Global firms allowed to launch satellite services
PHOTO: AA/FILE
The caretaker government has approved the National Space Policy to allow private-sector companies to use low-orbit satellites in the space to start satellite communication services for people.
The government has estimated an annual economic loss of $40 million to the country owing to the unregulated space sector where 70% of resources remain unutilised. Starlink may be the first company to launch low-orbit satellite services for satellite communications, which has already a network of 3,000 to 4,000 low-orbit satellites in the space.
Talking to a select group of journalists on Thursday, Caretaker Information Technology and Telecommunication Minister Umar Saif said that all international companies would be allowed to launch satellite communication services in Pakistan after obtaining a no-objection certificate from the Ministry of Defence.
To promote the initiative, the private sector will give 6% of its income to the Research and Development (R&D) Fund of the government.
The minister said that Pakistan Telecommunication Authority (PTA) would issue licences to the interested private parties for satellite communication services.
He added that Pakistanis, especially those living in remote areas where no fibre cable network was available, would be able to use low-orbit satellite services for communications. “The cabinet has already approved the policy.”
According to sources, the cabinet was briefed in a recent meeting that the National Space Policy was vital to fully exploit the space potential as the policy would provide the requisite framework for responsible and profitable space activities, promote economic sustainability and enhance the country’s global standing.
The cabinet was informed that Pakistan had no such policy, which adversely impacted the development of its space sector. Also, owing to the unregulated space sector, 70% of resources remained unutilised, leading to estimated economic losses of $40 million annually.
Read SpaceX signs deal to launch key European satellites
The cabinet was told that for the space sector, Pakistan lacked a clear strategic direction, commercialisation guidelines and mechanisms for public-private partnerships and joint ventures. As a result, national projects were heavily reliant on foreign loans, placing a substantial burden on the national exchequer.
It was highlighted that the National Space Policy had been diligently and meticulously devised to establish a comprehensive guiding framework after consultations with all key stakeholders, including the Ministry of IT, PTA, Pakistan Electronic Media Regulatory Authority (Pemra) and the Frequency Allocation Board (FAB).
A cabinet member pointed out that the policy envisaged gaining maximum benefits from space technology and applications, covering the entire spectrum of space activities, including civil and commercial use as well as national security.
He explained that during the course of formulating the policy, certain issues had cropped up that needed well-informed solutions and the way forward.
Concerns were expressed regarding the ambit of Suparco and how to protect its interest. In response, it was clarified that the policy stipulated that the private sector would give a percentage of its income to the R&D Fund of the government.
Another cabinet member emphasised that “since space is a sensitive matter, permissions need to be taken from all the players and entities involved”.
A member was of the view that as a matter of policy, the same entity should not be both a regulator as well as service provider, as it constituted a conflict of interest.
The cabinet expressed satisfaction with the arrangement of the policy and approved the proposal with due consideration.
Published in The Express Tribune, January 5th, 2024.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.