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  • Senate summons minister, NCC boss over tariff increase

    Senate summons minister, NCC boss over tariff increase

    The Senate Wednesday invited the Minister of Communications, Mr. Adebayo Shittu, Nigeria Communications Commission (NCC) Executive Vice Chairman, Professor Umar Danbatta and Chief Executives of network service providers to appear before its Committee on Communications to explain reasons behind the decision to increase data tari

    The upper chamber also directed the network service providers to put on hold the plan to commence implementation of the new tariffs today.

    The Senate asked its Committee on Communications to begin immediate comprehensive investigation into the matter.

    The plan by the service provided to increase data tariff has generated controversies across the country.

    The Committee was given one week to report back to the Senate in plenary.

    The resolutions followed a motion by Deputy Senate Leader, Bala Ibn Na’Allah, (Kebbi South) in which he condemned the planned hike in data tariffs.

    Na’Allah said that there was no doubt the hike would further impoverish Nigerians.

    Vice Chairman of the Committee on Communications, Senator Solomon Adeola (Lagos West), described the policy as not only ‘unholy’ but also ‘unfriendly’.

    Adeola assured the Senate that the committee would act on the mandate and report back to it next Tuesday.

    He said, “We are up to the task. And I can assure the Senate that we will swing into action immediately. We will invite all the necessary agencies that are involved in this policy that is unholy and unfriendly and get back to the Senate unfailingly on Tuesday.”

    Senate President Bukola Saraki in his remarks said that the NCC of failed to carry out enough consultations before announcing the policy.

    Saraki asked the committee to investigate allegations of non-compliance with laid down regulations by telecoms operators.

    Chairman, Senate Committee on Communications, Senator Gilbert Nnaji, in a statement entitled  “Data tariff increase by Nigerian telecom operators’ said “The attention of the Senate Committee on Communications has been drawn to the threat by the telecommunication service providers to upwardly review the data tariff in the country.

    “Even though it has been roundly condemned I wish to reiterate our position that as the elected representatives of the Nigerian masses, we shall vehemently resist any attempt to short-change the people or further impoverish them under any guise and also warn that culprits shall be decisively dealt with.

    “It is as wicked as it is irrational for anybody or institution to contemplate any policy that would inflict shock and unnecessary disruptions on the citizens who are already going through difficult times.

    “For the umpteenth time, this type of harsh treatment is certainly not what the people bargained for while queuing under the sun to get us to this place of higher responsibilities. Despite the global economic downturn and perhaps federal government’s efforts at getting the country out of recession, every action or decision should be guided by the urgent need to guarantee the welfare and well-being of the citizenry rather than tending to worsen the prevailing pains in the land.

    “As a committee however, we have initiated some necessary legislative interventions towards protecting our people from any form of extortion or exposure to avoidable crises by the network providers.

    “Therefore I am by this calling on the relevant industry operators to suspend whatever actions geared towards data tariff increase and while appealing for calm on the part of our good people.”

    NCC had in a letter addressed to telecoms operators on November 1, 2016, put the interim floor price for data services at 0.90k/MB for big operators, adding that “this rate will subsist pending the finalisation of the study on the determination of cost based pricing for retail broadband and data services in Nigeria.”

    The letter added: “In order to provide a level playing field for all operators in the industry, small operators and new entrants to acquire market share and operate profitably, small operators and new entrants are hereby exempted for the price floor for data services.

    “For the avoidance of doubt, a small operator is one that has less than 7.5 percent market share and a new entrant is an operator that has operated less than three years in the market. All operators are to ensure that subscribers are not automatically migrated to pay-as-you-go platform. Also, note that effective date for the interim price floor is December 1, 2016.”

    Acting on this directive, MTN sent text messages to its customers on Monday, announcing the hike in its data tariffs beginning today. “Dear customer, please be informed that from December 1, some MTN data tariffs will be increased to reflect the new rates set by the NCC to operators‎,”‎ MTN stated.

  • NCC suspends directive on data price hike

    NCC suspends directive on data price hike

    The Nigerian Communications Commission (NCC) on Wednesday said it has suspended any further action on the directive to introduce price floor for data segment of the telecommunications sector beginning from Dec. 1.

