In a major move that could help spread internet services to small towns and villages, the Pakistan Telecommunication Authority has decided to allow creation of companies at district level.

PTA has decided that the jurisdiction of Data Class Value-Added Services will be spread out from provinces to districts.

The Authority hopes this will take the number of internet users from three million to 10 or 12 million.

In addition to spreading internet to far flung areas, the move will also create thousands of jobs and create as much as Rs3 billion in additional revenue, Business Recorder reported.

Advancements over the last two decades have rendered the existing scope of Data CVAS License not to be corresponding to the evolved technological shifts, the report added.

As many as 5,000 people have already expressed interest in acquiring the district-level licenses, meaning the move could pay dividends quickly.

“Startups, entrepreneurs and young technical graduates showing keen interest in acquiring small area license beside Cable TV operators who are interested to offer quality internet services utilising their current OFC infrastructure, established under PEMRA’s Cable TV license,” Business recorder said.

However, under the rules envisioned by the PTA, one company will only be allowed to have license to provide internet to one district.

The duration of the license could be rought down from 15 years to 10 years. However, the initial fees for the license could be raised from Rs5,500 to Rs20,000.