Nigeria's surging digital demand is colliding with persistent infrastructure bottlenecks, as Right of Way (RoW) costs and approval processes continue to slow the deployment of telecommunications infrastructure, particularly fibre optic cables. The Nigerian Communications Commission (NCC) and industry stakeholders have called on state governments to reduce and harmonise Right of Way and site permit charges.

The recommendations emerged from the Nigeria Digital Connectivity Investment Forum 2026, held at the Onomo Allure Hotel in Abuja on September 29-30, 2026, and convened by the NCC in partnership with Swedfund, Sweden's development finance institution, and Ookla, the connectivity measurement company behind Speedtest.

According to a statement seen by Technext, the push to lower Right of Way costs comes as Nigeria seeks to set out national digital infrastructure and investment priorities and to expand opportunities for telecom operators and relevant partners to roll out infrastructure.

Stakeholders and telecom experts additionally recommended that state governments adopt the federal government's Right of Way model, under which the operator laying the fibre reinstates the road and permitting timelines are shortened.

Right of Way is a levy telecom operators pay to state governments to lay fibre optic cables that carry internet traffic along state roads. Aside from other bottlenecks such as vandalism, equipment theft and fibre cuts, the high cost of Right of Way and its rigid approval process frequently delay fibre optic cable deployment. Beyond slowing the pace of digital infrastructure buildout, this also hinders the expansion of nationwide mobile and broadband connectivity.

Demand is visibly outgrowing the networks. Nigeria consumed about 1.6 million terabytes of data in July 2026, an increase of nearly 47% in twelve months, according to industry statistics published by the NCC. Subscriptions are projected to grow from roughly 195 million toward 350 million within ten to fifteen years. Cloud computing and artificial intelligence are also expected to lift demand for networks, data centres and energy. That trajectory depends on laying more fibre—the very deployments that Right of Way charges and approval timelines govern.

Against that backdrop, stakeholders described cutting Right of Way costs as a practical way to accelerate investment and expand meaningful connectivity, and encouraged the NCC to engage state governments on harmonising the Right of Way tariff and pressing for adjustments.

Stakeholders maintained that such reforms are significantly necessary, pointing to a pilot of the Nigeria Digital Connectivity Index conducted across twelve states, which shows Right of Way reform translating directly into fibre growth of between 22% and 95% in reforming states.

For telecom operators, the challenge is not so much acquiring thousands of kilometres of fibre optic cable as navigating the high fees demanded by some state governments, which have been a leading hindrance to rapid infrastructure implementation.

The federal government's recommended rate, agreed by the Nigerian Governors' Forum, is ₦145 per linear metre for fibre optic cables. In practice, rates vary significantly by state, making the benchmark a reference point rather than a uniform national charge. While some states have waived fees or aligned with the ₦145 rate, many other state governments charge higher or custom rates.

States such as Zamfara, Katsina, Anambra, Kebbi, Nasarawa and Bauchi, among others, have completely waived Right of Way fees for telecommunications and broadband operators to encourage fibre optic deployment. The removal of levies, however, often comes with associated costs.

In Adamawa State, for instance, Right of Way fees were removed entirely, yet telecom operators must still pay ₦100,000 per application. Cross River, despite agreeing to the ₦145 per linear metre rate, still demands ₦250,000 in application fees.

Ekiti charges an application fee of ₦700,000, the highest in the country, despite adopting the standard ₦145 rate. Taraba adds ₦350,000 in application charges, Oyo collects a ₦50,000 application fee, and in Yobe operators still pay ₦145 per linear metre plus a ₦25,000 application fee.

These hidden fees, on top of differing taxes, are identified as crippling investment decisions. Stakeholders also pointed out that fibre deployment projects are frequently delayed or abandoned because of multiple charges, particularly in states with the highest fees. How far the harmonisation push travels—whether more states align with the ₦145 benchmark and whether application fees fall alongside headline rates—will signal whether the conditions behind those stalled projects begin to ease.