    The Director, Public Affairs, NCC, Mr Tony Ojobo, announced in a statement in Lagos that the decision to suspend the directive was taken after due consultation with industry stakeholders and the general complaints by consumers across the country.

    Ojobo said that the commission had weighed all of these and consequently asked all operators to maintain the status quo until the conclusion of study to determine retail prices for broadband and data services in Nigeria.

    He said that the regulatory body wrote to the Mobile Network Operators (MNOs) on Nov. 1, on the determination of an interim price floor for data services after the stakeholder’s consultative meeting of Oct. 19.

    According to him, the decision to have a price floor is primarily to promote a level playing field for all operators in the industry, encourage small operators and new entrants.

    “The price floor in 2014 was N3.11k/MB but was removed in 2015. The price floor that was supposed to flag off on December 1, 2016, was N0.90k/MB.

    “In taking that decision, the smaller operators were exempted from the new price regime by virtue of their small market share.

    “The decision on the price floor was taken in order to protect the consumers who are at the receiving end and save the smaller operators from predatory services that are likely to suffocate them and push them into extinction.

    “The price floor is not an increase in price but a regulatory safeguard put in place by the telecommunications regulator to check anti-competitive practices by dominant operators.

    “This statement clarifies the insinuation in some quarters that the regulator has fixed prices for data services.

    “This is not true because the NCC does not fix prices but provides regulatory guidelines to protect the consumers, deepen investments and safeguard the industry from imminent collapse,” he said.

    The director said that before the new suspended price floor of N0.90k/MB, the industry average for dominant operators including MTN Nigeria Communications Limited, EMTS Limited (Etisalat) and Airtel Nigeria Limited was N0.53k/MB.

    He added that Etisalat offered N0.94k/MB, Airtel N0.52k/MB, MTN N0.45k/MB and Globacom N0.21k/MB.

    The smaller operators/new entrants charge the following: Smile Communications N0.84k/MB, Spectranet N0.58k/MB and NATCOM (NTEL) N0.72k/MB.

    Ojobo said that the NCC as a responsive agency of government took into consideration the feelings of the consumers and decided to suspend the new price floor.

  • Why we ordered data tariff hike, by NCC

    Why we ordered data tariff hike, by NCC

    •Mulls spectrum trading

    The Nigerian Communications Commission (NCC) yesterday justified its directive to big telcos to hike data tariff, saying it was in the interest of the survival of the industry.

    Its Director of Spectrum Administration, Austine Nwaulune, who spoke on the sideline of this year’s Annual Consultative Forum on Engineering and Emerging Technologies organised by the NCC at Lagos Sheraton Hotel and Towers, Ikeja, said current economic situation realities in the country necessitated the decision.

    He said: “These are for economic reasons. What you don’t want is to kill an industry. People are talking about erosion on Return of Investment; erosion of Average Revenue Per User (ARPU), what you don’t want is to put a car on the road and failed to make provision to replace it (should the need arise).   “What that means is that if the car stops working, you stop being a car owner. But if you put a car on the road and you know that that car will have a problem and you begin to make move to prevent such, it means you will be a car owner for long. So what the regulator does in the car is to ensure the car doesn’t die either in cold or hot. So, as the regulator we work to ensure that we put measures that are good for the industry. So the whole process was to protect the industry from collapse.”

    The theme of the forum was: Framework for Spectrum Trading in Nigeria.

    Meanwhile, to enhance the deployment of telecoms services across the country, the Commission is considering the adoption of Spectrum Trading as a means of enhancing optimum utilisation of spectrum.

  • TUC rejects proposed increase in data tarrif

    TUC rejects proposed increase in data tarrif

    …Says it is against Nigerians
    The Trade Union Congress of Nigeria (TUC), said Tuesday that the proposed increase in data rate by the telecoms operators in the country was a conspiracy against the collective interest of the common man in the country.

    In a statement made available to newsmen and signed by the President, Comrade Bobboi Bala Kaigama and Acting Secretary General, Comrade (Barr.) Simeso Amachree, the Congress said the proposed increase was unacceptable as if is aimed at frustrating the lives of the Nigerian people.

    If said rather than increase awareness for greater citizens’ participation especially in ICT, they are doing the opposite, pointing out that while the government is banking on ICT for youth empowerment, the NCC is trying to cut youth participation.

