Telecom
Osun Govt’s Claims of N900m Unpaid Tax Against MTN Unsubstantiated
Osun State Government, through its consultant, Global Transaction Nigeria Limited (GTNL), has been making unsubstantiated claims of outstanding tax obligations due, and requests that they be paid through the consultant.
Our Investigation has shown that MTN has settled its RoW fees to Odua Infraco based on binding RoW contract between Osun State and Oodua.
According to a document sighted by our reporter, the claim by osun state government is therefore baseless and unfounded since documents on ground has shown that the telco paid the state government through its consultant, in this case Odua Infraco.
If there is an attempt by Osun State government to severe ties with Odua Infraco, this shouldn’t impact existing agreement with RoW right holders (Odua and Osun should resolve their differences in the overall interest of ease of doing business).
During the period referenced, MTN legally partnered with the Odua Investment Company – in which the Osun State government has a significant shareholding, to lay cable in their fibre ducts in the state. This was based on the documented existing right of way approvals for Odua’s ducts provided by the Osun State Ministry of Innovation, Science and Technology.
The actual dispute is between Osun State government and Odua Infraco over the right-of-way (RoW) fees for fibre infrastructure deployment. Odua Infraco has the right of way for 1031.44 kilometres across four states (Osun, Oyo, Ondo and Ekiti States) for the construction and operation of fibre infrastructure, for which MTN executed an IRU with Odua.
The relationship between Odua and the Osun State government is governed by a May 2023 Right of Way & Easement Agreement. MTN demanded an additional letter of no objection from Odua for the transaction. However, it appears the state government is no longer interested in the relationship with Odua following the state’s appointment of Global Transaction Nigeria Limited (GTNL) as a consultant on telecommunications infrastructure and the alleged termination of the agreement with Odua.
Ignoring the existing agreement with Odua, the state government, via a letter dated 19th April 2024 (from the Special Adviser on legal matters to the Governor) demanded for the payment of N945,000,000 as Right of Way (RoW) fees for 270KMs of fibre optic and a penalty fee of N100,000,000 for the alleged non-payment of RoW. Meanwhile, the RoW is already covered under MTN’s existing agreement with Odua.
Almost universally, Nigerian state governments have acknowledged the importance of affordable right of way charges to enable the growth and development of an inclusive digital economy.
Actions taken by MTN to settle the matter
Engaged and met with members of the Executive Council of Osun State (Commissioners for Finance & Environment & Sanitation and the Attorney General) to amicably resolve the issue. However, all efforts have not yielded the desired result.
Advised Odua to settle its disagreement with the state government.
MTN has suspended all payments to Odua until the matter is resolved.
Sought the NCC’s intervention following a complaint filed with the NCC by the GTNL.
Pertinent issues
Should consultants be mandated to collect tax revenue directly on behalf of government as opposed to receiving payments directly from government?
A modern and dynamic economy rides off low-cost telecoms infrastructure. State governments seeking to charge exhorbitant right of way fees simply put more pressure on customer pricing;
Progressive state governments have waived RoW fees entirely in recognition of the economic and social benefits of affordable digital and data access.
Osun State government has provided documented right of way to MTN partners, but now wants to charge additional fees for the period in which that RoW approval was granted.
The Odua investment company, which was granted RoW by the Osun State Government and partnered with MTN, is partly owned by the Osun State Government and there is no need for this level of aggression.
Telecom
FG Hopeful Thuraya’s Relaunch in Nigeria Will Boost Fight against Insecurity, Others
Thuraya, a leading provider of satellite communication solutions, has officially relaunched its services in Nigeria, a move the federal government hope will help in the fight against insecurity, illegal mining and oil thefts in the country.
Tsat Telecommunication, Thuraya’s local service partner, spearheaded the relaunch by implementing comprehensive strategies to enhance service delivery across Nigeria.
As part of this effort, the company partnered with system integrators Cypod Solutions and Niflink, who played critical roles in ensuring the successful integration of Thuraya’s advanced satellite services into the local market.
With this relaunch, Thuraya aims to provide more reliable and accessible communication options for businesses and individuals across Nigeria, addressing the growing demand for robust satellite solutions in remote and underserved areas.
This development is expected to have a significant impact on sectors such as oil and gas, agriculture, and disaster management, where seamless communication is vital for operational efficiency.
At the event Dr Bosun Tijani, minister of Communication, Innovations and Digital Economy, expressed hope that the launch of Thuraya communication products and services will help in the fight against insecurity, illegal mining and oil thefts in the country.
The minister who was represented by Engr Farouk Yusuf, permanent secretary of the ministry, said, beyond helping in expanding the country’s broadband penetration to hinterland and hard-to-reach areas, the formal entry of Thuraya satellite communications services will help security forces in combating criminalities bedevilling the country.
“Of course, Thuraya’s solutions will not only enhance broadband access but also provide critical communication tools such as can be used in security, agriculture and disaster management, as we mentioned in previous presentations.
“We expect Thuraya’s satellite products and services to play a critical role in addressing Nigeria’s ongoing security challenges through a deliberate action.
He, however, said that while the country is thrilled with the coming of Thuraya, Nigeria expects the firm to take deliberate actions and efforts in ensuring that the partnership brings value to the country.
