PTA Seeks Power to Reopen Telecom Merger Approvals Under Proposed Competition Rules 2026

The Pakistan Telecommunication Authority (PTA) has proposed expanding its regulatory powers by seeking the authority to review and reconsider approvals granted for major telecom sector transactions, including mergers, acquisitions, and other arrangements, at any time if market conditions change.

The proposal has been included in the draft Telecommunication Competition Rules 2026 prepared by the Ministry of Information Technology and Telecommunication (MoITT). Under the existing draft framework, PTA would be allowed to revisit decisions related to telecom transactions where new facts, regulatory concerns, or changes in market conditions emerge.

According to the proposed amendments, PTA has suggested removing the one-year limitation period currently mentioned for reviewing a transaction approval. The regulator has proposed new wording under which it may reconsider, modify, or withdraw its determination or approval whenever deemed necessary in light of changed market circumstances, material facts, regulatory considerations, or any subsequently available information.

The proposed changes would apply to telecom sector transactions that could affect competition, market concentration, infrastructure access, consumer welfare, or continuity of telecom services.

PTA may examine several factors while reviewing such transactions, including spectrum concentration, infrastructure sharing and access, interconnection arrangements, barriers to market entry, national roaming obligations, consumer impact and service continuity.

The framework covers transactions involving changes in company control, spectrum consolidation, mergers, acquisitions and joint ventures within the telecom sector.

Under the proposed rules, PTA may issue a no-objection certificate (NOC), impose transaction-specific conditions, require operational safeguards or make recommendations to relevant authorities after completing its review.

The draft also proposes that PTA may monitor compliance with competition rules and require telecom licensees to provide necessary information, reports or data.

The move comes as regulators worldwide continue to focus on maintaining competition in telecom markets, particularly as consolidation, infrastructure sharing, and spectrum management become increasingly important with the expansion of advanced connectivity services.

If approved, the amendment would significantly change the timeline for regulatory oversight of telecom transactions by allowing PTA to revisit previously approved deals beyond the current one-year review window.

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