In order to maintain price flexibility, protect consumer interests, and stop other telecommunication services from being cross-subsidized, the Pakistan Telecommunication Authority (PTA) has created the “Tariff for Cellular Mobile Telecommunication Services Regulations, 2024.”
When determining the level of retail tariffs that licensed services providers charge customers, these laws will be applicable to all cellular mobile licensees.
The following guidelines must be followed by all Cellular Mobile Licensees when determining the rate at which they will offer Cellular Mobile Telecommunication Services:
Tariffs should be established at a level that gives an acceptable rate of return on investments, taking into account the cost of operations. There should be no cross-subsidization of other communications services. Pricing flexibility should be maintained while safeguarding and defending consumer interests.
Procedures for Tariff Approval
Licensees with and without Significant Market Power (SMP) licenses must follow different approval processes for rates.
Non-SMP Licensees: They are free to establish and modify their tariffs on their own, as long as they provide customers and the PTA at least seven days’ notice before doing so. In the event that these tariffs negatively impact consumer interests, the PTA retains the authority to adjust them.
SMP Licensees: These licensees have to give the PTA comprehensive proposals at least fifteen days before to the planned launch, which must include the standards for setting rates. Complete cost information and computations must be included in the proposals to guarantee that the tariffs won’t result in extortionate or predatory pricing.
