–Laments existence of 45 charges, levies on operators
Chairman of the Association of Licensed Telecom Operators of Nigeria, ALTON, Gbenga Adebayo, has told the Federal Government not to use the telecommunications sector as a palliative to solve economic woes.
Adebayo has also lamented that despite the supposed removal of right of way (RoW) costs, there is still the existence of over 45 associated charges and levies on operators.
The ALTON Chairman in his address at the Groupe Spécial Mobile Association, GSMA, digital economy report launch on Thursday in Abuja, said the telecom industry faces numerous challenges that hinder its growth and development.
He emphasized the need for sustainable investment, effective regulation, and a conducive business environment to drive progress.
The GSMA digital report, launched May 9, 2024, highlights the telecom’s eight percent contribution to Nigeria’s GDP and 13.5 percent when considering the broader ICT ecosystem.
The report also highlights the significant challenges plaguing the industry including investment challenges, right of way, multiple taxation, and regulation.
Adebayo, who highlighted the existence of over 45 associated charges and levies on operators, despite the supposed removal of right of way costs, said that “it creates an unfavorable business environment, discouraging investment and hindering the industry’s ability to deliver quality services.”
He further stated that regulatory interference and the lack of independence for the regulator exacerbate the problem.
According to him, “The price review should be a simple regulatory process. The public debate this has gained makes it appear the industry is insensitive to people’s concern.
“While the government tries to provide incentives for the public on account of ongoing macroeconomic headwinds, the telecoms sector should not be used as a palliative to solve the people’s problem. We must price right to sustain the industry; we must price right to have the right investment.”
He contended that the industry must be allowed to operate sustainably, with the right investment and regulation, to deliver quality services and drive economic progress; encouraging stakeholders, including policymakers, regulators, and operators, to work together to address the challenges facing the industry in order to drive economic growth, and fulfill its potential as a critical sector in Nigeria’s economy.(Vanguard)
