High Court backs CRAN in landmark infrastructure sharing ruling

A win
STAFF REPORTER
  • 16 Hours Ago
The High Court delivered a significant victory for telecommunications competition in Namibia, ruling that an exclusive fibre-sharing agreement between major operators was invalid and had legally expired.

On 31 July 2025, the court confirmed that the automatic renewal clause in a controversial 2012 agreement between MTC, Telecom Namibia, and NamPower violated infrastructure sharing regulations and that the deal terminated on 31 May 2022.

The ruling vindicates the Communications Regulatory Authority of Namibia (CRAN), which had declared the exclusive arrangement void following a complaint from MTN Business in 2022.

Background to the Dispute

The original tripartite agreement, signed in 2012, granted MTC and Telecom Namibia exclusive access to NamPower\'s dark fibre network for telecommunications services. The deal included an automatic renewal clause that would have perpetually extended the agreement.

However, CRAN intervened after determining that the exclusivity provisions undermined fair competition and consumer welfare by restricting other operators\' access to critical infrastructure.

Under sections 48 and 50 of the Communications Act 2009, CRAN has the authority to mandate infrastructure sharing among carriers, broadcasters, and utilities. The regulator determined that the exclusive arrangement violated Regulation 17(2)(b) of the Infrastructure Sharing Regulations 2016.

Court Challenge and Ruling

MTC and Telecom Namibia challenged CRAN\'s decision in the High Court, arguing procedural unfairness and disputing the validity of the regulations. CRAN filed a counter-application seeking confirmation that the automatic renewal clause was void.

The court sided with CRAN, ruling that clause 3.2 of the agreement—the automatic renewal provision—was indeed invalid under the infrastructure sharing regulations.

Significance for Competition

CRAN CEO Emilia Nghikembua said the judgment provided crucial clarity on Namibia\'s infrastructure sharing framework.

"This judgment provides clarity on the application of Namibia\'s Infrastructure Sharing Regulations. It affirms that exclusive agreements for access to essential facilities such as fibre networks are not permissible," she said.

"Such exclusivity undermines competition and prevents other licensed operators from gaining fair access to critical infrastructure, contrary to the principles of fairness, non-discrimination, and open access."

Impact on Consumers and Industry

The ruling is expected to accelerate Namibia\'s digital transformation by promoting broader access to fibre infrastructure. Infrastructure sharing reduces duplication and costs whilst improving service quality through better coverage and reliability.

Mrs Nghikembua said the decision would ensure operators seeking infrastructure access are accommodated on equitable terms.

"This will stimulate investment, accelerate the deployment of broadband and next-generation technologies, and expand coverage into underserved areas," she said.

"Consumers will benefit directly from greater choice, improved service quality, and more affordable connectivity."

Regulatory Framework

CRAN\'s infrastructure sharing regulations require all operators to share passive infrastructure such as towers, ducts, and poles. Dominant operators must additionally provide access to active infrastructure including antennas, base stations, and transmission links.

The authority enforces these provisions through regulations, compliance monitoring, and dispute resolution to ensure infrastructure sharing occurs on reasonable and non-discriminatory terms.

The ruling reinforces CRAN\'s mandate to promote fair competition in Namibia\'s telecommunications sector and protect consumer interests through open access to essential infrastructure.