Telecom
Making Good Use of Universal Service Provision Funds
The Nigerian National Telecommunications Policy provides a mandate for universal access to telecommunications services for economic, social and political development. The Communications act requires a Universal Service Provision Fund (USPE) that will promote the widespread availability of ICT network services to underserved areas.
The USPE is a platform for Government to encourage the development of telecommunications services in the rural areas and promote rapid social-economic development that will eventually minimize the access gap by providing public telephony and internet point of presence within 5kilometers.
Telecommunications in Nigeria has contributed to the creation and sustenance of jobs through employment of direct and indirect labour at various levels. Mobile telephony currently account for over 95% of the total telephone connection in Nigeria with mobile GSM and CDMA operators contributing in excess of 74 million subscribers out of the total industry figure of 76 million reported in first quarter of this year.
Recent efforts
The Nigeria Communication Commission (NCC) has so far released about N30billion for the executions of variety of programmes through Universal Service Provision Fund (USPF) in the six geo-political areas of the country.
Mr. Funso Fayomi, executive director/ Secretary of the USPF, disclosed recently at the North West stakeholders’ forum organized by the NCC in collaboration with USPF, that already over 550 secondary schools under the schools access programme and 133 tertiary institutions under the tertiary institution access programmes across the nation have been provided with computers and necessary ICT facilities.
According to him, under the 5years strategic programme of the USPF, over 70 percent of Nigeria communities in the rural areas where the provision of network services are either unserved or underserved will be provided with community communication centres (CCC).
“Each of the community communication centres will provide a public calling centre, a cybercafé and ICT training centre as well as serve as flat form of extending wireless internet access to the neighboring communities,” he said.
He further stressed that the CCC will enable the private operator/ implementing counter part to install and run a wireless broadband internet point, adding that services will enable access to the internet for individuals, businesses, government offices and other community based organizations.
Enumerating other achievements of USPF, the executive director/ secretary of USPF said the USPF is ready to provide funds to assist schools and unserved and underserved communities nationwide, but quickly added that various state government should provided necessary facility and security for selected schools in the targeted areas.
‘We cannot deny any community or school ICT facilities because they don’t have classrooms or electricity, which is why we take time to meet with state government and appeal to them to provided any such select areas with necessary basic infrastructures".
Mr Fayomi said the USPF don’t implement or won any projects, adding that they only provided the fund and ensure that the contractor handling the projects are properly mobilized to execute the projects in the selected areas.
Engr. Stephen Adebayo Bello, acting executive vice chairman of Nigerian communication commission (NCC), said one of the basic objective of the USPF is to contribute to national economic and social development through enhancing ICT infrastructures and services.
Engineer Bello explained that the USPF strategic plans cannot be actualized without the participation of the beneficiaries of the projects in terms of design and deployment, and charged CBO’s in various regions in the country to take up the challenges for the development of their respective locations by becoming aware and get more involved.
Explaining the school access programme, SAP, Fayomi noted that the project provides computer, accessories and high speed internet connection to selected schools, including laptops for teachers. “Each school will have a wireless mesh that will connect all the computers and the teacher’s laptop and the project which adapts the school’s curriculum for computer training includes a training module for teachers.
Giving what seems to be a report card of the entire project, Fayomi pointed out: "As we all gather here today to commission a few of the completed USPF projects; we want to also inform you that, we have rolled out similar projects in each of the geo_political Zones of the nation.
On the whole, we have 218 Community Communication Centers (CCC) and 240 USPF subsidized Base Transceiver Station (BTS) spread across the federation in different stages of completion. We have also provided 476 government secondary schools with 100 computers, a 5KVA generator and broadband connectivity (per school) under the School Access Project SAP, 133 tertiary institutions with 100 desktops and broadband connectivity (per school) under the TIAP Project. In Cross River State we have also provided facilities for the University of Calabar."
He promised that USPF will always team with relevant stakeholders to bring ICT facilities to the various ends of the country, adding that the overall plan is to be able to reach every school in the country.
