Pakistan Railways believed that right-of-way charges on fiber optic cables would provide the department with a respectable source of income.


Islamabad: Pakistan Railways decided to install fiber optics cables along the entire railway tracks across the country, in a partnership with investors from the private sector to increase the organization's earnings.
According to the official sources in the Ministry, Pakistan Railways has a 7,791-kilometer-long network of railroads that will both enhance the department's financial situation and attract investors.
The Ministry of Railways reportedly put up the issue at a meeting of the Economic Coordination Committee (ECC), where it was noted that the department was providing a fantastic opportunity for the installation of fiber optic cables along its track for digital connectivity throughout the nation.
They claimed that during the conference, Pakistan Railways disclosed that it had a 7,791 km network that connects the major cities in the four provinces and travels through areas with a high population density.
They claimed that despite having average assets and substantial pension obligations, Pakistan Railways' financial situation was deteriorating, and unless new revenue sources were found, the company's reliance on government subsidies would continue to increase.
According to the sources, Pakistan Railways believed that right-of-way charges on fiber optic cables would provide the department with a respectable source of income.
They claimed that the adoption of the business model of installing fiber optic cables in a joint venture with private-sector investors on railway land due to poor financial health and restricted income streams had already been summarized and communicated to the appropriate quarter by the Ministry of Railways.
Then, the sources claimed, the concerned quarter, while accepting the proposal, instructed the Ministry of Railways to draft a new policy in consultation with all parties that would help the development of the digital economy and present it to the ECC for review.
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