Nigeria's telecommunications sector faces regulatory hurdles despite significant economic growth

In Q1 2026, Nigerians spent N3.33 trillion on internet data, and the sector contributed 9.19 percent to Nigeria's real GDP, making it the fourth-largest contributor. Despite this growth, the National Broadband Plan 2020–2025 missed its 70 percent penetration target, achieving only 50.58 percent by December 2025. This shortfall is attributed to governance and regulatory failures, not technology.

Key issues include the Right of Way problem, where only 11 of 36 states comply with agreed-upon charges, leading to higher deployment costs and data prices. Infrastructure protection is another challenge, with 19,384 fibre-optic cable cuts recorded between January and August 2025, and 5,934 in Q1 2026 alone. These cuts, largely due to road construction and vandalism, result in service outages, repair costs, and deter investment.

The third major issue is multiple taxation, with the sector facing over 50 distinct taxes, levies, and fees, increasing operational costs and compliance burdens, which are passed on to consumers through higher data prices. The NCC's proposed National Telecommunications Policy 2026 aims to address these issues. The article suggests three critical reforms: a mandatory national utility mapping database with criminal liability for non-compliance, a constitutional mechanism to enforce Right of Way complianc