improve service quality. The Ministry of IT also anticipates significant economic benefits, as improved connectivity can fuel the growth of Pakistan’s digital economy.
Despite the approval of a national Right of Way policy in 2021, telecom companies continued to face delays, inconsistent charges, and bureaucratic red tape from multiple authorities. Stakeholders are hopeful that the current decision will finally resolve these challenges, paving the way for rapid digital infrastructure expansion across the country.