Millions for rural networks

The Communications Regulatory Authority of Namibia (CRAN) has announced an agreement with Telecom Namibia to allocate nearly N$10 million for the expansion of radio access networks (RAN) in rural areas. Speaking in early April, Telecom CEO Stanley Shanapinda said the investment marks an important step towards ensuring all Namibians have access to modern communication and connecting rural regions digitally.

Following a successful tender process, N$9 796 650 was approved for the development of core telecommunications infrastructure. The aim is to provide reliable, high-quality communication services to remote areas, according to Telecom Namibia. The rollout will focus on previously underserved regions, including Kavango East, Kavango West, Kunene, Ohangwena, Omusati, Oshikoto, Zambezi and //Kharas.

The infrastructure is expected to improve both telephony and internet connectivity. In addition, educational and healthcare facilities within the coverage areas will receive free connections for seven years.

CRAN CEO Emilia Nghikembua described the Universal Service Fund (USF) as a key instrument to promote equitable access to communication services. She said the project selection followed a transparent process and is aimed at advancing digital infrastructure goals for the period 2024 to 2027.

Earlier this year, in February, CRAN concluded a larger agreement with mobile operator MTC under the same fund. Under phase two of the USF, a total of N$42.1 million has so far been approved, with Telecom Namibia and MTC currently the only contracted partners.

According to CRAN, 70% of the funds are disbursed upon contract signing, amounting to N$29.4 million for phase two. Of this, N$22.6 million is allocated to MTC and N$6.8 million to Telecom Namibia. Additional funding of N$27.8 million had already been allocated to MTC during phase one. The remaining amounts will be released upon completion of the respective projects.

In total, twelve RAN towers will be constructed during phase two, three by Telecom Namibia and nine by MTC. Nine towers were already built last year following the establishment of the fund. To close the existing coverage gap, CRAN estimates that around 100 towers will be needed over the next four years, at a cost of approximately N$400 million. Complementary solutions such as community networks and low-Earth orbit satellites are also being considered.

The Universal Service Fund is financed through an annual levy of 0.5% on telecommunications license holders, as well as government funding amounting to N$145 million over four years.