Infrastructure Challenges Limit Internet Service

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By Ejiro Gegere
July 10, 2010 11:38PM

The launch of Main One cable last week has led to greater focus on broadband service in Nigeria. Four submarine cables; Main One, Glo-1, West Africa Cable System (WACS) and Africa Coast to Europe (ACE) are meant to link Europe to Nigeria before the end of 2012. Main One and Glo-1 were scheduled to begin operations at the end of the second quarter of 2010 but are facing some challenges.

Mohamed Jameel, the Chief Operating Officer of Globacom told journalists last week after a meeting of operators and the Nigerian Communications Commission that Glo-1 had just finished undergoing some testing work.

"The Glo-1 submarine cable has been undergoing some testing work, which we just concluded. We would be due to begin operations in four weeks time or before the end of August 2010," Mr. Jameel said.

But it appears there might be a greater challenge than what Mr. Jameel revealed. A Globacom staff who spoke on the condition of anonymity said that Glo-1 was not only undergoing a test operation but also experiencing some financial difficulty with the technical partner, Alcatel - Lucent.

"The firm is having issues with Alcatel as regards the payment for the implementation of Glo-1. I do not have the figures but it's in the range of billions of dollars and the new company Alcatel Lucent is asking for the money or they will be the blocking point to the entire project. As you know, the submarine cables are already docked here in Nigeria but the equipment that is meant to do the main work is yet to arrival," the source said.

Our source also said Alcatel is insisting on Globacom paying for support and implementation of Glo-1 before the project can commence.

Both Globacom and Alcatel - Lucent Nigeria refused to confirm any financial challenges between them. A message from Bode Opeseitan, Globacom's head, Corporate Communication, in response to enquiries on the matter, read, "Please note that we don't grant sms or phone interviews. Kindly send your questions to my email address we will arrange for our top official to grant the interview at the earliest convenience."

Similarly, Peter Schubert, senior general programme manager, Globacom Project, said, "Please, we do not give out any information that has to do with the project. Direct your questions to Globacom as they are the only ones to give out information on that project," on phone.

Transnational obstacles

Some the obstacles on the paths of these companies were simply because of their Nigerian origin. Main One was denied landing licence in South Africa by the Independent Communications Authority of South Africa for the mere fact that it was not a South African company. The agency went further by asking for 50 per cent equity of the company. But in the same month, NCC granted WACS, a consortium of 12 companies with major partners from Europe and South Africa, licence to land its cable in Nigeria.
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