Pakistan Moves Toward Cheaper Electricity for Telecom Companies to Support 5G
ISLAMABAD, November 11, 2026: Pakistan’s government is considering extending industrial electricity tariffs to telecommunications infrastructure, potentially reducing operating expenses for major mobile operators and supporting investment in 5G networks.
Prime Minister Shehbaz Sharif has directed a special task force to finalise recommendations in consultation with the Power Division and Finance Division.
According to Business Recorder, the proposal follows a joint request from Jazz, Zong, Ufone, Telenor and PTCL.
Why Are Telecom Companies Demanding Cheaper Electricity?
Telecommunications companies argue that their infrastructure continues to face commercial electricity tariffs despite the sector’s recognition as an industry under existing government policies and legislation.
According to figures presented by telecom operators, commercial electricity tariffs for their sites have increased approximately 197% since 2018.
During the same period, fuel costs reportedly increased by 300%, while average revenue per user declined by approximately 22%.
The companies say these pressures are making network expansion increasingly expensive.
Which Telecom Infrastructure Could Receive Lower Tariffs?
The proposed arrangement would apply to essential telecommunications infrastructure rather than every facility operated by telecom companies.
| Infrastructure | Proposed Eligibility |
|---|---|
| Mobile towers and BTS sites | Included |
| Switching centres | Included |
| Network operating centres | Included |
| AI and cloud data centres | Included |
| Fibre network nodes | Included |
| Corporate offices | Excluded |
| Retail outlets and franchises | Excluded |
The Pakistan Telecommunication Authority (PTA) would certify eligible infrastructure under the industry’s proposal.
How Could Cheaper Electricity Support Pakistan’s 5G Network?
Telecom companies say they have committed approximately $2 billion in investment over the next three years for 5G deployment and fibre expansion.
Lower electricity expenses could allow operators to redirect additional resources toward network improvements.
Potential benefits include expanded rural coverage, improved internet infrastructure and investment in data centres.
However, these outcomes depend on actual investment decisions and implementation of the proposed tariff arrangement.
Will Mobile Internet Packages Become Cheaper?
Lower electricity costs will not automatically reduce mobile internet or call package prices.
The proposed relief targets telecom companies’ operational expenses rather than consumer tariffs.
Any reduction in mobile package prices would depend on commercial decisions, competition and applicable regulations.
Consumers should therefore not expect immediate reductions in Jazz, Zong, Ufone or Telenor packages.
When Will the New Electricity Tariffs Take Effect?
The task force was established on June 29, 2026, and held its first meeting on August 4.
It must now examine the financial implications of lower tariffs and propose how the difference between commercial and industrial rates could be managed.
Telecom operators have requested either industrial tariff treatment or a separate Digital/Telecom Infrastructure electricity category.
As of November 11, 2026, no final tariff rate or implementation date has been announced.