09 Jun 2024

Completion of the Gaborone metro ring project will not result in immediate lower Internet tariffs, but in the long-term, consumers should enjoy lower prices.

This was said by deputy permanent secretary in the Ministry of Communications, Knowledge and Technology, Mr Cecil Masiga when speaking at a ceremony to mark the completion of the expansion of the metro ring in Gaborone on Thursday.

He said cutting down on Internet prices to the consumer took a lot of factors, some of them beyond our borders. “You have to consider multiple factors such as the availability of relevant infrastructure as well as transit costs in neighbouring countries, and all these make it difficult to be certain as to when customers could start enjoying the benefits. We are, however, certain that in the long-term there has to be that trickle down benefit,” he said.

He said government was negotiating with neighbouring counties for the best routes. Mr Masiga, however, said even when the benefits finally come, they would be at a rate that makes economic sense to service providers to earn returns on their investment.

“Internet service providers are the last line to determine the last price to consumers, but there will always be negotiations between them and wholesale providers to ensure that final prices are as low as economically possible,” he said.

Mr Masiga also said even at the current Internet tariffs, Botswana was not the most expensive in service provision.

The chairperson of the Internet Service Providers Association, Dr Bernard Ndovhe also noted that service providers used various modes to reach their clients such as WI-FI which could be unreliable. He added that it ultimately forced them to invest in better technology, thereby forcing prices upwards.

He, however, said the liquid intelligent fibre used in the Gaborone metro ring was more reliable and would help reduce tariffs to consumers as there would be less add on costs. 

For his part, Liquid Intelligent Technologies Botswana managing director, Mr Odirile Tamajobe was also hopeful that the completion of both phases would help reduce data prices. “We will sit and negotiate prices with wholesale buyers because as a company it has been our long-term objective to help the country reduce Internet tariffs as we grow,” he said.

He added that his company prided itself in the fact that the project had a positive impact on employment as it created 400 new jobs through partnerships with locally owned or registered sub-contractors, thereby bolstering community and economic development within the country. ENDS