The recent approval harmonizing right of way charges payable by the telecommunications companies and related public utility infrastructure on Local Governments, States and Federal Highways by the National Economic Council (NEC) has elicited reactions from industry experts.
It would be recalled that the major challenge faced by telecoms groups working on delivery of broadband infrastructure in parts of the country had been heavy charges and fees imposed by communities, councils and states before optic fibre can be laid along their roads or streets.
The matter had frustrated last mile achievement by telecoms and also frustrated investment speed of several service providers, especially licenced Infrastructure Companies (InfraCos) who are expected to wire the entire country with fibre optic to drive Open Access Model (OAM) adopted by the Nigerian Communications Commission (NCC) in driving broadband.
In fact a source at the NCC disclosed to Business Hilights weekend that issues bordering on RoW are the key problem in achieving the target broadband penetration percentage of 30 comes next year.
Giving more insights while briefing newsmen recently in Abuja, minister of Communication, Adebayo Shittu, said that the new policy will encourage co-location of the companies’ fibre optic cables.
According to him, picking reference from the recent harmonization of telecommunication masts after long years of defacing the environment, “the government wants to do the same for the laying of fibre optic cables which is becoming a burden on the Nigerian roads”.
“The trend is causing high cost tariffs due to multiple taxes charged telecommunication companies by the Federal, States and local governments.
“The new policy, he said, will minimise the spaces occupied, burden on the roads and reduce taxes payable by the telecommunication firms.
“The memo spelt out roles/responsibilities of LGCs, States and telecommunication operators in the management of Right of Way (ROW) issues.
He observed that “Most States are still charging different and higher rates, despite NEC’s resolution that mandate States to adopt and implement Federal Ministry of Works guidelines for grant of Right of Way to ICT service on Highways”.
“Current practice in Nigeria where various telecommunication operators design, survey, dig, deploy and manage their individual fibers networks amounts to duplication of efforts, multiple earthworks and trenches as well as increased administrative and licensing costs.
“The Memo invited all stakeholders to consider, adopt and approve the use of shared duct strategy, managed by a designated Agency in all tiers of government for the deployment of public utility infrastructure for effective and efficient service delivery and accelerated socio economic development of the country, particularly the transformation of our various cities, towns and villages to a smart status.
“Council asked the Ministry of Communication to liaise with the Stats and relevant stakeholders for the smooth implementation of the Right of Way project,” Shittu said.