    The statement reads: “The Trade Union Congress of Nigeria warns against the on-going conspiracy between the Federal Government through the Nigerian Communications Commission (NCC) and some major telecom companies, especially MTN to further increase their data rates from December 1, 2016. It is really startling the extent government and its capitalist’s cronies would go to frustrate the lives of Nigerians.

    “We feel particularly awful about the move because data is one of the cheapest ways to empower the teaming youth. This move if allowed would make it unaffordable. In our view, this is insensitive and criminal on the part of the parties involved.

    “We are not surprised that MTN has thrown its whole weight behind the policy; but the telecom giant should realized that trying to lobby the government will not save the organization when the chips are down. Of course, this cannot happen in South Africa.

    “Naturally, we had expected that government would increase awareness for greater citizens’ participation especially in ICT, but unfortunately they are doing the opposite. One cannot really situate Federal government policy direction these days.

    “On the one hand, the Vice President, Prof. Yemi Osinbajo is banking on ICT for youth empowerment while on the other, the NCC is trying to cut youth participation. All the promises made to the Chief Executive Officer of Facebook, Mark Zuckerberg when he visited the country cannot be achieved if the policy is implemented.

    “This is not the best way to make money. This move is spineless and should be done away with. What then would be the benefit of the policy to the self-employed who depend on data for their businesses? The truth is, cheap internet data is a vehicle of some sort to economic development.

    “It is very unfortunate, very unreasonable and inhuman to come up with such idea at a period of recession. Any call for increase in anything for now is most unreasonable, uncalled for and a calculated attempt to record more suicide cases and insecurity in our already tension-soaked country.

    “The telecoms sector was often used as a case study to justify the removal of fuel subsidy. But the question is, is the telecoms sector truly deregulated? What happens to the issue of free market in the telecoms sector?

    “There is so much deceit and insincerity in the system. We are calling on government to come up with godly policies that would encourage investment and stimulate growth, instead of deliberately trying to stifle businesses.”

  • NCC orders ‘big’ telcos to hike data tariffs

    NCC orders ‘big’ telcos to hike data tariffs

    The Nigerian Communications Commission (NCC) has directed mobile telephone operators in the country to jerk up data tariffs with effect from December 1.

    Yesterday, MTN sent messages to its customers announcing that there would be an increase in its data tariffs on December 1.  “Dear customer, please be informed that from December 1, some MTN data tariffs will be increased to reflect the new rates set by the NCC to operators,” the short message from the telco read.

    The regulator had in a letter dated Nov 1 titled: Re: Determination of an Interim Price Floor for Data Services referred the telcos to its letter dated July 29 and the Industry Stakeholders meeting thatwas held on October 19 where service providers were asked to comment on the interim price floor for data services.

    “The Commission has carefully reviewed all submissions and hereby make the following Determinations: the interim price floor for Data Services is No.90k/MB for big operators. This rate will subsist pending the finalisation of the study on the Determination of Cost Based Pricing for Retail Broadband and Data Services in Nigeria; in order to promote a level playing field for all operators in the industry, encourage small operators and new entrant to acquire market share and operate profitably. Small operators and new entrants are hereby exempted from price floor for data services; for avoidance of doubt, a small operator is one that has less than 7.5 per cent of market share and a new entrant is an operator that has operated less than three years in the market.”NCC however warned operators to ensure that subscribers are not automatically migrated to the “pay as you go platform”.

    The letter to the telcos also reminded them that the effective date for the interim price floor is December 1, adding that in view of the above, all service providers should ensure that tariff for data service reflects the Determination.

    The letter with NCC/PCEA/T&C/TRF/MTN/006 as reference number was jointly endorsed by the Director, Policy, Compettiton and Economic Analysis, Josephine Amuwa and Head, Legal and Regulatory Services, Yetunde Akinloye.

    Efforts to get the reaction of the telcos proved futile as calls were not  picked and text messages sent to them failed to elicit any response. The regulator too was not available for comments but industry sector analysts say the development will shut more people out of internet access.

