Nigeria’s capital, Abuja, is shaving 90% off the right-of-way fee. Now, telecommunications companies that wish to install broadband infrastructure in green areas would only have to pay ₦14.50 ($0.033) per metre instead of ₦145 ($0.33).
This will take effect on December 1, 2022, and last for two years.
Green areas are places where there is no telecommunications equipment—underground internet cables and other telecommunication equipment. When telecommunications companies want to install any of this equipment, they pay a tax called a “right-of-way fee” to the state government.
Right-of-way fees were previously state-specific and ranged from ₦4,000 ($9.01) to ₦8,000 ($18.02) until 2017 when the federal government standardised right-of-way fees and set a national standard of ₦145 per metre.
The government is making these efforts to expedite and complete its goals, which are outlined in the National Broadband Plan 2020–2025, to increase internet speed and lower costs in Nigeria.
Meanwhile, in Ghana, telecom operators complain of numerous charges and fees by various government institutions for every telecom infrastructure installed in the country. The institutions include local government agencies, Environmental Protection Agency, Civil Aviation Authority and others.