Pakistan Railways Raises Right-of-Way Charges: A Boost for Revenue Generation

Pakistan Railways has Raised the Right of Way (ROW) Charges Significantly for Telecom Operators, aiming to Boost Revenue. The Charges for a Single-track Crossing have been increased to Rs. 3.8 Million for a Period of five Years. Previously the Charges were Rs. 100,000 Per track Crossing for a Decade when Telecom Operators installed fiber Broadband. In 2007 the Charges rose to Rs. 2.7 Million for five years due to the expanding use of fiber Broadband. However, in 2022, the PTI-led Government reduced the Charges to Rs. 600,000 per Crossing for a lifetime to Promote fiber Broadband.

In contrast, Cable TV Operators Continue to pay only Rs. 100 per Year.

Pakistan Railways with its extensive 7,791-Kilometer Railway network across the Country, has Proposed Laying fiber Optics Cables along the tracks in a joint Venture with Private Sector investors. This initiative aims not only to improve the Financial Condition of Pakistan Railways but also to attract investments.


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During a meeting of the Economic Coordination Committee (ECC), the Ministry of Railways Highlighted the Opportunity for laying fiber Optics Cables along the Railway tracks Providing digital Connectivity throughout the Country. The Railway Network Passes through High-density Population areas Connecting major Cities in all four Provinces.


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Given the financial Challenges faced by Pakistan Railways, including High Pension Bills and reliance on Government Subsidies, the Railway authorities believe that the Right-of-way Charges on fiber Optics Cables can become a Significant Source of Earnings. This move aligns with efforts to identify new revenue Sources and improve the Overall financial Health of Pakistan Railways.