    President, National Association of Telecoms Consumers of Nigeria (NATCOMS), Deolu Ogunbanjo, said the directive of the regulator will be counterproductive. “Many businesses depend on the internet as an enabler but with an increase in data tariffs, it will affect the pockets of consumers and hinder further internet penetration in the country,” he said.

  • NCC: 40m ‘disenfranchised’ from telecoms

    The Nigerian Communications Commission (NCC) has assured that provisions have been made in its 2017 budget to extend telecoms services to additional 40 million people across the country hitherto ‘disenfranchised’ from the telecoms revolution.

    Last week, the House of Representatives approved the N70.6billion 2016 budget of the regulator.

    The Executive Vice Chairman of the Commission, Prof. Umar Dambatta, gave the assurance during a one-day workshop organised by the NCC for law enforcement agencies on telecoms issues at Lagos Sheraton Hotel and Towers, Ikeja.

    Represented by the Director of Public Affairs at NCC, Mr. Tony Ojobo, Dambatta said the commission had conducted a survey which identified about 200 communities nationwide with access gap.

    He said through the Universal Service Provision Fund (ISPF) being managed by a department under NCC, 40 million people in these areas would be covered next year.

    Dambatta stated that empirical studies have shown correlation between usage of information communications technology (ICT) and social development.

    He said access to telecoms services has caused direct and indirect rise in employment generation across the sectors of the economy.

    According to him, NCC is determined to move fast in its mandate of harnessing the potential of the ICT sector to boost the economy.

    The EVC explained that the industry contributions to the national Gross Domestic Products (GDP) is about 10 per cent, adding that the NCC was committed to seeing greater development in the sector because of the mechanism put in place to implement the National Broadband Plan.

    He said: “In this respect, two infrastructure companies have been licensed while the remaining five companies will be licensed shortly to commence the deployment of more broadband fibre network beyond the major cities in the country. Our model, anchored on robust development of infrastructure, transmission and retail segment, is expected to speed up the cascading of networks of fibre required by individuals and businesses to improve life and catalyse economic growth.”

    Dambatta maintained that these tasks underscored the need for collaborations with security agencies to curtail criminal assault against telecoms infrastructure.

    He said the mandate before the NCC in ensuring that telecoms sector contribute more to the economy triggers the zeal to perform and the need to halt obstacles to the realisation of its objectives.

    The EVC lamented that the industry has witnessed steady rise in the theft of telecoms infrastructure and vandalism of installations facilities and equipment as well as usage of preregistered subscriber identification module (SIM) cards all of which are infractions of the Nigerian Communications Act 2003 and other extant regulations governing the industry.

    He said while the commission has rolled out various campaigns to raise awareness and made some arrest with the support of the police, there is need for effective strategies to ensure that anyone who is arrested is prosecuted.

    The Deputy Inspector General of Police in charge of ICT, Folusho Adebanjo, a Commissioner of Police, said the police will do everything possible to protect lives and properties. He advised host communities to see telecoms infrastructure within their localities as communal assets.

  • NCC plans to extend telecoms services next year

    The Nigerian Communications Commission (NCC) said on Friday provisions have been made in its 2017 budget to extend telecommunications services to additional 40 million people across the country.

    The Executive Vice Chairman of the Commission, Prof. Umar Dambatta, made this known in Lagos during a sensitization workshop organised by NCC for law enforcement agencies on telecommunications matters.

    Dambatta, represented by the Director of Public Affairs, NCC, Mr. Tony Ojobo, said the commission had conducted a survey, which identified about 200 communities nationwide with access gap.

    He said through the Universal Service Provision Fund (ISPF) being managed by a department under NCC, 40 million people in these areas would be covered in 2017.

    According to him, the empirical studies have shown correlation between usage of Information and Communication Technology (ICT) and social development.

    “As you are aware, the growth witnessed in the telecommunications sector in the last 15 years has been phenomenal by all standards, “the News Agency of Nigeria (NAN) quoted the NCC chief as saying at the forum.

    “From less than half a million lines on the eve of our democratic revival, today, active connected telephone lines are about 150 million, which has come with a contributing increase in tele-density.

    “Development in other sectors of the economy had been shaped positively and measurably by the potent realities in the telecommunications sectors.

    “We look forward to seeing greater development in the sector, because we are irrevocably committed to full implementation of the National Broadband Plan.”

