The Senate Standing Committee on IT and Telecom on Monday witnessed a heated face-off between audit authorities and the Pakistan Telecommunication Authority (PTA). At issue was Jazz’s alleged recovery of Rs 6.58 billion from mobile users through tariff increases. The committee, chaired by Senator Palwasha Mohammad Zai Khan, examined the audit para closely.
The audit authorities maintained Jazz had been allowed to increase tariffs quarterly. Specifically, PTA policy permitted increases of up to 15% every quarter. However, the officials sharply questioned the legality of that policy itself.
“The audit para is not merely against Jazz; the PTA policy itself is against the rules,” audit officials told the committee.
The audit’s legal position rested on specific regulatory grounds. It cited Regulation 10(1)(l) of the Telecom Consumer Protection Regulations 2009. Under that rule, operators cannot charge tariffs above approved rates. Notably, Jazz’s own advertisements did not meet this requirement.
The audit findings raised several distinct concerns overall. Firstly, they argued PTA’s blanket approval policy works against consumers. Rather than reducing incentives, it permitted increases of around 75% yearly. Secondly, Jazz allegedly exceeded even the authorised 15% blanket limit. In 2022 and 2023, some package prices rose far beyond it.
The audit presented two separate bases for its calculation. Measured against PTA-approved rates, the overcharging reached Rs 6.58 billion. Using an alternate estimoppel calculation, the figure stood at Rs 920 million. Both figures appeared in the formal audit report annexures.
However, PTA officials firmly defended the tariff increases throughout. They insisted allowing 15% package raises falls within the Authority’s domain.
“PTA allows telecom companies to increase tariff packages within the limit of 15 percent,” they stated.
Consequently, a sharp exchange erupted over the policy’s legality. The dispute also touched on verification and market power. An audit team visited PTA headquarters in December 2025 for checks. That verification found PTA had actually allowed Jazz 15% increases. However, the discrepancy remains internal to the Telecom Policy 2015.
Several strong proposals emerged during the tense proceedings. Senator Kamran Murtaza suggested referring the matter to NAB for inquiry. Meanwhile, IT Minister Shaza Fatima Khawaja urged a full forensic examination. The chair also flagged the tariff document appearing signed at the wrong place.
The revenue figures underscored the scale involved dramatically. Jazz revenue climbed from Rs 172.24 billion in 2020 steadily. By 2024, it reached Rs 328 billion in total. Therefore, cumulative revenue rose roughly 90.4% over the base year. Meanwhile, average package price increases reached up to 45.6%.
The audit closed with several formal recommendations to proceed. It suggested referring the matter to the Competition Commission of Pakistan. Additionally, it urged a forensic examination of the Authority’s approvals. The committee directed authorities to provide complete records and clarify the legal basis.
