Telecom
5G: Nigeria Requires Additional 167,000 kilometres of Fibre Infrastructure to Meet Ubiquitous Broadband Target – ipNX Business CEO
Segun Okuneye, Divisional CEO ipNX Business has said that Nigeria requires additional 167,000 kilometres of fibre infrastructure to fulfill its target of fifth generation network and ubiquitous broadband.
He noted that to meet the current broadband targets and those of the future with advanced connectivity such as the fifth-generation network, “The nation needs between 120,000 to 167,000 kms of fibre infrastructure, in addition to the existing 55,000 km.”
Okuneye made this submission recently while addressing telecoms stakeholders at a forum dedicated to the National Policy on the Fifith Generation Network for Nigeria’s Digital Economy, which ipNX co-sponsored.
He noted that the critical link between undersea cables that conveys huge connectivity capacity into the country and the end users is the Fibre Sub-sector, where ipNX Nigeria is a major player.
According to him, “Nigeria needs three times more fibre infrastructure than it currently has to attain about 90 per cent broadband penetration among others by 2025.”
He said backhauling is a major dependent requirement to express the inherent value from the 5th generation network.
This, according to him, is required for accessing traffic aggregation which involves capacity and scalability; as well as transportation in high-speed, low latency, high quality that guarantees reliability.
He said, “Increased speeds with lower attenuation, immunity to electromagnetic interference, small size, and virtually unlimited bandwidth potential are among the many reasons why fiber is the right choice when compared to other backhauling technologies.”
Thinking ahead, Okuneye stressed that it is important to lay fiber now to potential small and macro cells, wherever and whenever possible and existing cell sites.
“This is a critical preparatory step if these cell sites are to be upgraded to 5G in the coming years,” he said.
As much as the ipNX boss underscored the key roles of fibre in 5G deployment, he also identified potential challenges to successful Role-Out of 5G, from fibre perspective.
He bemoaned low levels of Fiber Optic Infrastructure, noting that nationally, fibre optic cable infrastructure deployment is insufficient and mostly available in a few cities and urban areas.
Factors contributing to this, according to him, include the issues of vandalism and damage to existing fiber infrastructure from road construction.
He further listed Right of Way (RoW), as a long-standing challenge to telecoms infrastructure roll-out over the years.
He stated that high RoW fees continue to hinder the deployment of telecommunications infrastructure in Nigeria.
“The proposed Unified RoW is yet to be accepted by several states and their agencies, and as they continue to administer RoW differently with financial demands, this poses major challenges to operators’ roll out plans.
“This is in addition to the divergent policies and inability to obtain R0W permits from the various states,” he lamented.
Okuneye also identified access to forex as another cog in the wheel of fibre roll-out for 5G and ubiquitous broadband.
He noted that the telecoms industry in Nigeria relies heavily on foreign equipment manufacturers and imported technical expertise for deployment and maintenance of networks.
“The cost and process of accessing forex still remains a major challenge to the fibre sub-sector operators, and this could further create a setback for 5G deployment.
“In addition, operators are still experiencing security challenges, sometimes leading to the temporary shutdown of telecom services – caused by Infrastructure vandalism, thefts, and community issues. Hence, security will continue to be a challenge if not effectively tackled,” he said.
Okuneye called for innovative regulations and stakeholder management, adding that multiple taxation and duties should also be addressed to relieve their impacts on importation of passive and active infrastructure.
He said, “Therefore, the Fibre platform and Sub-Sector operators will continue to play an important role in 5G implementation. The platform will be a key driver to enjoy the intended gain of the Digital Economy and Transformation in Nigeria and to attain the goal of the National Broadband Plan
“The Fibre sub-sector operators in Nigeria are in dire need of government intervention to address the myriad of challenges facing the sector such as high Interest Rates, limited Access to Foreign Exchange, High taxation, Steep cost of Right-of-Way permits, denial of permits for infrastructure roll-out, damage to infrastructure, unstable power supply and others.
“The application of interventionist policies will further help the fibre sub-sector to effectively play its role in the successful implementation of 5G in Nigeria,” he concluded.
Telecom
Suspected Lakurawa Terrorists Kill 3 Telcoms Workers in Kebbi
Terrorists belonging to Lakurawa group have reportedly killed three staff of a leading telecommunication firm.
The insurgents were said to have invaded a construction site at Gumki village in Arewa Local Government Area of Kebbi State.
The bandits reportedly attacked a construction site at Gumki village in Arewa Local Government Area of Kebbi State when their victims were installing a surveillance mast for the Nigeria Immigration Service and killed them and one other person who is yet to be identified.
There was a conflicting report of which organization the victims belonged as the police said three of the deceased were Airtel staff and the residents identified them to be Immigration staff.
A staff of Sir Yahaya Specialist Hospital however corroborated the villagers, saying the three victims brought to the hospital were Immigration staff.
But SP Nafiu Abubakar, police spokesperson, said four persons lost their lives, one indigene and three staff of Airtel.
He said from the report the police got, Bello M Sani, state Commissioner of Police, alongside with CIS Muhammad Bashir, Comptroller, Nigeria Immigration Service, Kebbi State Command, Lawali mobilized their men to the scene to evacuate the corpses to Sir Yahaya Memorial Hospital in Birnin Kebbi.
He said his CP has deployed additional tactical teams to the area and charged them to decisively deal with the suspected bandits operating in the area.
He said the CP also had meeting with people in the area and appealed to them to always assist the police and other security agencies with relevant information for their prompt response.
Telecom
Nigeria Has World’s Most Affordable Data Costs – GSMA
Nigeria has an average data cost of $0.38 per gigabyte, making her the most affordable countries globally and one of the cheapest in Africa for mobile data services.