Stakeholder/Private sector participation
There is need for harmonization of current uncoordinated effort by government to provide practical support for the USPF, such as; NCC’s wire Nigeria project (WIN) and Sate Accelerated Broad band Initiative (SABI) NCC Universal Service Pilot project Funded by the World Bank and Ministry of Communication’s National Rural Telephone Project (NRTP) as well as Ministry of Science and Technology’s Galaxy Backbone Project.
Federal Government Computer for all Nigerians (CANI) amongst other Industry bodies should be represented on the USPF and its committees to promote greater collaboration between the USPF and stakeholders. Increase transparency in management of USFE and increase stakeholder participation in the collection, administration Management of USP Funds Need to appropriate adequate incentive to ensure that ICT rollout in the rural and underserved communities is not hampered by the inadequacy of requite incentives.
USPF to ensure that the NTP and Universal Access policies are reviewed constantly and those stakeholders are duly consulted throughout the review process. This is critical as it will promote greater confidence of stakeholders and contribution in the management of the USPF. USPF should adopt best practice to suite local environment conditions had peculiarities of the Nigeria Market.
USPF should priorities build out of backbone infrastructure by private operators aimed at accelerating the build out of backbone transmission infrastructure into un-served and under-served rural and urban communities.
The NCC through the USPF should allocate frequencies in the 2.4,3.5,4.5 900 MHz free of charge to operators providing communications services to rural areas.
There is need for USPF to continue stakeholder consultation on regular basis. USPF projects should be implemented on a wide scale and robust basis.
Barrier to Universal Access
Extremely high operating costs in rural communities. High maintenance cost due to non availability of infrastructure such as Power roads, and High License/spectrum numbering fees without regards to unserved areas that should benefit from universal access policies.
Comments on Contribution to USPF Funding:
Further to provisions in the regulations giving NCC discretion to increase or decrease the percentage of AOL contributions already set at 2.5% to be paid into the USPF and to set the amount of the “USP levy” from time to time. In the light of multiple taxation and regulatory issues, that any additional onerous, that any administrative burdens on operators should be avoided.
The USPF should always make clear references to the percentage of the AOL to be paid into the USPF by the NCC. Any further changes to UA policies that will impose additional financial obligations on operators should only be undertaken after extensive consultations with stakeholders i.e. Operators.
Incentives for Operators Under the USPF
Engr. Gbenga Adebayo, chairman Association of Liccensed Telecommunications Operators of Nigeria (Alton) said proper coordination of varied Universal Access initiatives is required to avoid duplication and ensure optimal utilization of resources, there is the need to streamline the national rural telephony programme sponsored and coordinated by the Ministry of Communications and any other similar initiative by Government currently running parallel with the USPF along the policy objectives of USPF.
He highlighted some of the incentives as investment in infrastructure which would have ordinarily been provided by Government such as access roads, pipe borne water, electricity supply. Investment in economically disadvantaged areas – 100% tax holiday for seven years and an additional 5% capital depreciation allowance. Subsidies and tax allowances on capital investment incurred rolling out in underserved and un-served areas that would be unprofitable in the short and medium term.
Others are total exemption of towers and masts from any form of levies, charges or other taxes by any level or arm of Government. Duty exemption on Network rollout equipment – fiber optic cables, terminal equipment, and specialized telecom equipment. USPF/NCC should ensure that Spectrum fees for frequencies required for rural roll-out are not expensive both in cost of allocation and renewals. Encourage rural entrepreneurs to co-invest in telecom network with operators which give mutual benefit both to local partners and entrepreneur local operators and local communities.
Benefits currently offered by Operators
Adebayo explained that operators offer low cost handsets both GSM and CDMA Operators. Service affordability (SIM costs as low as N100) Operators retention of subscribers on the networks irrespective of income/dormancy level, and availability of rechargeable cards in low denominations. Free on-net calls on some networks, and co-location and co sharing of infrastructure among operators. The National Rural Telephony Programme and other similar Government Rural access initiatives should be subsumed under the USPF. This industry bodies should be represented on the USP board and be better positioned to influence decisions of the USPB. Each stakeholder should perceive the other as an equal partner in the Universal Access Project Operators should contribute to the USF by duly paying Annual operating Levies.
Subsidies should only be granted to efficient and tested operators.
USPF administrative costs should be kept at a minimum to ensure funds are not eroded. Regulatory fees (numbers, spectrum, AOL) and State/Local Government levies paid by operators should be reviewed downwards to reflect only the administrative cost of issuance.
