Chairman of ALTON, Engr Gbenga Adebayo.

The Association of Licensed Telecommunications Operators of Nigeria ALTON, recently paid a congratulatory visit to the newly appointed Chairman of the Governing Board of the Nigerian Communications Commission NCC, Dr. Idris Ibikunle Olorunnimbe.

The Group made a strong case for stronger and effective regulatory independence for the Commission, harmonisation of telecom taxes to curb the current cases of double taxation, a regime of predictable fiscal framework and improved protection of fibre and other communication infrastructure.

The association insists that sustaining Nigeria’s digital economy would depend on securing three key pillars; a visibly independent regulator, a clearly defined single-sector authority, and a harmonised and predictable fiscal environment.

These, according to the Association would help to boost and sustain investor confidence in the sector, which would go a long way to further strengthen government’s drive towards the development and sustainable growth for the country’s digital economy.

Chairman of ALTON, Engr Gbenga Adebayo, who spoke during visit in Abuja, said Dr. Olorunnimbe’s appointment came at a critical time for the sector, which is currently undergoing recovery and recalibration after years of pricing pressures, infrastructure challenges, and foreign exchange constraints.

Engr. Adebayo expressed confidence in the ability of the NCC Board under Olorunnimbe’s supervision to meet to and surpass expectations not only of President Bola Ahmed Tinubu in strengthening institutional governance and ensuring sector sustainability but also those of the stakeholders.

He lauded the Executive Vice Chairman/CEO of the NCC, Dr. Aminu Maida, and his management team for resolving the long-standing Unstructured Supplementary Service Data USSD, debt crisis, which had grown to nearly ₦300 billion over a four- year period, thus posing a systemic threat to both the telecom and digital financial services ecosystems.

“The migration to end-user billing has eliminated the debt burden and created a more sustainable framework for telecom operators and financial service providers. Similarly, Federal Government’s approval of cost-reflective tariff adjustments last year has helped to avert a potential collapse of the industry after 13 years of static pricing amid rising inflation, currency volatility, ageing infrastructure, and escalating energy costs.

“Investment slowed and networks became increasingly strained. The sector was approaching a stage where service rationing was becoming a real possibility, but the tariff review had enabled operators to gradually return to profitability and resume capital expenditure planning”, the ALTON Chairman said.

On macroeconomic reforms, he acknowledged that the recent foreign exchange policy adjustments by the Federal Government has improved forex availability and has allowed operators to meet international obligations related to bandwidth, satellite capacity, software licensing, and equipment sourcing.

The ALTON-boss observed that renewed investor confidence was already evident in recent infrastructure investment announcements in the country’s telecom tower segment.

He also lauded the government over the designation of telecommunications infrastructure as Critical National Information Infrastructure CNII, through an Executive Order of the President, describing the move as transformative for network protection against vandalism and fibre damage.

In another development, the Association expressed serious concerns over cases of frequent fibre cuts occasioned by some road construction projects being carried out by both Federal and State Governments. He said these persistent cases of the destruction of fibre infrastructure results in nationwide service disruptions, destruction of other digital infrastructure, and interruptions to banking, education, and security services.

The association called for the establishment of a structured pre-construction fibre mapping system and mandatory coordination framework to mitigate infrastructure damage during road projects.

Among other key recommendations, ALTON urged legislative reinforcement of NCC’s independence as provided in Sections 1(b) and 25(2) of the Nigerian Communications Act 2003, warning that overlapping regulatory interventions by multiple government agencies were creating duplicative investigations, conflicting directives, and increased compliance costs for operators.

It also advocated the creation of a harmonised national telecom taxation framework to curb excessive sub-national levies and enforcement actions such as site shutdowns, which adversely affect service quality and national connectivity.

ALTON pledged the industry’s full cooperation with the NCC Board and extended an invitation to the new Chairman to visit a Nigerian-operated telecom call centre employing hundreds of young Nigerians, as part of efforts to demonstrate the employment potential of the sector.