United States averages $6 per gigabyte and South Africa with $1.77 per gigabyte rank the highest globally and in Africa respectively.
According to the GSMA, Nigerian data costs, as a percentage of Gross National Income (GNI) per capita, are among the lowest across Africa.
The reports by the body lends weight to telecom operators advocacy for tariff adjustments to address economic pressures threatening the sector’s sustainability.
The GSMA report, titled “The Role of Mobile Technology in Driving the Digital Economy in Nigeria,” highlighted Nigeria’s competitive data pricing, which is significantly lower than other African nations, such as Kenya ($0.59 per gigabyte), Ethiopia ($0.68 per gigabyte), and South Africa ($1.77 per gigabyte).
By contrast, the United States averages $6 per gigabyte, underscoring Nigeria’s advantage in offering cost-effective connectivity.
The cost of mobile data in Africa varies greatly by country and region.
Data costs can refer to the cost of mobile data or the cost of acquiring, maintaining, and using business data.
In 2023, the average cost of 1 GB of mobile data in Sub-Saharan Africa was $3.31, while in Northern Africa it was $0.86.
Telecommunications operators in Nigeria have been requesting some policy changes as well as tariff rebalancing to enable them deliver support to the Government’s digital economy objectives.
They have called for the simplification and improvement of the Right of Way (RoW) charging and administration process, harmonised across the country
According to them, all government authorities (at national and sub-national levels) should apply the national maximum RoW fee of N145 per/LSQM adopted by the National Economic Council (NEC) for the deployment of fibre across all states in Nigeria.
There should be a single point of contact in each state for the RoW application process while the duration for the approval process should be digitalised and limited to a maximum of one month.
Simplification and reduction of the tax burden on the mobile sector
On tariff, recall that the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) had urged the Nigerian Communications Commission (NCC) to consider reviewing tariffs upward to address rising operational costs.
Nodding in agreement, Bismarck Rewane, chief executive officer, Financial Derivatives, said the proposed tariff hike by telecommunications will help reduce inflation in the country.
He said it would help to reduce inflation because it increases productivity, stressing that the price of MTN shares went up by 10% to 220.
Rewane reiterated that investors had already factored that in, adding that they are expecting a lot of good goodies.
“But more important to think about is the fact that because of an increase in tariff and an increase in investment to make the industry sustainable, they’re going to see an increase in productivity, not directly but indirectly.
“Any increase in productivity and output is likely to allow inflation to moderate, which is the goal. So, we heard from the policymaker, Bosun Tijani, who was very clear that we want a sustainable sector. But we also heard from the regulator saying that we will hold these guys to quality of service.
“We also heard from the operators, MTN that they are all revving up. So in all, there are economic benefits because of increased output and productivity. Two, policymakers are aligned because they want this to lead to a moderation in inflation,” he added.
He further said that it was not a bad deal and re-echoed the minister’s comment that the tariff hike will not be 100 per cent.
“Will they get 100%? No, they will definitely not. We suspect that we are going to likely see something between 40 and 50% which is fair after so many years of static changes,” Rewane added.
Telecom
Bismarck, Economist Claims Planned Tariff Hike by Telcos Will Reduce Inflation
Bismarck Rewane, chief executive officer, Financial Derivatives, has said the proposed tariff hike by telecommunications will help reduce inflation in the country.
Rewane made this statement on Channels Television’s Business Morning on Thursday.
Recall that Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON) had urged the Nigerian Communications Commission (NCC) to consider reviewing tariffs upward to address rising operational costs.
On January 3, Karl Toriola, chief executive officer (CEO), MTN Nigeria, said telcos want a 100 percent tariff hike.
According to Rewane, who previously supported the plans for a tariff hike, the move will make the sector more sustainable.
He said it would help to reduce inflation because it increases productivity, stressing that the price of MTN shares went up by 10% to 220.
Rewane reiterated that investors had already factored that in, adding that they are expecting a lot of good goodies.
“But more important to think about is the fact that because of an increase in tariff and an increase in investment to make the industry sustainable, they’re going to see an increase in productivity, not directly but indirectly.
“Any increase in productivity and output is likely to allow inflation to moderate, which is the goal. So, we heard from the policymaker Bosun Tijani, who was very clear that we want a sustainable sector. But we also heard from the regulator saying that we will hold these guys to quality of service.
“We also heard from the operators, MTN that they are all revving up. So in all, there are economic benefits because of increased output and productivity. Two, policymakers are aligned because they want this to lead to a moderation in inflation,” he added.
He further said that it was not a bad deal and re-echoed the minister’s comment that the tariff hike will not be 100 per cent.
“Will they get 100%? No, they will definitely not. We suspect that we are going to likely see something between 40 and 50% which is fair after so many years of static changes,” Rewane added.
- General News3 days ago
Nigeria Recovers $52.88m in Assets Linked to Former Petroleum Minister Diezani Alison-Madueke
- E-Business3 days ago
Cybersecurity Firm Warns of Phishing Threats Targeting Telegram Premium
- General News3 days ago
Transform Your Health with QNET’s BELITE 123: The Ultimate Weight Management Solution
- General News3 days ago
TikTok Announces Plans to Cease Operations in the U.S. by January 19, 2025
- E-Financial16 hours ago
BudgIT Queries Irregularities in FG’s Proposed 2025 Budget
- General News17 hours ago
Lagos State Sets Strict Deadline for 2024 Tax Returns Filing
- E-Financial16 hours ago
NAICOM Seeks Police’s Support to Enforce Third-party Motor Insurance
- E-Financial16 hours ago
GAIM 6: Fidelity Bank Rewards 10 Customers with N10m