FCDA commends MTN for paying up telecommunication duct network

 

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Favour Ishember, Abuja

 

 

The Federal Capital Development Authority (FCDA), has affirmed that telecom giant MTN is on credit telecommunication duct debt .

 

The Chairman, Finance and General Purpose Committee of the 7th FCDA board, Hussein Monguno,  stated this while addressing journalists during a visit to some of the telecommunication’s critical infrastructures in Abuja,

 

According to him the move was part of the effort to recover the over  N7.8 billion debt owed by several telecommunication companies to FCDA.

 

He said the agency has issued a 7-day ultimatum  to telecom  offices in Abuja to pay up it’s telecommunication duct debt or risk business and switch premises being sealed up.

 

He said that since the commencement of full liberalizatio of the Telecommunication duct network in 2004, Some telecom companies are yet to complied with the payment of the lease agreement.

 

Monguno said that although other telecommunication companies have responded positively, some failed to show any commitment.

 

 

“When we were sworn in to this board, the minister find it necessary to constitute a committee for debt recovery. When the committee was constituted.

 

 

“There are about 7.8 billion naira or thereabout debt, being owed to FCDA by different telecommunication companies, we wrote them a letter. We invited them to come and either accept or disagree with the billing system because FCDA has a very good billing system.

 

“Some of them actually paid. As I speak now, MTN is actually on credit, and several others have payed, but some are yet to pay .

 

 

“FCDA has built this infrastructure to give them an enabling environment to operate. They have to reciprocate our effort by paying for the service. So, if they don’t pay the debt, we know what to do. They have signed an agreement, and the content of the agreement is very rich. We can do quite a lot, we can seal up this place and we can also disconnect them.

 

 

 

 

When asked on the negative impact the disconnection would cause its customers, the Chairman said “subscribers can choose to go to other network. Why will you have a network that will not be able to pay their debt?”

 

Also speaking, the Executive Secretary, Federal Capital Development Authority (FCDA), Zaliha’u Ahmed, said all efforts made to recover this debt has failed and every attempt to some telecom to reason with FCDA and make payments of their indebtedness has fallen on deaf ears.

 

“We will not hesitate to seal up all their operations, with a view to ensure that they pay the debts.

 

“For the past six months, we have been writing them. We have written several letters and several reminders. We have invited them for meetings, but they disregard all these, so we don’t have any other option than to do what we are doing.

 

 

The Executive Secretary explained that liberalization of the telecommunication industry in the country commenced in the year 2000 while the FCDA commenced full liberalization of the authority’s telecommunication duct network in the 2004.

 

 

She said that the district infrastructure provided in the FCT is of world class and it is composite in nature (encompass all the infrastructure above and those Underground).

 

“The Telecommunication Duct Network in the Federal Capital Territory is one of the underground infrastructure provided to house the Telecommunication Industry.

 

“Each and all telecommunication service providers are allowed to lease 1/4 duct space in the available duct network provided in the city at a token.

 

 

“Over the years, many Telecommunication service providers has leased the various length of telecommunication duct in the Federal Capital Territory spanning across the developed districts of the Federal Capital City (FCC)