Governor AbdulRahman AbdulRazaq of Kwara State has directed that the Right of Way (RoW) fee for telecommunications firms (Telecom) be slashed from N5,500 per linear metre to N1 per kilometre of fibre.
Commissioner for Communication, Murtala Olanrewaju, in a statement said the reduction was with immediate effect. He described the new fee as the second lowest in Nigeria after Kaduna State.
He said the decision was to deepen digital penetration in Kwara, jerk up the state’s ease of doing business ratings, and ease access to the internet and other digital communication even in the remotest parts of the state.
“Apart from driving up investment in the sector, the long-term effects of this significant step such as strengthening access to digital communications and bringing more businesses to the hinterlands cannot be quantified,” he said.
Internet and broadband penetration is known to have a direct correlation with economic development.
A study by the International Telecommunications Union (ITU) on Africa reported that a 10 per cent broadband penetration would lead to a 2.5 per cent increment of Gross Domestic Product (GDP).
The National Economic Council (NEC)recently resolved to encourage technological advancement as a way to fast track economic development in Nigeria.
The resolution was hinged on the need to create favourable business environment for telecommunication companies and to further deepen broadband penetration for social and economic development.