Contrary to views held by many that telecommunications networks in the country are making huge profits, the CEO of the Ghana Telecoms Chamber has revealed that most of them are operating at a loss with only one operator making profits in 2012.
“One network operator in 2012 paid total taxes of about Gh¢413 million to the government. They declared a profit of about Gh¢240 million after tax. They paid half of the 240 to the shareholders and they invested Gh¢112. So Government got about four times what the owners got.
“And by the way, this is the only network operator that made profits… so they are not as profitable at all… it is not that simple,” Kwaku Sakyi Addo told host of the Morning Starr, Kafui Dey, Monday.
Sakyi Addo also added that the current erratic power supply in the country poses serious financial challenges to the various telcos.
He said: “[Dumsor] affects us just as it affects everybody, in fact energy costs constitute about 40 percent of networking operators’ operating expenditure. So that is a huge cost… but not only that… copper theft is a huge problem and also fiber optic cables.
“Sometimes people would cut them thinking it is copper and then discover that it is useless and then you’ve got thousands of customers who are disconnected from network until the operator is able to access the location.”
Sakyi Addo also blamed the activities of the many road constructions across the country as a major contributor to cable cuts. He said contractors contribute to over 75 percent of cable cuts.
“The biggest cause of cable cuts is actually as a result of road construction. More than 75 percent of the destruction is as a result to road construction.”
