The BuddeComm Perspective: Uganda
Dependence on costly diesel generator power and regulations encourage infrastructure sharing in Uganda, according to analysts at BuddeComm
As the number of antenna towers dotting Uganda’s landscape increases, the government is working on regulations to encourage infrastructure sharing among the network operators. A major problem is the lack of access to the electricity grid in many rural areas. The network operators depend on diesel generator power for more than 40% of their sites, which can add operational costs of up to US$200,000 per year per site. As a result, MTN, Zain, UTL and Warid formed a consortium in 2009 to share costs of connecting their sites to the grid.
ATC Uganda, a joint venture between MTN and American Tower Corporation (ATC) took over MTN’s towers in Uganda in December 2011.