Earlier, Alhaji Abba Sani Abdullahi, chairman and chief executive officer of TSAT, expressed delight over the partnership that saw the re-entry of Thuraya onto the Nigerian market.
Also speaking, Faisal Mohammed Ahmed, vice president, Tech and Sale of Thuraya, said the company has range of telecommunications and satellite assets that will boost the country’s digital landscape and also help in tackling security problems.
Telecom
Toyota Prado, Kia Cars, Generators, Other Items on Offer as Glo Festival of Joy Begins
Customers of digital solutions provider, Globacom, are in for an exciting Yuletide season as the company is set to give out exquisite cars and other prizes in a new season of its customer-loyalty reward promo, Festival of Joy.
Globacom, in a press statement issued in Lagos, noted that it has chosen to put smiles on customers’ faces by spending huge sums on prizes at a time other companies are cutting costs owing to the prevailing economic situation.
The mouth-watering prizes include Toyota Prado, 5 Kia Picanto cars, 15 tricycles, 150 power generating sets, 200 sewing machines and 300 grinding machines as the promo kicks off on October 1 and will run until January 31, 2025.
Globacom explained that Festival of Joy promotion was launched in accordance with its commitment to empowering Glo subscribers as the festive season approaches. The prizes, it explained, were carefully selected to appeal to all categories of customers including high net-worth individuals (HNIs), professionals, business men and women, workers and students.
“Nigerians in all parts of the country have a chance to win any of the amazing items on offer as prize-presentation events will be held in several cities across the country including Lagos, Abuja, Ibadan, Port Harcourt, Enugu, Benin, and Warri,” Globacom explained.
Furthermore, new and existing customers on both the prepaid and the postpaid platforms are eligible to participate in the promo, the company added, saying “All a customer is required to do is to opt into the promo by dialing *611#, select the prize he or she is aiming for and recharge up to the required amount for the particular item to qualify for the draw.”
To become a proud winner of a Prado jeep, a customer is required to recharge up to N100,000 cumulatively during the promo period to qualify for the draw, while for the Kia Picanto, a customer needs to make a N50,000 cumulative recharge during the period.
Any customer who wishes to win a tricycle should recharge up to N10,000 cumulatively in a month, just as N5,000 total recharge in a month will qualify the customer to win a generator; N2,500 in a month for sewing machine and N500 in a day to qualify for the draw for grinding machines.
Said Globacom, “All recharge types – physical and electronic – count towards the qualification. The higher the recharge amount, the higher the chances of winning.”
Telecom
FG to Launch $1.5m Initiative for AI Development
Federal government is set to unveil a $1.5 million initiative aimed at supporting Artificial Intelligence (AI) development in the country.
This announcement comes from the Minister of Communications, Innovation, and Digital Economy, Dr Bosun Tijani, who disclosed the upcoming AI Fund initiative during an interview on Arise TV.
The new AI support, backed by global foundation Luminate, will be officially launched on October 7 in Abuja.
This follows the recent N100 million AI fund launched by the Ministry in partnership with Google. While the earlier fund was criticised as insufficient, Dr Bosun Tijani clarified that this new funding reiterates the government’s will and focus on pooling resources for AI growth in Nigeria.
Addressing issues about the perceived inadequacy of the previous AI fund, Dr Bosun Tijani explained that many Nigerians misunderstood the scope of the initiative.
He stated that the government is focusing on gathering resources from multiple avenues, emphasising that the AI sector’s development is not reliant solely on domestic funding.
The Minister revealed that, in addition to Luminate’s contribution, the government is setting up the National Artificial Intelligence Trust. This body, developed in collaboration with AI Collaborative, will ensure that AI innovations are ethical and sustainable, particularly as the nation works on developing AI applications in local languages.
Dr Tijani also discussed the government’s long-term vision for technology infrastructure, acknowledging that while the benefits may not be immediately visible, projects such as the ongoing fibre optic cable installation, which will cover 90,000 kilometres across the country, are crucial for future development.
The Minister admitted that securing the $2 billion required for this project will take up to 18 months, with the full installation expected to be completed over the next few years. However, he stressed the importance of such foundational projects, saying that their eventual impact will address national challenges, including poverty.
In addition to these large-scale initiatives, Dr Tijani highlighted the government’s 3 million Technical Talent (3MTT) initiative, which is already providing job opportunities for Nigerians, particularly in the technology sector. He also mentioned the 774 Project, designed to enhance service delivery at the local government level by connecting secretariats nationwide.
At a National AI workshop earlier this year, Dr Tijani had introduced the AI Collective, a collaborative platform aiming to drive the country’s AI ecosystem.
This effort is supported by the $1.5 million pledge from Luminate, spread over three years, which will fund key organisations such as Data Science Nigeria, Lagos Business School, and the Centre for Journalism, Innovation, and Development. These institutions will collaborate on governance, research, and innovation within the AI space.
The AI Collective operates within the National Centre for Artificial Intelligence and Robotics (NCAIR), providing a space for Nigeria’s academic, civil society, and technological communities to work together in ensuring that AI becomes a central component of the nation’s economic growth.
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