Telecom stakeholders flag state govt. intrusion as threat to FG’s 90,000km fibre project

Onome Amuge

L-R:  Chidi Ibisi; national chairman, Association of Licensed  Telecoms Operators of Nigeria (ALTON); Gbenga Adebayo,executive director, Broadbased Communications Limited;  Chidi Ajuzie, chief operating officer, WTES Projects Limited; Chidi Charles Agukwe, chief executive officer, Skymax Integrated Networks Limited; Freda Bruce-Bennett, deputy director, policy, competition and economic analyses, Nigerian Communications Commission;  Omobayo Azeez, the convener of Policy Implementation Assisted Forum (PIAFo); Lucky Anumaka, manager, managed services and operations, Zora Communications Limited; Tola Yusuf, co-founder/executive director, Infratel Africa; and Ayotunde Coker, the chief executive officer, Open Access Data Centre, at the sixth edition of PIAFo on Digital Economy,held recently in Lagos

The telecommunications industry in Nigeria is skeptical about the federal government’s plan to deploy 90,000 kilometres of fiber optic cables across the country due to various factors, chief among which is the potential interference of state governments. This is centred on the fact that without addressing the current issues of Right of Way charges, multiple taxation, and levies (all within the jurisdiction of state governments), the project, which is to be implemented through a Special Purpose Vehicle, may become a fruitless exercise fraught with bureaucratic hurdles.

The sixth edition of the Policy Implementation Assisted Forum (PIAFo), held recently in Lagos, with the theme “Accelerating Collective Prosperity through Technical Efficiency” provided a crucial platform for telecommunications stakeholders to raise their concerns over Nigeria’s digital economy, amidst the country’s ongoing digitalisation efforts.

The forum, with its emphasis on Nigeria’s renewed strategic agenda, fostered an engaging discussion, driving home the need for concerted action to address the industry’s most pressing issues, including the successful implementation of the federal government’s fiber optic cable project. The stakeholders in their discussions and presentations, viewed the project as an essential component of the government’s strategy to drive the digital economy forward. By ensuring universal internet access and providing a robust backbone for the economy, they argued, the fiber optic cable project would not only complement existing connectivity efforts but also pave the way for a more connected, digital Nigeria.

Chidi Ibisi, executive director of Broadbased Communications, who delivered a paper at the event,  titled ‘Harmonizing Nigeria’s Fibre Deployment Strategies for Effective Implementation’’, offered a balanced perspective on the federal government’s SPV initiative’s potential and shortcomings. While he recognised the importance of the project in bridging Nigeria’s digital infrastructure gap, Ibisi stressed the need for the government to confront existing challenges that impede the deployment of fiber optic cables across the country.

Ibisi, with his industry expertise, pinpointed specific challenges that could hinder the implementation of the SPV initiative, emphasising the urgent need to address these issues. The high cost of Right of Way (RoW) permissions, the destruction of fiber by construction companies and vandals, and other factors,Ibisi argued, would undermine the project’s effectiveness if not tackled head-on.

Chidi Ajuzie, the group chief operating officer of WTES Projects Limited, identified the devastating impact of informal RoW excavations by hoodlums as the biggest challenge for telecom operators in laying fiber cables across the country.

“For states, a formal right of way is set and some states are adopting it but the informal side of the right of way is where the complexity has come today.

“If I’m trying to lay fibre in some communities here in Lagos, the first thing that happens is the so-called land owners (omo onile) come out and a different set of people will keep coming from one street to another and they charge you. How do we achieve adequate broadband infrastructure in this kind of situation?” he queried.

Gbenga Adebayo, chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), shared his vision for the success of the 90,000 km fibre project, emphasising the critical role of governments at sub-national levels in taking ownership of the project.

Adebayo took a stance against the monetisation of Right of Way by state governments, decrying this practice as a relic of the past that must be relegated to the annals of history. According to him, telecommunications operators, who provide the backbone for digital services, should not be treated as mere revenue sources for state governments.

In his words: “The government has always come up with good policies, but the implantation, particularly when they are tested far afield, is the biggest problem. Governors will go to Abuja and say ‘in my state, I will give the right of way free of charge.’

“When you go to such a state, they may give you the right of way for zero or one Naira, but they will give you developmental levy, education levy, state impact levy, ecosystem levy. When you add all of these together, it is more than the right of way charges. So, who is playing who?”

Also speaking at the forum, Ayotunde Coker, the CEO of Open Access Data Centre (OADC), highlighted the pivotal role of the private sector in the successful implementation of the $3 billion fiber optic cable project. An advocate of public-private partnerships, he suggested that the World Bank’s financial contribution, while crucial, required the dynamism and agility of the private sector to truly drive transformative change in Nigeria’s digital infrastructure.

Coker also implored the World Bank to embrace a more inclusive and open approach to the fiber optic cable project, underscoring the crucial role of private sector engagement, and the need for clear policies that allow for effective execution and innovation.

“Meaningful broadband is what we need, rather than just a huge set of megabits per second implementation. We need superhighway fibres. We need the distribution of these backbone that allows us then to fan out,” he stated.

Coker also called on state governors to recognise the transformative power of their involvement in the fibre optic cable project. He noted that their decision to engage with the project—or choose to remain on the sidelines—would have a profound impact on the growth and prosperity of their respective states.

Setting the stage for the event earlier on, Omobayo Azeez, the convener of PIAFo, said the conference was to create a midpoint dialogue platform for digital economy stakeholders from both the public and private sectors to come together and forge a shared path towards a more prosperous digital economy in Nigeria. .

Azeez rallied the PIAFo participants around a shared vision for Nigeria’s digital economy, seizing the moment to highlight the federal government’s new blueprint. This renewed plan, he asserted, was more than just a continuation of past initiatives; it represented a decisive step towards attaining new frontiers in order to accelerate collective prosperity through technical efficiency, a major goal of the summit.