Nigeria Pushes for Lower Right of Way Fees to Expand Digital Infrastructure
As digital demand surges in Nigeria, stakeholders are urging state governments to cut Right of Way (RoW) costs and streamline approval processes for telecom infrastructure.
The call came from the Nigeria Digital Connectivity Investment Forum 2026, hosted by the Nigerian Communications Commission (NCC) with partners Swedfund and Ookla. Participants noted that high RoW fees—levies paid to state governments for laying fibre optic cables on public roads—have been a major bottleneck in expanding digital connectivity.
Harmonizing Rates Across States
The forum recommended states adopt the federal government’s model of ₦145 per linear meter for fibre optic cables, where operators reinstate roads after deployment. Currently, rates vary widely, with some states charging significantly higher fees or custom amounts.
While several states like Zamfara, Katsina, and Anambra have waived RoW entirely, others impose substantial application fees on top of the base rate:
- Ekiti charges ₦700,000 per application (highest in Nigeria)
- Cross River requires ₦250,000 for applications despite agreeing to the standard rate
- Adamawa removed RoW but still charges ₦100,000 per application
Impact on Digital Growth
Nigeria’s data consumption reached 1.6 million terabytes in July 2026—a near 47% increase year-over-year—and subscriptions are projected to exceed 350 million within a decade as cloud computing, AI, and other digital services expand.
The NCC highlighted that Right of Way reforms have already shown significant results in pilot states, with fibre growth increasing by 22%-95% where fees were reduced or eliminated. Lowering these costs would unlock additional investment and accelerate the deployment needed to meet growing demand.