October 25, 2020

In relation to the efforts of the Nigerian Communications Commission, NCC, in deepening broadband penetration across the country, the Commission has developed Open Access Model (OAM) initiative, principally aimed at extending access to digital services to all the 774 local government areas (LGAs) through the licensing of Infrastructure Companies (InfraCos) across geo-political zones.

According to the Commission, six InfraCo licences had been issued by the Commission to date. They include Raeana Nigeria Limited for the South-South Zone; O’dua Infraco Resources Limited for South-West Zone; Fleek Networks Limited for North-West Zone; Brinks Integrated Solutions for North-East Zone; MainOne Limited for Lagos Zone and Zinox Technologies Limited for the South-East Zone. The seventh and last licensee for the North-Central Zone of the country is being processed by the Commission.

As Public-Private Partnership (PPP) initiative, the NCC is expected to provide a counterpart funding, in form of stimulus, to encourage investors of InfraCo to deploy fibre optic infrastructure across the country. Already, subsidy negotiations with the licensees had been concluded by the Commission and efforts are being tidied up by the telecoms regulator to secure Federal Government’s approval for the disbursement of the counterpart funding to the licensees. This, however, will be disbursed to the InfraCos upon attainment of certain milestones in their area of deployment.

During a visit by the United States Trade and Development Agency (USTDA) to the Commission earlier in 2019, Danbatta had said that, “NCC had concluded the process leading to the disbursement of subsidies to the six licensed InfraCos in line with the digital transformation agenda of the Federal Government. The subsidy will augment the InfraCos’ capital expenditure (CAPEX).”

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