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NCC, States Move to Introduce Cost-Based Telecom Duct Pricing to Boost Broadband

Nigerian Communications Commission (NCC) says it is strengthening collaboration with state governments and industry stakeholders to develop a transparent, cost-based pricing framework for sharing telecommunications ducts to accelerate broadband expansion across the country.

The Director of Policy, Competition and Economic Analysis at the NCC, Mr Ayuba Shuaibu, disclosed this at a stakeholders’ forum in Abuja.

Shuaibu said the initiative was aimed at building consensus among stakeholders and ensuring seamless cooperation between the commission, government authorities and industry players.

“The primary purpose of this forum is to ensure seamless synergy between the Commission and all stakeholders,” he said.

He explained that the consultation was prompted by persistent concerns from telecom operators over permits, levies and other charges imposed by different levels of government during infrastructure deployment.

According to him, the engagement brought together state commissioners, telecom operators, tower companies and representatives of the Nigeria Governors’ Forum to address challenges affecting broadband infrastructure development.

“This engagement is a work in progress. We expect more input from stakeholders before presenting the outcome to the Nigeria Governors’ Forum,” he said.

Dr Helen Adeneye, Kogi State Commissioner for Innovation, Science and Technology, welcomed the initiative, stressing the need for a harmonised policy framework that clearly defines the roles of federal and state governments in telecom infrastructure development.

“We need a harmonised policy that allows states to collaborate better with telecom operators and creates a more business-friendly environment,” she said.

Adeneye said adopting the Dig-Once policy would help establish a uniform pricing system and reduce disputes over charges associated with telecom infrastructure deployment.

The Dig-Once policy encourages the installation of fibre ducts whenever roads are constructed or rehabilitated, thereby reducing the cost and disruption associated with broadband infrastructure rollout.

Meanwhile, Mr Chidi Ajuzie, Chief Executive Officer of WTES Projects Ltd., the firm conducting the consultancy study, said the proposed framework would introduce a common cost structure for duct sharing.

“The study is designed to create a uniform pricing model that will drive broadband growth, economic development and wider adoption across the country,” he said.

Ajuzie explained that the consultants had developed preliminary floor and ceiling prices to guide operators while allowing flexibility within the approved range.

He added that the recommendations remained open to industry contributions before the NCC finalises the framework.

The proposed pricing model is expected to promote fair access to telecom infrastructure, reduce duplication of facilities and encourage investment in broadband networks.

The NCC said the initiative would support the Federal Government’s broadband expansion targets while improving cooperation between telecom operators and state governments.

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Franklin Ugo Ndibe is a seasoned Nigerian journalist and media professional renowned for his incisive reporting and editorial leadership in the information and communications technology (ICT) sector.

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