Critical Review of the InfraCo Licensing Project in Nigeria
Fikade Aina
Senior Information Technology Specialist ???????? | Green Energy Advocate???? | Radical Activist ????? | DeepSeek Moderator ????
Introduction
The Nigerian Communications Commission (NCC) has embarked on a significant initiative to enhance broadband penetration across Nigeria through the licensing of Infrastructure Companies (InfraCos). This project is essential in addressing the digital divide, as nearly 33 million Nigerians lack internet access. Recent developments indicate that the government is aiming to roll out 90,000 kilometers of fiber-optic cables, significantly expanding the existing network from 35,000 km to 125,000 km within the next few years.
InfraCo Licensing Overview
As of now, the NCC has issued licenses to four InfraCos, including Zinox Technologies Limited and Brinks Integrated Solutions Limited, specifically designated for the South-East and North-East regions respectively. The licensing structure is part of the NCC's Open Access Model (OAM), aligned with the National Broadband Plan (NBP) from 2013 to 2018, which aimed for a 30% broadband penetration by 2018 .
The first two InfraCos were licensed to MainOne Cable Company for Lagos and IHS for the North-Central zone. The continued delay in licensing the remaining three InfraCos for the South-South, North-West, and South-West regions has raised concerns among stakeholders regarding the overall efficacy of the initiative .
Recent Developments
Recent statements from NCC officials emphasize the urgent need for these licensed companies to commence service rollouts promptly. The NCC has indicated that failure to meet stipulated service deployment timelines could result in license revocation .
In addition to the licensing of InfraCos, the government has initiated an extensive fiber-optic rollout plan. Dr. Bosun Tijani, the Minister of Communications, Innovation, and Digital Economy, has outlined a goal to enhance internet penetration from the current 22% to over 70% through the deployment of 90,000 km of fiber-optic cables. This initiative is expected to significantly lower access costs by more than 60%, thereby stimulating economic growth and improving access to education and healthcare (Nairametrics) (Investors King).
Challenges and Considerations
While the plans are ambitious, challenges persist, particularly regarding Right of Way (RoW) issues across various states. These regulatory barriers could impede timely network deployment, impacting the overall effectiveness of the InfraCo licensing project (Nairametrics) (Investors King). The NCC is in discussions with state governments to negotiate reduced RoW charges to facilitate smoother rollouts (Nairametrics).
Furthermore, stakeholders have expressed concerns over the speed of the licensing process. The first two InfraCos were announced in 2015 but faced delays in the issuance of licenses and subsequent service deployments. As the NCC continues to monitor the situation, it is crucial for all InfraCos to accelerate their infrastructure rollout to meet the growing demand for broadband services in Nigeria.
Conclusion
The InfraCo licensing project represents a pivotal move towards enhancing Nigeria's digital infrastructure. With the government's ambitious plan to deploy 90,000 km of fiber-optic cables, there is potential for substantial improvements in internet access and economic growth. However, overcoming regulatory challenges and expediting the rollout process will be critical for achieving the desired outcomes. Continued collaboration between the NCC, licensed InfraCos, and state governments is essential to ensure the successful implementation of this initiative, ultimately bridging the digital divide in Nigeria.
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