Corrosion costs India’s telecom sector ₹38,320 crore annually: Nomura report

Corrosion costs India’s telecom sector an estimated ₹38,320 crore annually, representing 3.8% of the industry’s gross domestic product (GDP), according to a report recently released by Nomura Research Institute (NRI) Consulting & Solutions India.

This comes as wireless telecom carriers expand 4G and 5G mobile networks and infrastructure in response to a growing demand for digital services.

“With towers relying heavily on steel for structural stability, continued exposure to rainfall, humidity, pollution, and other environmental conditions makes corrosion protection an important durability issue,” the consulting firm said in the report.

The report has flagged a gap in India’s telecom tower protection standards beyond the main structural frame. While IS 17740:2022 mandates zinc coating for primary steel members, auxiliary components such as fasteners, guy wires, and mounting pipes can be protected through alternative coating mechanisms. The consulting firm found that inadequate protection of these smaller components can affect the durability of the tower as a whole.

It pointed out maintenance as another weakness. US standards cited by NRI recommend condition assessments at least once every three years for guyed towers and five years for self-supporting towers. In India, structural audits are described as largely incident-driven.

The report recommends a nationally mandated inspection and maintenance schedule.

The report estimates that effective corrosion-control measures could potentially save up to ₹13,412 crore, equivalent to around 1.32% of sectoral GDP.

“India’s telecom industry is massive, both in terms of its volume of users and the volume of steel it uses for its towers. Thus, it is very important to protect the towers and other structural components from corrosion,” it said.

Rahul Sharma, director (India), International Zinc Association (IZA), separately said the focus now needs to shift from rapid network roll-out to long-term asset performance.

“Hot-dip galvanisation is a globally proven corrosion-protection solution that can extend the service life of telecom towers and associated steel structures while reducing maintenance requirements and lifecycle costs,” Sharma said.

The report also estimates that hot-dip galvanising can offer durability of more than 100 years, depending on environmental conditions, compared with a 10–25-year coating life for multi-coat paint systems.

According to the report, there is a need for stronger protection of auxiliary tower components, regular inspections, and closer alignment of standards with global benchmarks as India’s telecom infrastructure expands.