Stakeholders in Nigeria’s telecommunications sector have expressed concerns over potential obstacles that could impede the Federal Government’s ambitious plan to deploy 90,000 kilometers of fibre optic cables across the country. During the Sixth Edition of the Policy Implementation Assisted Forum (PIAFO) held in Lagos, industry leaders gathered to discuss strategies for overcoming these challenges.
The project, aimed at enhancing internet connectivity nationwide and supporting the digital economy, faces significant hurdles primarily from state governments. Key issues highlighted include high Right of Way (RoW) charges, multiple taxation, and levies imposed by states, which stakeholders argue could undermine the viability of the Special Purpose Vehicle (SPV) set up to execute the project.
Speaking at the forum, Mr. Chidi Ibisi, Executive Director of Broadbased Communications, emphasized the need to address current challenges such as the high cost of RoW, vandalism of fibre optic cables, and disruptions caused by road construction activities. He noted that these issues must be tackled to ensure the success of the SPV initiative aimed at bridging Nigeria’s digital infrastructure gap.
Echoing similar sentiments, Mr. Chidi Ajuzie, Group Chief Operating Officer of WTES Projects Limited, identified informal RoW demands by local communities as a major challenge hindering fibre deployment. He cited instances where informal fees imposed by local groups during cable laying processes in urban areas like Lagos disrupt project timelines and increase operational costs.
The Chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), Engr. Gbenga Adebayo, underscored the importance of state government cooperation for the project’s success. He called for a shift from viewing RoW charges solely as revenue sources, urging state governments to align with federal objectives of promoting digital infrastructure development.
Dr. Ayotunde Coker, CEO of Open Access Data Centre (OADC), highlighted the necessity for private sector involvement in project execution, stressing the World Bank’s role in funding the initiative with up to $3 billion. He emphasized the importance of effective policy frameworks and private sector partnerships to achieve broadband penetration targets and ensure sustainable infrastructure development.
In his opening address, Mr. Omobayo Azeez, convener of PIAFo, described the forum as a critical platform for dialogue among stakeholders in Nigeria’s digital economy. He emphasized the summit’s theme of “Accelerating Our Collective Prosperity through Technical Efficiency,” highlighting the need for collaborative efforts to overcome challenges and achieve national digital economy objectives.
The discussions at PIAFo underscored the complexity of implementing large-scale digital infrastructure projects in Nigeria, emphasizing the importance of addressing regulatory, financial, and operational barriers to ensure sustainable broadband development across the country.
As Nigeria strives to expand its digital footprint and promote economic growth through enhanced connectivity, stakeholders have called for concerted efforts to streamline regulatory frameworks, reduce operational costs, and foster collaborative partnerships between federal and state governments and the private sector. Addressing these challenges will be crucial in realizing the full potential of the 90,000km fibre optic project and advancing Nigeria’s digital economy agenda.