Mobile network operators (MNOs) have renewed the push to hike the end-user tariff of telecom services in the country, citing high cost of doing business.
They urged President Bola Tinubu to cancel the recently suspended 7.5 per cent Value Added Tax imposed on automotive gas oil , which is the major fuel for powering the telecom sector in the absence of reliable energy from the national grid., in a submission to the House Committee on Communication in Abuja, said while other sectors have increased charges, telecom has not.
According to Adebayo, not only has this impaired investor confidence and depleted available investible funds necessary to optimize infrastructure for improved service delivery, it also threatens the very sustainability of the sector’s operations. Speaking on the punitive diesel cost and its impact on operations cost, he said ALTON is pleased and commends the recent Federal Government’s announcement of the suspension of the 7.5per cent VAT on diesel price for the next six months.
“The provision of telecoms service in the Federal Capital Territory Abuja has been hampered by the refusal of the Federal Capital Development Authority and Abuja Metropolitan Management Council , to grant permits to our members to build sites. Despite concerted engagement, FCDA has maintained that due to the need to maintain the Abuja Master Plan, it will not grant approval to our members to build new sites in the Federal Capital Territory, Abuja.
He said ALTON respectfully states that without adequate infrastructure deployment, the provision of required levels of telecommunications services within the FCT cannot be guaranteed. We therefore respectfully invite you to use your good office to liaise with the FCDA to agree and authorize suitable locations for new sites built by our members.
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