There’s been a major boost for broadband expansion in Nigeria with news that eleven states have agreed to waive right of way (RoW) fees.
According to local press reports this was recently announced by the Minister of Communications and Digital Economy, Bosun Tijani.
Right of way fees – charges on telecom companies for laying fibre optic cables and other infrastructure necessary for internet connectivity – have slowed broadband expansion in Nigeria, as charging differences across states have sometimes deterred investments, despite a government benchmark fee of NGN145 (just under US$0.10) per linear metre.
Given recent developments, however, Tijani has suggested that all states would eventually comply with a total waiver.
The comments came in the context of an organisation called the National Institute for Policy and Strategic Studies (NIPSS) presenting a report on Nigeria’s digital economy. The report, titled Digital Economy, Youth Empowerment and Sustainable Job Creation in Nigeria: Issues, Challenges and Opportunities, included an eight-point recommendation to enhance Nigeria’s digital economy. One of the key suggestions was for the Federal Government to push for a complete waiver of RoW fees nationwide.
This is not the only recent boost for broadband in Nigeria. The government recently approved a US$2 billion investment to deploy 90,000 kilometres of fibre optic cables nationwide, which would make Nigeria’s broadband network the third largest in Africa, behind South Africa and Egypt. The plan was first mooted in May last year.
The project is supported by the Ministry of Finance and has secured a US$500 million commitment from the World Bank.
As well as broadband, rural connectivity is getting a boost. The government has announced plans to construct 7,000 new telecommunications towers in rural areas to enhance connectivity and bridge the digital divide.
In support of this initiative, pan-African operator Airtel Africa has pledged a US$500 million investment to strengthen Nigeria’s telecommunications infrastructure.
