The Pakistan Telecommunication Authority (PTA) has proposed a comprehensive new licensing regime for Internet of Things services.
The draft IoT and Low Power Wide Area Networks (IoT-LPWAN) Licensing Regulations 2026 create separate tiers for commercial operators, private networks, research sandboxes, and software platforms.
At the core sits a five-year commercial license. It means any entity providing IoT services to third parties through designated LPWAN frequency bands will need this license from the PTA. It carries a non-refundable processing fee of Rs 5,000 and an initial license fee of Rs 100,000.
Notably, this is significantly cheaper than the Rs 300,000 fee under the earlier district-level framework. The lower barrier could encourage more startups and smaller operators to enter the market.
However, the framework extends well beyond commercial operators. Private IoT networks on a single premise, such as farms, factories, campuses, or industrial plants, will also require registration. These can only serve internal use and cannot offer services to outside parties. That registration costs Rs 10,000 plus Rs 5,000 for processing and remains valid for five years.
For companies testing new IoT concepts, the PTA created a dedicated sandbox category. This one-year registration costs just Rs 2,000 plus Rs 1,000 for processing. Additionally, IoT platform and application providers building software on top of IoT data will need their own five-year registration at Rs 10,000. This category captures the growing layer of companies that never touch hardware but build analytics, dashboards, and services using device-generated data.
Several categories remain exempt from separate licensing. Cellular operators like Jazz, Zong, and the merged Ufone-Telenor can offer IoT services through their existing spectrum licenses without additional paperwork.
Similarly, devices operating in shared Short Range Device and Ultra-Wideband spectrum bands stay exempt. IoT device importers also avoid separate licensing, though they must still comply with type-approval requirements.
One condition in the framework carries real teeth. All IoT operators must route their backend traffic, including satellite backhaul, through a PTA-licensed Local Access Provider. Connecting through an unlicensed operator triggers automatic cancellation of the license or registration. This requirement ensures all IoT data flows through regulated channels, giving the PTA visibility into network traffic.
The operational requirements add further accountability layers. Licensed operators get one year from their effective date to launch services and obtain a commencement certificate. Missing that deadline means automatic cancellation, though the PTA may grant a single six-month extension.
Furthermore, operators must submit quarterly reports on active IoT connections and gateway counts, with district-level breakdowns required for commercial licensees.
The proposed frequency bands for LPWAN applications sit at 433.05 to 434.79 MHz and 920 to 925 MHz. Maximum transmission power caps at one watt. All IoT operations in these bands run on a secondary, non-interference, non-protection basis. The PTA retains the right to suspend or restrict services for national security or public safety reasons at any point.
Additionally, the Frequency Allocation Board can consider exclusive frequency assignments on a case-by-case basis.
The regulations identify ten major application areas spanning smart cities, energy utilities, agriculture, environmental monitoring, industrial automation, logistics, healthcare, education, and public safety. For context, PTA previously issued IoT licenses to 23 companies under the earlier framework in April 2026.
Those existing licenses will carry over under the new regulations for their remaining validity, provided operators comply with updated requirements within 90 days.
