FG Targets $1Bn Revenue from Spectrum in Digital Switchover

Alhaji Lai Mohammed, the information minister, has said that Digital Switchover (DSO) will fetch Nigeria $1.1 billion from the collection of TV licences and digital access fees.

He said the spectrum that would be vacated once the analogue to digital migration has been completed “will fetch $1 billion on its own.”

Mr Mohammed disclosed this while briefing State House correspondents at the end of the 6th virtual Federal Executive Council, FEC, meeting presided over by President Muhammadu Buhari, at the Council Chamber, Presidential Villa, Abuja.

“I have just presented the Ministerial Performance Report of the Federal Ministry of Information and Culture, covering the period August 2019 to June 2020, to the Federal Executive Council (FEC).

“The number one job creator under the Ministry of Information and Culture is the Digital Switch Over (DSO) in broadcasting, which is set to create 1 million jobs in the next three years through the manufacturing of set-top-boxes (decoders) and TV sets, TV and Film production, as well as TV and Online advertising and Data, among others.

“Of course, the DSO will also fetch $100 million from the collection of TV licences and Digital Access fees, as well as $1 billion from the sale of the spectrum that would be vacated once the analogue to digital migration has been completed,” he said.

He said the ministry has so far rolled out the DSO in five states (Enugu, Osun, Kwara, Kaduna and Plateau) as well as the Federal Capital Territory.

He assured the DSO will be rolled out to all parts of the country.

He also said the ongoing reform of the broadcast and advertising industries is aimed at strengthening the industries “so they can live up to their billing and generate more job opportunities.”

“In the broadcast industry, the reform will, among others, propel revolutionary advantages in the area of promoting entrepreneurship in the local industry.

“As for the advertising sector, bringing Nigeria’s TV advertisement market to what it should be, which is three times its current size, could result in an additional $200-$400 million revenue to the industry, in addition to creating thousands of jobs.

“The cultural industries centres, which are scattered all over the country, are capable of creating 500,000 jobs within the next three years, just as we can have some 100,000 jobs from the restoration of our museums, especially in Lagos, Plateau, and Kwara,” he said.