ALTON urges states to scrap telecoms right-of-way fees
AI Executive Briefing
Gemini Flash AI~45s readThe Association of Licensed Telecommunications Operators of Nigeria (ALTON) has formally requested that state governments eliminate right-of-way charges to reduce the high costs of fibre-optic deployment. The association emphasizes that these fees hinder network expansion into rural areas and suggests that government incentives and the strategic use of the Universal Service Provision Fund are necessary to bridge Nigeria's digital divide.
Context & Background
- ✦Right-of-way charges are fees paid for permission to access land or public spaces to install telecommunications infrastructure like fibre-optic cables.
- ✦The high cost of these fees acts as a barrier to entry for operators, particularly in regions where expected commercial revenue is low.
Key Figures & Named Entities
•Engr. Gbenga Adebayo, ALTON Chairman, stated that right-of-way costs can reach 50 to 60 per cent of total infrastructure deployment costs.•Shuaib Salisu, Chairman of the Senate Committee on ICT and Cybersecurity, noted that the National Digital Economy and E-Government Bill is expected to pass by the end of 2026.
Outlook & Next Steps
The National Assembly is expected to pass the National Digital Economy and E-Government Bill by the end of 2026, while the government continues to pursue its 90,000-kilometre fibre-optic network project.
Key Takeaways
AI Summary- ALTON is advocating for the abolition of right-of-way charges, which currently represent up to 60% of fibre-optic deployment costs in some Nigerian states.
- The association argues that removing these fees, especially in rural areas, is essential to bridge the digital divide and incentivize network expansion.
- Legislative progress is underway with the National Digital Economy and E-Government Bill, which is expected to be passed by the National Assembly before the end of 2026.
Key Facts:2026: Engr. Gbenga Adebayo addressed the issue of right-of-way costs during the 2026 Nigerian Economic Summit.2026: The National Digital Economy and E-Government Bill has reached its third reading in the Senate.
Editorial Excerpt
Association says charges account for up to 60% of fibre deployment costs By Chidinma Chukwu, Abuja The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has urged state governments to abolish right-of-way charges on telecommunications infrastructure, warning that the fees...
Frequently Asked Questions About This Story
Why does ALTON want right-of-way charges removed?
ALTON argues that these fees account for up to 60% of fibre deployment costs, making it economically difficult for operators to justify infrastructure investment in underserved or rural communities.
What is the government's plan to improve connectivity alongside private efforts?
The Federal Government is planning a 90,000-kilometre fibre-optic network to extend connectivity to underserved communities and is utilizing the Universal Service Provision Fund (USPF) for special interventions.
