ALTON Pushes for Stronger NCC Independence, Harmonised Taxation Framework to Bolster Telecom Sector

ALTON Advocates for Stronger NCC Independence, Harmonised Taxation, and Fibre Protection to Drive Nigeria’s Digital Economy

The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has called for enhanced regulatory independence for the Nigerian Communications Commission (NCC), harmonised telecom taxes, and improved protection of fibre infrastructure to sustain investor confidence and foster the growth of Nigeria’s digital economy.

During a congratulatory visit on Thursday to the newly appointed Chairman of the NCC Board of Commissioners, Dr. Idris Ibikunle Olorunnimbe, ALTON Chairman, Engr. Gbenga Adebayo, emphasized that Dr. Olorunnimbe’s appointment comes at a pivotal moment for the telecommunications sector. He highlighted that the industry is navigating a critical phase of recovery and recalibration after enduring years of pricing pressures, infrastructure challenges, and foreign exchange constraints.

Adebayo expressed confidence in the new NCC Board’s ability to meet and surpass the expectations of President Bola Ahmed Tinubu by strengthening institutional governance and ensuring the sustainability of the sector. The association also commended the Executive Vice Chairman of NCC, Dr. Aminu Maida, and his management team for resolving the long-standing Unstructured Supplementary Service Data (USSD) debt crisis. This issue, which had grown to nearly ₦300 billion over four years, posed systemic risks to both the telecom and digital financial ecosystems. ALTON noted that the migration to an end-user billing framework has successfully eliminated the debt burden, creating a more sustainable operational structure for telecom operators and financial service providers.

Additionally, ALTON acknowledged the Federal Government’s approval of cost-reflective tariff adjustments last year, a move that helped avert a potential collapse of the telecom industry. After 13 years of static pricing amidst rising inflation, currency volatility, ageing infrastructure, and escalating energy costs, the tariff review has enabled operators to gradually return to profitability and resume capital expenditure planning.

On macroeconomic reforms, the association praised the Federal Government’s recent foreign exchange policy adjustments, noting that improved forex availability has allowed operators to meet international obligations, including payments for bandwidth, satellite capacity, software licensing, and equipment sourcing. ALTON highlighted that these changes have already spurred renewed investor confidence, evidenced by recent infrastructure investment announcements in the telecom tower segment.

The association also applauded the Federal Government’s designation of telecommunications infrastructure as Critical National Information Infrastructure (CNII) through an Executive Order, describing the move as transformative for protecting networks against vandalism and fibre damage. However, ALTON raised significant concerns over frequent fibre cuts caused by federal and state road construction contractors. These incidents, it noted, result in widespread service disruptions, destruction of digital infrastructure, and interruptions to essential services such as banking, education, and security.

To address this, ALTON called for the establishment of a structured pre-construction fibre mapping system and a mandatory coordination framework to mitigate infrastructure damage during road projects. The association stressed that protecting telecom infrastructure is vital for sustaining national connectivity and enabling the continued expansion of Nigeria’s digital economy.

Dr. Olorunnimbe, in response, reaffirmed the NCC Board’s commitment to fairness, accountability, and creating an enabling environment for sustainable growth in the telecom sector. He assured stakeholders of the Board’s dedication to safeguarding the independence of the Commission, as outlined in the Nigerian Communications Act 2003, and pledged to collaborate with industry operators to address structural challenges and ensure the sector’s long-term stability.