Telecom
Airtel Africa Grew Customer Base to 169m as Q1 Revenue Hits $1.4 Billion

Airtel Africa has grown its customer base by 9.0% to 169.4 million, with data customers increasing 17.4% to 75.6 million with focus on bridging the digital divide across her markets continues. According to the telecommunications operator’s financial results for the quarter ended June 30, 2025, which demonstrated strong growth across key metrics and a continued focus on expanding its services across its 14 African markets.
The operator reported a significant increase in revenue, reaching $1,415 million. This represents a 24.9% growth in constant currency and a 22.4% increase in reported currency, indicating a more stable macroeconomic environment in its operating regions and effective tariff adjustments, particularly in Nigeria.
The growth was broadly driven, with mobile services revenue increasing by 23.8% in constant currency. Data revenue showed exceptional performance, surging by 38.1%, while voice revenue grew by 13.9%. Mobile money services continued their strong upward trajectory, recording a 30.3% growth in constant currency. This was supported by accelerated growth in Francophone Africa (16.4% in constant currency) and continued strong performance in East Africa (20.3% in constant currency).
Airtel Africa’s profitability also saw a substantial uplift. EBITDA grew by 29.8% in reported currency to $679 million, with EBITDA margins expanding to 48.0% from 45.3% in the prior period. This margin expansion is attributed to sustained operating momentum, more stable fuel prices, and the ongoing benefits from cost efficiency programs.
Profit after tax saw a remarkable improvement, rising to $156 million compared to $31 million in the prior period. Basic Earnings Per Share (EPS) stood at 3.4 cents, a significant increase from 0.2 cents in the previous year, primarily reflecting higher operating profit in the current period and the absence of large derivative and foreign exchange losses that impacted the prior period.
Operational highlights further underscored the company’s growth. Airtel Africa’s total customer base expanded by 9.0% to 169.4 million. Data customers increased by 17.4% to 75.6 million, as the company intensified its efforts to bridge the digital divide. Mobile money customer base also grew by 16.1% to 45.8 million, with transaction value increasing by 28.7% in constant currency.
The company’s strategic focus on enhancing customer experience is supported by ongoing network investments. Over 2,300 new sites were rolled out, bringing the total to 37,579 sites, and the fiber network was expanded by 2,700 km, now exceeding 79,600 km. This investment has boosted data capacity across the region, with 4G population coverage reaching 74.7%, an increase of 3.4% year-on-year.
Airtel Africa continued its debt localization program, with almost 95% of its operating company debt (excluding lease liabilities) now in local currency, up from 86% a year ago, reducing foreign currency debt exposure. The company also confirmed it has returned $16.9 million to shareholders through its ongoing share buyback program as of June 30, 2025.
Sunil Taldar, chief executive officer, said: “We are very pleased with the strong growth in our operating and financial performance in the first quarter. The strength of this performance, and the scale of the growth we achieved, reflects the sustained demand for our services and the strength of our business model to meet these demands. Operationally, the acceleration in customer base growth to 9%, and 17.4% growth in our data customers to 75.6m reflects the strong on-ground execution with a relentless focus on digitisation and the simplification of the customer experience.”
Telecom
NITRA-ALTON CNII & Sustainability Conference Rescheduled for August 7 in Lagos

The 2025 edition of the Critical National Information Infrastructure (CNII) & Sustainability Conference has been rescheduled to hold on August 7, 2025, at CitiHeight Hotel, Ikeja, Lagos, following a shift from its earlier date of July 30.
The adjustment was made to accommodate a nationwide telecom stakeholders’ meeting convened by the Nigerian Communications Commission (NCC).
The CNII Conference, jointly organised by the Nigeria Information Technology Reporters Association (NITRA) and Association of Licensed Telecommunications Operators of Nigeria (ALTON), seeks to address the implementation and awareness gaps surrounding the CNII Order, signed into law by the Federal Government in August 2024.
The law designates telecom infrastructure as Critical National Information Infrastructure, positioning it as a strategic asset vital to Nigeria’s economic and security framework. Industry groups including the Association of Telecommunications Companies of Nigeria (ATCON) have thrown their weight behind the initiative.
