The Chief Executive Officer of Lifinet, Abraham Oluwambe, has called for a reduction in Right of Way charges as part of the implementation of the recently passed Critical National Information Infrastructure (CNII) order.
He stressed that reducing these fees would accelerate the deployment of telecom infrastructure across Nigeria and support the country’s digital economy goals.
The internet service provider stated in a statement on Tuesday that while the CNII’s focus on protecting telecom assets is commendable, it is equally important to address the financial barriers posed by excessive RoW charges, particularly in rural and underserved areas.
RoW refers to the permissions granted to telecom companies to install, maintain, and upgrade infrastructure, such as fibre optic cables, cell towers, and antennas on public or private property.
In August, the Federal Government released the official gazette titled Designation and Protection of Critical National Information Infrastructure Order, 2024. This Order seeks to safeguard critical information infrastructure in the telecoms sector.
The push for CNII has long been championed by the Association of Licensed Telecom Operators of Nigeria, which has advocated for its passage for several years.
The bill was deliberated upon in the National Assembly and forwarded to President Bola Tinubu, who eventually signed it into law, solidifying its status as a protective measure for telecom infrastructure.
“The passage of the CNII is a significant step towards safeguarding our infrastructure from vandalism and theft,” Oluwambe said. “However, to fully realise the benefits, we must also ensure that operators can deploy infrastructure seamlessly. Reducing or abolishing RoW charges is essential to encourage investment in these critical areas.” ...Read Full Article [Click Here>]
He explained that many states still impose high RoW fees, which discourage investment in broadband expansion. “If we want to bridge the digital divide and improve connectivity, particularly in remote areas, RoW charges should be reduced to a reasonable amount,” he added.
The telecom expert also emphasised the potential benefits for state governments, noting that better connectivity will lead to increased business activity and, ultimately, higher tax revenues.
He called on industry stakeholders to collaborate with the Office of the National Security Adviser, the body responsible for implementing the CNII, to ensure the new legal framework leads to meaningful improvements in telecom infrastructure deployment.
Oluwambe concluded, “Now that the CNII has been passed, it’s crucial that we focus on removing any remaining obstacles, such as RoW charges, to ensure rapid and efficient infrastructure expansion across Nigeria.”
In 2013, the National Economic Council agreed on a maximum RoW charge of N145 per linear metre, a policy meant to streamline the costs for telecom operators and accelerate broadband deployment.
However, several state governments have since violated this agreement, demanding higher fees and making it difficult for telcos to expand their networks.
“Some states are still charging far more than the N145 per metre agreed upon,” said the Chairman of the Association of Licensed
Telecommunications Operators of Nigeria, Gbenga Adebayor. “We are not yet where we need to be,” he told The PUNCH in October.
Even when states appear to comply with the RoW agreement, telecom companies claim that some state governments find alternative ways to inflate the costs.
The ALTON chairman explained, “Some states are very positive, but others are hiding behind offering free RoW and then introducing other charges that far exceed the standard fees. This is something stakeholders must address.”
