ISLAMABAD:
Auditors have raised objections to the payment of compensation to members and chairman of the Pakistan Telecommunication Authority (PTA). The government has made an amendment to the Pakistan Telecommunications (Reorganization) Act, allowing civil servants to get compensation.
Sources told The Express PK Press Club that the President and members of the PTA were paid salaries in the MP-I and MP-II scales respectively, as well as admissible allowances in the senior cadre ranks, as approved by the Division of finances in office memoranda dated January 17. 2007 and September 7, 2009.
However, an audit has raised objections to the payment of senior executive allowances to the president and members, recommending that they only receive allowances eligible under the executive pay (MP) scales. This divergence between the audit’s view and that of the Law and Justice Division has created ambiguity over salary and allowances.
To resolve this issue, the PTA, through a letter dated May 23, 2024, sought an amendment to Section 3(7) of the Pakistan Telecommunications (Reorganization) Act, 1996 to authorize the Prime Minister to determine the remuneration of the president. and PTA members.
The PTA was established under Section 3 of the Pakistan Telecommunications (Reorganization) Act, 1996. The authority comprises four members, one of whom is appointed as the chairman with the approval of the federal government.
Section 3 (7) of the Act relates to the salary and privileges of the Chairman and members of the authority, and provides that members of the authority shall receive the salary and be entitled to the privileges of an officer of the MP- II, and the President is paid and entitled to the privileges of an officer of the MP-I.
The Law and Justice Division, through a memorandum dated August 3, 2021 regarding section 3(7) of the Act, clarified that the words “salary” and “privileges” were not not related and should be read separately. Therefore, the members and chairman of the authority are entitled only to privileges equivalent to officers in the MP-II and MP-I scales, respectively. It was noted that at present, the President and members of the PTA were receiving salaries according to the MP-I and MP-II scales respectively, as well as admissible allowances at the senior executive levels, as approved by the Finance Division.
In this context, it was observed that unlike the Pakistan Telecommunications (Reorganization) Act, 1996, laws governing other regulatory authorities under the administrative jurisdiction of the Cabinet Division, such as the Telecommunication Authority Oil and Gas Regulation (Ogra), National Electric Power Regulatory Authority (Nepra), Special Technology Zones Authority (STZA), Naya Pakistan National Housing and Development Authority (Naphda), National Development Authority and regulation of Seeds (NSDRA) and National Anti-Money Laundering and Counter Financing of Terrorism Authority, authorized the Federal Government or the Prime Minister to determine the remuneration of their chairmen and members.
In a recent cabinet meeting, it was emphasized that to remove any ambiguity in the Pakistan Telecommunications (Reorganization) Act regarding the remuneration of the Chairman and members of the PTA and to bring the remuneration in line with that of other authorities Regulation, the Cabinet Division proposed that section 3(7) of the Act be amended to authorize the Federal Government to determine the overall remuneration of the President and members of the PTA. Accordingly, a draft amendment to the Pakistan Telecommunications (Reorganization) Act has been forwarded to the Ministry of Justice for consideration. The cabinet was informed that the Ministry of Justice had reviewed the Bill advising that the Cabinet Division should seek approval, in principle, from the Federal Government in accordance with Rule 27 read with Rule 18 of the Operating Rules from 1973.
The proposed amendment to Section 3(7) is that the President and members of the PTA shall receive remuneration for their respective terms of office as may be determined by the Federal Government. Accordingly, cabinet approval was sought for the amendment of Section 3 (7) of the Act. The cabinet considered a summary titled “Amendment to Section 3(7) of the Pakistan Telecommunications (Reorganization) Act, 1996” and approved the proposal.
