The funds are utilised by Universal Service Funds (USF) and National ICT R&D funds for establishing basic infrastructure and service promotion of telephony and Internet services in rural under-served and un-served areas of the country.
Official sources said operators’ contribution for USF-run projects have increased to Rs 38 billion at the rate of 1.5 percent share of their yearly gross revenue whereas an amount of over Rs 2 billion has been submitted in the ministry for ICT R&D projects at 0.5 percent of annual earnings.
USF has awarded Rs 15.5 billion contract in different provinces to various telecom operators so far — however development work has stopped since last March 2010 on the directives of then minister-Incharge MoITT, Sardar Latif Khan Khosa.
The two organisations were dissolved by the ministry last year. Whereas, the ministry also had to remain nonfunctional due to absence of minister and secretary.
In such a chaotic situation, the telecom operators have asked the federal government to utilise the funds properly or they will stop paying their contribution to these organisations otherwise.
The operators made this demand to the federal government because they get penalised by Pakistan Telecommunication Authority if they don’t pay their contribution to these organisations on time. On the other hand, they had serious reservations over the issues of the MoITT. The minister and secretary have now been deputed recently in the ministry.
via Daily Times
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