Speaking on the new date, NITRA Chairman, Mr. Chike Onwuegbuchi, emphasised that the Act, though laudable, requires industry-wide collaboration and clear implementation strategy for tangible impact.
“The mere proclamation of CNII as an Act does not guarantee infrastructure safety. Stakeholders must address operational and standardisation gaps to make the law work,” he said.
ALTON Chairman, Engr. Gbenga Adebayo, also highlighted the need for regular maintenance and technology upgrades to curb vandalism and ensure infrastructure security.
Focus Areas of the Conference Include:
- Implementation mechanisms for the CNII Act.
- Stakeholders’ roles at federal, state, and industry levels.
- Security enforcement and public education.
- Infrastructure protection and sustainability.
- Collaboration and compliance across telecom companies.
Expected attendees include the Minister of Communications, Innovation and Digital Economy, regulators, service providers, security agencies, and key players in public and private sectors.
The event is themed “Industry Sustainability And CNII Conference 2025 – Way Forward”, with panel discussions aimed at creating a unified approach to safeguarding Nigeria’s telecom infrastructure under the CNII provisions.
Telecom
Telcos: How and Why Network Services have Been Poor

Telecommunications operators (telcos) in Nigeria have explained that the recent poor quality of network services experienced across the country is largely due to the widespread vandalism and theft of critical telecom infrastructure, not a failure on their part.

Gbenga Adebayo, chairman, ALTON
The operators, under the aegis of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), said their efforts to improve services through massive investments and network upgrades are being undermined by unchecked sabotage and the lack of sufficient protection from security agencies.
They warned that unless urgent action is taken, the situation could worsen in the coming days, affecting not just voice and data services but also key sectors like banking, education, healthcare, and national security that rely on stable telecommunications.
A top official from one of the major mobile network providers, who spoke anonymously, said operators had kept their promise to enhance service quality following a recent tariff adjustment approved by the Nigerian Communications Commission (NCC), but their efforts are being eroded by relentless vandalism.
“At the wake of the marginal price adjustment that the NCC approved for the sector, we promised to optimize our networks to give Nigerians a very robust service,” the official said
“But what we are seeing after making such huge investments is that vandals are carting away our facilities without a challenge and selling them in open markets. That’s why services are a bit poor and that is why if nothing is done urgently, it will get worse.
In a statement jointly signed by Gbenga Adebayo, chairman, and Damian Udeh, publicity secretary, ALTON expressed deep concern over the scale and spread of infrastructure sabotage across the country.
“Since the Federal Government’s decisive interventions earlier this year to support industry sustainability, our members have committed unprecedented levels of investment in network optimization and capacity upgrades,” the statement read.
“New systems are being deployed, transmission equipment modernized, power systems overhauled, and thousands of kilometers of fiber optic networks currently being laid and expanded. Our industry has not seen this scale of investment in recent years. We are working round the clock to improve the quality of service nationwide and we cannot afford these setbacks.”
Between May and July 2025, the association recorded numerous cases of vandalism at telecom sites across Rivers, Ogun, Osun, Imo, Kogi, Ekiti, Lagos, Abuja, and several other states, resulting in widespread outages and degraded service quality for millions of subscribers.
Stolen assets include power cables, rectifiers, fiber optic and feeder cables, diesel generators, batteries, and solar panels, all vital for maintaining consistent network availability.
“These are not mere materials, but the backbone of our digital economy, security systems, and national communications grid,” ALTON said. “We are alarmed at the frequency, intensity, and geographical spread of these incidents.”
Telcos on poor network services also raised alarm over a thriving black market for stolen telecom equipment.
“Batteries are being resold for household and office inverters, solar panels are stripped from sites and traded to unsuspecting buyers, while diesel meant for powering telecom base stations is routinely siphoned and sold.”
In addition to vandalism, ALTON cited damage caused by road construction and civil engineering projects, which frequently destroy underground fiber optic cables, leading to unplanned service disruptions and financial losses.
The group has called on key security stakeholders, including the Office of the National Security Adviser (ONSA), the Inspector General of Police, the DSS, and the NSCDC to urgently step in and protect telecom assets nationwide.
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