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ISLAMABAD: The Senate Standing Committee on Information Technology and Telecommunication on Monday questioned the rationale behind the reported shift of Pak Datacom’s satellite services to a foreign satellite, raising national security concerns.
Senator Palwasha Mohammad Zai Khan chaired the committee meeting attended by Senator Kamran Murtaza, Senator Pervaiz Rashid and Senator Saadia Abbasi. Satellite communication, LDI/FLL court cases, Pak Datacom, network connectivity and matters related to the Pakistan Telecommunication Authority (PTA) came under discussion.
The committee was informed that limitations in national spectrum capacity were the primary reason for the reported shift. Officials further explained that YaSat was a UAE-based satellite company with majority government shareholding.
The committee stressed the importance of safeguarding national security and directed that clients be appropriately informed about the use of foreign satellite infrastructure. The chairperson also recommended that the matter be audited through the relevant forum, including NITSB.
The committee also deliberated on the cases of employees whose services were terminated by Pak Datacom and urged the authorities to examine the matter on humanitarian grounds.
Officials informed the committee that the matter was sub judice and would be decided by the relevant NIRC bench. The chairperson suggested that a favourable approach be considered, within the legal framework, until final adjudication of the cases.
The committee was briefed on an audit objection to an alleged excess collection of Rs6.58 billion by a telecom company following a quarterly tariff increase of 15 percent on mobile packages.
Director General Audit informed the committee that the initial proposal was for a 3 percent increase, whereas the approved increase was 15 percent. The Federal Audit also raised concerns over PTA’s policy allowing telecom operators to increase tariffs by up to 15 percent.
PTA, however, maintained that all prescribed procedural requirements had been fulfilled and stated that, after reconciliation, the amount involved was approximately Rs920 million. The committee members expressed serious reservations about both the tariff increase mechanism and what they termed as potentially exaggerated audit objections.
The committee was informed that the matter would be processed through the Departmental Accounts Committee (DAC) and subsequently the Public Accounts Committee (PAC). The chairperson directed the authorities concerned to submit complete record enabling verification of the respective claims made by Audit and PTA.
She further directed that the director finance and deputy director who signed the relevant documents ensure their attendance in the next committee meeting. Senator Sadia Abbasi presented the sub-committee’s report on internet connectivity and the reported disappearance of diesel from telecom towers across the country. The committee was informed that the issue of network disruption persists and that the prime minister had constituted a committee to ensure network availability and reduce the impact of load-shedding on internet and mobile services. The committee adopted the sub-committee’s report.
The committee also raised the reported change of Ufone’s name following the Ufone-Telenor merger. PTA informed the committee that any change of name would be made in accordance with applicable rules and regulations and after obtaining the necessary approvals from the federal government.
The committee was further informed that consultations among the relevant stakeholders were currently underway. Discussing the prolonged pendency of LDI/FLL court cases, the committee expressed concern over delays, particularly in cases involving significant financial liabilities.
PTA informed the committee that its jurisdiction had been challenged in these cases and that 38 cases were currently pending. It further apprised the committee that Telecom Tribunal had been constituted and was fully functional, with most pending cases transferred to the tribunal for adjudication.
The chairperson directed PTA to submit a comprehensive report on all pending cases, including the total financial amount involved in each case. The committee also discussed the outstanding amount of approximately $800 million reportedly owed by Etisalat in connection with the privatization of PTCL.
Secretary, Ministry of IT and Telecommunication, informed the committee that a non-disclosure agreement restricted the sharing of certain details. The chairperson directed the ministry to work out a mechanism to provide the committee with the required information while ensuring that the confidentiality provisions of the agreement with the UAE side were fully protected.
The committee expressed concern over persistent network connectivity issues, including in major cities of the country. Chairman PTA attributed some of the disruptions to the ongoing Ufone-Telenor merger process and the rollout of 5G services. He assured the committee that the connectivity issues would be addressed by October 2026.
The committee also discussed connectivity issues affecting Pakistan Railways. Chairman PTA assured the committee of full cooperation and support and suggested a meeting between PTA and the railway authorities to address the matter comprehensively. The committee urged PTA to extend maximum facilitation to Pakistan Railways to improve mobile and internet connectivity along railway tracks. The committee deferred consideration of the Starlink licensing issue after PTA informed members that no licence application from Starlink was currently pending with it.
PTA further clarified that all Low Earth Orbit (LEO) satellite network operators were required to fulfil the conditions prescribed under the law before obtaining an operating licence. The committee was informed that the PTA licence pertained to operations and that there would be no impediment once all legal and regulatory requirements were fulfilled.
