Telecom operators spend N14b on generators

By Chuks Udo Okonta

3rd November 2009

Telecommunica-tion operators have spent over N14 billion in the acquisition of generators to power base stations, the Chairman, Association of Licensed Telecom Operators of Nigeria (ALTON) Mr. Gbenga Adebayo, has said.

Adebayo disclosed this in a paper entitled: ‘Sustaining the ICT sector growth in a down world,’ presented at a forum organised by Technology Africa, in Lagos.

He said insufficient power supply was responsible for over 60 per cent of network failures.

He said each base station is powered by two generators, and that several millions of naira is spent monthly; coupled with the increasing incidence of theft and vandalisation of the generators.

He said operators lose over 30 generators monthly to vandals, noting that insecurity has been the bane of the sector’s growth.

Said he: "Operators face major challenges in securing site approvals from state governments. Continuing community issues hinder development and maintenance of sites, e.g. the Niger Delta region. An inadequate road network impedes access for network deployment and construction.

"Resultant delays to trade distribution nationwide particularly in the rainy season. Increasing incidence of recurrent fibre cuts on network affecting signalling and transmission link across the country."

Adebayo said capacity-building is critical for the sustenance of telecom development, noting that more effort is needed from government to ensure that the technical manpower requirements for ICT industry are met.

He said the inadequate human capacity is traceable to challenge in the nations socio-economic environment and the guaranteed minimum quality of lives.

"The telecom sector is loosing a number of highly trained personnel to other countries with less potential, countries with better social security and standard of living and economic values, countries with better health care, better education guarantees for their children, better security of lives and properties and better quality of lives, which leaves a major challenge for the industry.

"There should be active promotion and encouragement of local manufacturing capacity and training for the telecoms sector by creating and implementing fiscal and financial incentives to facilitate and accelerate network rollout.

" They should be duty free importation of critical telecommunications equipment and handsets and there should be promotion of local manufacturing capacity and skill training to support the telecommunications industry."

He called for urgent expedition and vigorously pursue of the power reforms, adding that the current minimum power requirement for the sector is 260 Watt, and zero duty should be on generators. He also said there should be dedicated supply of diesel for the operator from the refineries

Source: The Nation

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