The recent clash, a significant event in Ghana’s telecommunications sector, involved ATC Ghana, the country’s leading independent telecoms tower company, and Telecel Ghana, a major player in the industry. This dispute has sparked controversy and regulatory scrutiny.
ATC Ghana made headlines by disconnecting Telecel Ghana’s equipment from several tower co-location sites, citing non-payment of electricity and fuel bills. ATC said this action was necessary as they could no longer subsidize these costs on Telecel’s behalf.
In response, Telecel swiftly denounced ATC’s claims as “utterly false,” issued a stern rebuttal, and even hinted at legal action against any defamation of their brand resulting from ATC’s allegations.
The situation between ATC and Telecel is rooted in a complex history, dating back to the tower-sharing policy initiated by the National Communications Authority (NCA) years ago. This policy, which required telecoms to opt for tower sharing, was aimed at mitigating community concerns over radiation and reducing infrastructure costs.
ATC Ghana, Eaton Towers, and Helios Towers were established as independent tower companies. ATC acquired 1,876 MTN towers and later absorbed Eaton Towers’ Vodafone (Telecel) towers. However, tensions arose recently when ATC decided not to renew the tower lease with Telecel but continued to host other tenants on these sites.
The dispute escalated when Telecel, now in possession of the towers, proposed charging ATC the same rental fees it charged other tenants. ATC, however, objected to what it deemed excessive charges, prompting Telecel to refuse to pay the increased rates.
ATC responded by unilaterally increasing Telecel’s monthly fees by 62.5% and 58.3% across different towers, a move Telecel deemed unreasonable and refused to comply with.
The situation reached a boiling point when ATC disconnected power and fuel supplies to Telecel’s equipment on some sites despite continuing to charge other tenants for using Telecel’s towers.
While the NCA intervened and ordered ATC to restore services to Telecel, the controversy underscores broader regulatory concerns about ATC’s dominance and practices within the tower sector. Critics argue that ATC’s actions demonstrate a significant market power (SMP), exerting undue influence and potentially stifling competition.
The incident has reignited calls for stricter regulatory oversight from the NCA, particularly with the impending activation of the Dispute Resolution Committee (DRC). This committee, with its potential to address such disputes promptly and prevent them from escalating, is seen as a beacon of hope in safeguarding consumer interests.
As the telecom tower dispute unfolds, stakeholders await further regulatory actions to ensure fair practices and equitable treatment among industry players. The need for operational transparency is underscored, as it is a key factor in maintaining a healthy and competitive industry, amidst concerns over market dominance.
This clash between ATC and Telecel has become the elephant in the room, highlighting critical issues in Ghana’s telecoms sector that demand urgent regulatory attention.
