MoITT Pushes for 5G Auction Despite Legal Disputes on Key Spectrum Bands
The Ministry of Information Technology and Telecommunication (MoITT) has recommended going ahead with the much-awaited 5G spectrum auction, despite ongoing legal disputes over some of the country’s most critical frequency bands. The proposal was discussed during a meeting of the subcommittee of the National Assembly Standing Committee on Information Technology and Telecommunication, chaired by Barrister Gohar Ali Khan. The meeting was convened to review the litigation surrounding spectrum-related cases and their potential impact on the 5G rollout. It also aimed to assess how delays caused by stay orders have led to significant financial losses to the national exchequer.
Spectrum Gridlock: 2600, 2100, and 1800 MHz in Court
According to official information presented by the Pakistan Telecommunication Authority (PTA), nearly 151.6 MHz of radio spectrum is currently locked in court battles. This includes major segments of the 2600 MHz, 2100 MHz, and 1800 MHz bands, all of which are globally recognized as essential for 5G services.
The 2600 MHz band, in particular, is viewed as prime 5G spectrum. However, 140 MHz of it is currently occupied by Southern Networks Ltd. (SNL), which is using it for TV broadcasting under obsolete technology. SNL has been operating under a Sindh High Court stay order since 2007, severely limiting the spectrum available for auction. Only 54 MHz is currently unencumbered, falling far short of what is required. According to a report by NERA, the international consultant engaged for auction design, a full 194 MHz should be offered to ensure a competitive and impactful 5G rollout.
The PTA informed the committee that this matter is now under appeal in the Supreme Court of Pakistan, with CPLA No. 722/2024 filed to challenge the SHC ruling. Counsel appointed by the PTA and the Frequency Allocation Board (FAB) are making efforts to expedite the hearing.
The 2100 MHz band is also under legal dispute due to a case filed by CMPak (Zong). The operator challenged the MoITT’s 2021 decision that directed it to vacate 5 MHz of spectrum and pay charges due. Although the Islamabad High Court and the Ministry had already ruled in favor of the government, CMPak took the matter to the Sindh High Court, which granted a stay order on April 16, 2021. Despite over 40 scheduled hearings, the case remains unresolved. The matter has now been transferred to the District Court, South Karachi, and is currently set for hearing on November 20, 2025.
In the 1800 MHz band, CMPak is also involved in another major legal dispute involving 6.6 MHz of spectrum. The Islamabad High Court had earlier ruled in favor of PTA in August 2024, but CMPak filed an appeal in the Supreme Court, which issued a stay order on September 25, 2024. The case is now scheduled for a hearing during the week starting May 5, 2025. The total outstanding dues related to this case are considerable, as PTA had demanded a payment of $29.5 million per MHz, bringing the total to nearly $194.7 million.
Billions in Losses and Regulatory Concerns
The legal deadlock is not only blocking technical progress but also inflicting severe financial damage. As per PTA’s calculations, the government has already lost an estimated $246 million due to just two of the disputed bands. For the 1800 MHz band, the loss stands at $117 million, which includes a principal amount of $71 million and $46 million in Late Payment Additional Fees (LPAF). In the 2100 MHz case, the national exchequer has been deprived of $129 million, comprising $70 million in base charges and $59 million in LPAF.
Parallel Auction Planning Amid Legal Battles
The MoITT has proposed moving forward with the auction process in parallel with the ongoing legal proceedings, however, both PTA and FAB have taken a more cautious stance. According to PTA officials, any auction conducted while the spectrum is under dispute could harm transparency, discourage investor confidence, and result in an uneven playing field among operators. They emphasized that a clean spectrum is essential for the successful execution of the 5G rollout.
There are currently 50 active court cases related to spectrum and licensing issues, with 44 of them under stay orders. Many of these have dragged on for years, delaying decisions and halting the recovery of dues. The PTA has taken steps to resolve these matters by filing early hearing applications, coordinating with the Attorney General’s office, and recommending that a Deputy Attorney General be appointed to ensure proper representation in court. The regulator has also suggested the appointment of a tribunal member to fast-track appeal proceedings.
The Member Legal of MoITT stressed during the meeting that Pakistan cannot afford further delay in launching 5 G. While acknowledging the legal complications, he recommended that the auction planning should proceed simultaneously to ensure Pakistan is not left behind in the global 5G race.
However, until court cases are resolved and spectrum is made fully available, the practical implementation of 5G will remain a challenge. The next few months will be critical in determining whether Pakistan can unlock its 5G potential or continue to remain stuck in a cycle of legal and regulatory uncertainty.
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