Multiple taxation, RoW challenges hurting telecoms sector —ATCON

The Association of Telecommunications Companies of Nigeria (ATCON) has raised the alarm over persistent challenges threatening the telecoms industry’s growth and sustainability.

The association highlighted multiple taxation, Right of Way (RoW) bottlenecks, and infrastructure vandalism as major impediments to the sector’s progress.

Mr. Tony Emoekpere, president of the association, speaking during ATCON’s 31st-anniversary celebration in Lagos recently, called for urgent action to address these issues, emphasising their critical impact on Nigeria’s digital transformation efforts.

Emoekpere outlined the following obstacles the telecoms sector is burdened with as excessive and overlapping taxes levied by federal, state, and local governments, creating a hostile business environment that discourages investment and innovation.

He also mentioned lengthy and costly processes for obtaining RoW permissions, saying it delays infrastructure expansion, hindering broadband rollout and network upgrades in the process. He said frequent attacks on critical assets like fiber cables and base stations cause financial losses, disrupt services, and negatively impact both operators and consumers.

To overcome these challenges, Emoekpere advocated for collaborative efforts between government agencies, policymakers, and industry stakeholders.

He proposed: Harmonised Taxation Policies: To reduce redundancies and attract more investments.

Streamlined Right-of-Way Approvals: To accelerate the deployment of infrastructure.

Enhanced Security Measures: To safeguard telecoms infrastructure from vandalism.

“These challenges require immediate attention and collective action. Only through unified efforts can we create an enabling environment for telecommunications to thrive and contribute significantly to Nigeria’s economy,” Emoekpere stated.

He also emphasised the immense potential of emerging technologies like 5G and the Internet of Things (IoT), which present unprecedented opportunities for the sector. However, he warned that foundational issues must be resolved to fully harness their benefits.

“The Nigerian telecom industry is at a critical crossroads. We must address these systemic challenges to unlock the full potential of telecommunications and transform Nigeria into a leading digital economy in Africa,” Emoekpere concluded.

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