T
he Auditor General of Pakistan has expressed concerns over the non-recovery of Rs. 389.219 million in dues owed by telecom operators to the Pakistan Telecommunication Authority (PTA), as outlined in the Audit Report for FY 2022-23. These unpaid dues relate to contributions for the Universal Service Fund (USF), Research & Development (R&D) fund, Annual License Fees (ALF), and Annual Radio Frequency Spectrum Fees (ARSF), which are part of the telecom operators’ license conditions.
The report highlights that operators are required to contribute 1.5% of their annual gross revenue to the USF and 0.5% to R&D, with an additional 0.5% due as ALF within 120 days after the end of the financial year. Late payments incur a 2% monthly penalty, adding to the outstanding dues. PTA records show a total of Rs. 414.39 million in receivables from these contributions, fines for poor service quality, and spectrum fees. However, PTA has only managed to recover Rs. 25.17 million, leaving Rs. 389.218 million still unpaid.
PTA acknowledged the delay, citing legal challenges such as stay orders from courts and some operators directly depositing payments with the Ministry of Information Technology and Telecommunications (MoITT). However, the Auditor General rejected these explanations and urged PTA to take swift action to recover the outstanding balance.
The Departmental Accounts Committee (DAC) instructed PTA in a December 2023 meeting to expedite recovery efforts and resolve pending legal cases. The audit report recommends full implementation of DAC’s directives to resolve legal hurdles and collect the outstanding dues. No significant progress had been made by the time the audit report was completed.
