In a bid to fast-track Pakistan’s digital infrastructure, the federal government has scrapped Right of Way (RoW) charges on federal land in Islamabad. The decision, cleared by the Capital Development Authority (CDA) Board, effectively reduces the fee to zero for telecom companies laying cables or equipment on federal territory.
This policy shift is the first step in a wider plan to standardize such fees across the country. Talks are already underway with the National Highway Authority (NHA) and Pakistan Railways to follow suit, while other federal agencies are expected to align with the same approach.
Legal Changes on the Horizon
The Ministry of IT says amendments to the Pakistan Telecommunication Act are in progress to make uniform RoW rules legally binding nationwide. Prime Minister Shehbaz Sharif has pushed for these changes to eliminate the patchwork of rates and regulations that telecom firms currently face. Once approved, the reforms would streamline the approval process and remove one of the sector’s most persistent bottlenecks.
Why It Matters for Connectivity
Removing RoW fees could significantly lower the cost of deploying fiber optic networks, particularly in rural and underserved areas where returns are slower for operators. Officials expect the move to accelerate broadband rollout, bridging digital divides and bringing high-speed internet to more households and businesses.
Industry observers say the cost savings could also encourage new investment, increase competition, and ultimately improve service quality for consumers. The Ministry of IT believes the policy will have ripple effects across Pakistan’s economy, fueling growth in e-commerce, remote work, and the broader tech sector.
A Long-Standing Problem
While a national Right of Way policy was introduced in 2021, telecom operators have continued to face inconsistent fees, red tape, and delays from multiple authorities. This latest decision, stakeholders hope, will finally clear the path for faster, smoother expansion of the country’s digital backbone.
