Telecom Industry Seeks Lower Power Tariffs, Protection from Load-Shedding

Pakistan’s telecom industry has stepped up its push for lower electricity costs and greater protection from load-shedding, submitting detailed operational and financial data to a government task force considering industrial power tariffs for the sector.

Telecom operators have provided the task force with nationwide data on the number of telecom sites, their electricity consumption, and overall power expenses, as the government works on a mechanism to extend industrial electricity tariffs to the industry.

The companies have also submitted details on the financial impact of the difference between commercial and industrial electricity rates, arguing that high power costs have become a major component of their operating expenses.

According to sources, operators have shared data on the duration of load-shedding across different regions and the resulting disruption to mobile and digital networks.

The industry has also detailed the amount of diesel consumed during power outages and the cost of operating generators and other backup systems required to keep telecom sites running when grid electricity is unavailable.

Telecom companies have identified sites that remain heavily dependent on generators and alternative power systems while also providing information on critical installations that require uninterrupted electricity supply.

Sources said operators have also submitted records of electricity bill payments to the task force, along with information on their investment in Pakistan and the telecom sector’s broader contribution to the national economy.

The industry has maintained that mobile connectivity and digital services now form part of the country’s essential infrastructure and should therefore receive electricity treatment comparable to other industrial sectors.

Following the government’s move to recognize telecom as an industrial sector, officials have started developing a framework for the implementation of industrial electricity tariffs.

The task force is also reviewing proposals for smart-grid solutions and dedicated electricity feeders for telecom infrastructure, measures that could reduce network interruptions and dependence on diesel-based backup power.

Telecom operators argue that a combination of lower electricity tariffs and a more reliable power supply would help reduce operating costs while improving service continuity, particularly during prolonged outages.

A final decision has yet to be announced, but the data submitted by operators is expected to form the basis of the government’s assessment of how industrial tariff relief and load-shedding protection could be extended to the sector.