Telecommunications operators in Nigeria have issued a stark warning to the Federal Government, predicting significant national economic disruption by 2025 unless urgent reforms are implemented within the sector. This alert was articulated by Engr. Gbenga Adebayo, Chairman of the Association of Licensed Telecom Operators of Nigeria (ALTON), during a stakeholders’ end-of-year anniversary event.
Adebayo emphasised that without necessary changes, telecom operators will be unable to ensure service availability, which could severely impact vital sectors such as security, commerce, healthcare, and education. These sectors heavily depend on robust telecom infrastructure to function efficiently, and disruptions could lead to far-reaching consequences.
“The survival of the telecom sector demands immediate and bold reform for its sustainability,” Adebayo declared, underscoring the critical need for tariff adjustments that reflect the economic realities facing operators. He elaborated on concerns that without intervention, the nation may begin to experience “Service Shedding,” where service availability would vary by region and time of day, consequently leaving millions of citizens disconnected.
According to Adebayo, the ramifications could hinder business operations due to inadequate connectivity, stalling growth and innovation across the country. He stated, “If nothing is done, we might begin to see in the new year grim consequences unfolding,” including significant economic fallout. The existing operators are grappling with increasing operational costs, high energy prices, inflationary pressures, and volatile exchange rates, leaving them financially constrained in maintaining and upgrading their services.
The telecom industry, acknowledged as a backbone of Nigeria's economic infrastructure, is at a critical juncture, as past challenges have escalated into urgent threats. Adebayo highlighted the need for collaboration among stakeholders to address these sustainability challenges. He remarked, “Despite the dire warnings, we still believe that a better 2025 is possible—but only if we act now.”
Reflecting on the past year's struggles, Adebayo pointed out the importance of not just keeping the sector afloat but focusing on its longer-term viability. He added, “The sustainability challenges we face today are not just a passing storm—they are a clarion call for decisive action to ensure that this industry thrives for generations to come.”
With the end of 2024 approaching, telecom operators are advocating for immediate reforms to avert a crisis that could exacerbate the fragility of Nigeria’s economic landscape. Engr. Gbenga Adebayo concluded with an emphatic appeal for collaboration, stating, “ALTON stands ready to work with all stakeholders to ensure the survival and prosperity of this sector,” reiterating the urgency of the situation and the need for immediate action to safeguard the future of telecommunications in Nigeria.
Source: Noah Wire Services