Device Identification Registration and Blocking System: FBR collets Rs90bn in collaboration with PTA

ISLAMABAD: The Federal Board of Revenue (FBR) with the help of the Pakistan Telecommunication Authority (PTA) has collected Rs90 billion since the implementation of the Device Identification Registration and Blocking System (DIRBS) as mobile devices imports via legal channels increased by around 70 percent.

According to the data released by the PTA, the import of mobile devices via legal channels has increased from 17.2 million in 2018 to 28.02 million in 2019 (63 percent increase) due to the implementation of the DIRBS.

In 2020, 32.83 million devices have so far been imported. The PTA has blocked 175,000 devices IMEI reported as stolen through the DIRBS. The system has also identified and blocked 24.3 million fake/replica mobile devices and 657,645 IMEIs, which were cloned/duplicated.

According to the PTA, the successful execution of the system has led to the establishment of 29 local assembly facilities. These facilities have produced over 20 million devices since 2019, with over 1.5 million 4G smart phones.

The implementation of the DIRBS has been the catalyst for local mobile devices manufacturing, providing level-playing field to the local manufacturers. It has also unleashed potential for placing Pakistan on the map of global mobile devices exporters. Furthermore, through the DIRBS, the FBR has collected a total of Rs90 billion in custom duties during January 2019 to November 2020 on formal imports.

This is Rs68 billion more than custom duties collected in 2018 i.e. Rs22 billion (309 percent increase). Moreover, the DIRBS has also enabled Rs9 billion revenue collection under individual category during the period from 15 January 2019 to 3 December 2020.

Prior to the DIRBS implementation, this was an untapped area and no revenue was being collected in the category. The PTA launched the DIRBS from January 15, 2019. As per directives issued by the federal government, all mobile devices which were already activated on cellular mobile networks within Pakistan by 15th January 2019, would remain operational without service disruption.

Even non-compliant devices in operation prior to this date were tied to these numbers and remained operational till the useful life of the device. In light of the federal cabinet's decision, 357 million IMEI were converted to complaint and paired status. All devices that were connected after 15th January 2019 were required to register within 60 days from the first seen on network.

According to the official data, a total of 10,273,531 devices seen on network were blocked on rolling basis upon lapse of 60-day period. Prior to blocking, as per SOP, SMS was sent to consumer informing of device being blocked due to non-registration.

Initially, the federal government decided that all mobile phones imported in the country by international travellers either for personal use or commercial purposes should be registered through the DIRBS, and in case of more than one phone, one will have to pay taxes. However, mobile phone would not be blocked automatically after 60 days, and one has to register it with the PTA during this period after paying duty/taxes.

Copyright Business Recorder, 2020