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NCC moves to cut broadband costs through duct sharing

 

By David Lawani, Abuja

 

The Nigerian Communications Commission (NCC) has intensified efforts to lower broadband deployment costs and accelerate digital connectivity by developing a transparent, cost-based pricing framework for sharing underground telecommunications ducts installed under the Federal Government’s Dig Once Policy.

The initiative came under focus at the Second Stakeholders’ Consultative Forum on the Development of a Pricing Mechanism and Cost-Based Structure for Sharing Ducts Built Under the Dig Once Policy held in Abuja.

The consultation brought together telecommunications operators, infrastructure companies, regulators, government agencies, development partners and industry associations to review proposals aimed at creating fair and predictable access to underground telecom infrastructure.

Speaking at the event, the NCC’s Director of Policy, Competition and Economic Analysis, Ayuba Shuaibu, said the Commission remained committed to creating a regulatory framework that protects investments, promotes competition, and expands broadband access.

“Our objective is to develop a pricing structure that balances the interests of infrastructure providers, access seekers and consumers while encouraging sustained investment in broadband infrastructure.”

According to him, the proposed framework would improve utilisation of existing assets, reduce duplication of infrastructure, lower deployment costs and accelerate broadband penetration across Nigeria.

The Dig Once Policy requires that ducts be laid during road construction and rehabilitation projects to eliminate repeated excavations when fibre-optic cables are deployed.

In a keynote presentation, Olugbenga Olabiyi, Managing Director of Dimension Data Limited and a consultant on the project, described ducts, conduits, and manholes as among the most expensive components of broadband deployment globally.

“Infrastructure sharing has become a globally accepted strategy for lowering deployment costs, improving operational efficiency and accelerating broadband penetration.”

He warned that inconsistent pricing mechanisms and unclear access conditions could discourage investment and undermine the policy’s objectives.

“Successful implementation of the Dig Once Policy could rank among Nigeria’s most impactful telecommunications infrastructure reforms, provided access to shared infrastructure is governed by fairness, transparency and predictable market rules.”

Olabiyi said a transparent pricing framework would prevent excessive charges, discourage discriminatory practices and support the country’s digital transformation objectives.

The initiative forms part of the NCC’s broader efforts to promote infrastructure sharing, deepen broadband penetration and support the growth of Nigeria’s digital economy.

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