23 November 2012

Zimbabwe: Council to Levy Telecommunication Companies

Harare City Coucil says it will levy all telecommunication companies that have laid optic cables underground. A recent full council meeting made a resolution to have all telecommunication companies that dig trenches and lay optic cables pay rentals.

A rental of US$0,10 per square metre would be charged for all cables buried underground.

In addition to the rental fees, all companies in the business will sign lease agreements with the city.

"Council approves the template lease agreement and the trenching permit to be entered into between council and various service providers that will require digging trenches in the city for installation of service infrastructure," reads part of the minutes.

It was agreed that a lease rental of US$0,10 per square metre per month be charged in respect of such trenched areas.

The rentals are payable from the date of issuance of the trenching permit.

The decision to charge the rentals on new contracts meant that the city had to regularise and enter into lease agreements with other companies that "have already dug trenches in the city for installation of various services".

Before that council has not been getting any revenue from the companies, some of which have been accused of defacing the environment and causing road traffic accidents.

Telecommunication companies are also charged rental fees for the erection of cellular infrastructure on tower lights.

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