
ALTON Nigeria: Urges States to Eliminate Telecoms Right-of-Way Fees
Summary
- The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has urged state governments to abolish right-of-way fees.
- ALTON warns that these fees account for a significant portion of fibre-optic deployment costs.
- In some Nigerian states, right-of-way charges can represent up to 60% of the total expenditure for fibre infrastructure.
- The industry body is advocating for the complete elimination of these charges to facilitate telecommunications expansion.
Urgent Call for Policy Change
ALTON has explicitly warned that these charges can constitute a staggering proportion, reaching up to 60 percent, of the total expenditure required for fibre-optic deployment in various states.
The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has issued a significant appeal to state governments across the nation, urging them to completely eliminate right-of-way (ROW) charges. This prominent industry body is advocating for a fundamental shift in policy that would remove the fees currently imposed on the deployment of essential telecommunications infrastructure.
ALTON's plea specifically targets the financial burdens associated with laying fibre-optic cables, which are critical components for establishing and expanding modern communication networks. The association's clear and unequivocal demand is for the total abolition of these charges, which they argue are impeding the growth and accessibility of telecommunications services throughout Nigeria.
Exorbitant Deployment Costs
A primary justification for ALTON's call to action lies in the severe financial strain that these right-of-way fees place on telecommunications operators. The association has explicitly warned that these charges can constitute a staggering proportion, reaching up to 60 percent, of the total expenditure required for fibre-optic deployment in various states. This substantial cost factor directly impacts the economic viability of infrastructure projects.
Such high deployment costs, driven significantly by state government ROW fees, present a formidable challenge to the rapid and widespread expansion of fibre networks across Nigeria. The elevated expenses can deter investment, slow down the rollout of crucial digital infrastructure, and ultimately affect the availability and affordability of telecommunications services for citizens and businesses alike.
Industry Advocacy and Future Outlook
As the collective voice for licensed telecommunications operators in Nigeria, ALTON plays a crucial role in advocating for policies that foster a conducive environment for industry growth. Their current campaign highlights a critical regulatory hurdle that, if not addressed, could hinder the nation's progress in digital connectivity. The warning from ALTON underscores the detrimental impact of the existing fee structure on the sector's ability to innovate and expand.
This concerted effort by the Association of Licensed Telecommunications Operators of Nigeria represents a significant push for telecommunications policy advocacy aimed at reducing operational costs for its members. By seeking the abolition of these right-of-way fees, ALTON is working towards creating a more favorable investment climate that would facilitate accelerated fibre-optic deployment and contribute to the broader digital transformation goals of the country.
Practical Implications
Lawyers advising telecommunications companies in Nigeria should monitor state government responses to ALTON's call to abolish right-of-way fees, as changes could significantly impact infrastructure deployment costs, project viability, and regulatory compliance strategies for clients.
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