ISLAMABAD: Pakistan Railways has announced plans to lay fiber optic cables alongside its extensive railway tracks throughout the country, aiming to collaborate with private sector investors to generate revenue for the department.
According to official sources within the Ministry, Pakistan Railways boasts an impressive railway network spanning approximately 7,791 kilometers across the nation. This strategic initiative promises to enhance the department’s financial standing and presents an enticing opportunity for potential investors.
This proposal was a topic of discussion during a meeting of the Economic Coordination Committee (ECC). The Ministry of Railways highlighted the immense potential for digital connectivity across the country by installing fiber optic cables along its railway tracks.
During the ECC meeting, Pakistan Railways emphasized the significance of its 7,791-kilometer network, which traverses high-density population areas and connects major cities across all four provinces. Despite facing challenges such as substantial pension obligations and ailing financial health, Pakistan Railways expressed the urgent need to identify new revenue streams to reduce its reliance on government subsidies.
To address these concerns, Pakistan Railways proposed imposing right-of-way charges on fiber optic cables, asserting that this could be a substantial source of income for the department. In response to this proposal, the Ministry of Railways has already submitted a summary to the relevant authorities, advocating for establishing a business model that involves private-sector investors in laying fiber optic cables on railway land. This initiative aims to alleviate financial difficulties and expand revenue sources.
Subsequently, in agreement with the proposal, the concerned authorities instructed the Ministry of Railways to formulate a comprehensive draft policy in collaboration with all stakeholders. This policy would catalyze the growth of the digital economy and lay the foundation for presenting the matter to the ECC for further review and consideration. —APP