  • Reps pass N70.6b NCC 2016 budget

    Reps pass N70.6b NCC 2016 budget

    With less than two months to end the year, the House of Representatives yesterday approved a whopping N70.6billion for the Nigeria Communications Commission (NCC) as its budget 2016.

    This was sequel to the consideration and approval of the report submitted by the House Committee on Communications headed by Hon. Saheed Fijabi.

    According to the report which was considered by the Committee on Supply chaired by the Speaker, Hon. Yakubu Dogara, the Green Chamber authorised the issue from the Statutory Revenue Fund of the NCC,  N70,672,492,000.00.

    From this total, N22,211,186,000.00 is for recurrent expenditure while  N15,651,475,000.00 is for Capital Expenditure.

    Similarly, N6,557,708,000.00 was also approved for Special Projects just as N8,584,000,000.00 and N17,668,123,000.00 will be transferred to the Universal Service Provision Fund (USPF) and the Federal Government, respectively.

    On the late presentation of the budget, Fijabi said the report was stepped down on the floor of the House earlier because of typographic errors as well as wrong placement of figures and subsequently apologised to members.

  • NCC warns against use of pre-registered SIM cards

    NCC warns against use of pre-registered SIM cards

    The Nigerian Communications Commission (NCC) has warned subscribers against patronising sellers of pre-registered subscriber identity module (SIM) cards. It warned that fines and jail terms awaited people caught using such SIM cards as it is criminal to do  so.

    Its Executive Vice Chairman, Prof Garba Dambatta, said rather than patronise the criminals, the public should report them to law enforcement agencies as part of their responsibility, not only as subscribers but also as good citizens.

    Represented at this year’s NCC Day at the Lagos International Trade Fair in Lagos by an Assistant Director and Head, Media, Reuben Muoka, Dambatta also warned subscribers to be wary of substandard and used mobile phones shipped into the country that did not get the type-approval of the NCC.

    He said such could compromise the integrity of services received by end users.

    He said: “When we talk about consumer interest, we also speak about consumer responsibilities.

    “We expect the consumers and members of the public to also embrace our disposition by assisting the Commission to eradicate some fraudulent activities that exist in the industry, especially those ones that are within their purview of support.

    “We are saying this today with regard to instances of use of pre-registered SIM cards in the country. By our regulation, any new number acquired by the subscriber would be unable to originate calls until such a number is registered before it is activated in the network. It also means that any number that is not registered or activated by the service provider would remain inactive in the network.

    “However we have a situation where some unscrupulous individuals engage in registering and activating huge number of lines with fraudulent identities with a view to selling them to unwary subscribers who are too busy or too ignorant to understand that they need to have their identities behind their numbers. In some cases, those who engage in these activities are trying to hide their real identities for the purpose of using such lines to perpetrate criminal activities in the society.

    “We are using this opportunity to inform consumers and members of the public to alert security agencies where they find anybody engaging in the sale or use of preregistered SIM cards as they pose a serious danger to our individual and collective safety.  Those found culpable also risk severe penalties of fine an imprisonment. We have also sent serious warnings to the service providers to ensure that their dealers and sub-dealers who have a role to play in the sale of and activation of services, are not culpable in the perpetration of this crime.”

    Dambatta also said as the country passes through advance in technologies and as more devices are being introduced into the market, some of these devices have been used and dropped in other parts of the world and some may not even meet with international benchmarks for safety. He advised subscribers to visit the website of the Commission to check for the list of type-approved phones so that they would not be defrauded.

    “Substandard devices are capable of degrading the quality of services available in the networks and also pose serious safety issues to users,” Prof Dambatta said.

    He advised subscribers to take advantage of the Do Not Disturb (DND) 2442 code to stay free from unsolicited text messages and also use the toll free number, 622, should their complaints to their service providers fail to be addressed quickly.

  • NCC nominee blames his rejection by senate on petty politics in Kwara

    Ex-Kwara Speaker Yissa E. Benjamin has blamed the rejection of his nomination as non executive commissioner of the Nigerian Communications Commission (NCC), on vicious politics by politicians in the state.

    President Muhammadu Buhari had last August nominated the former speaker as non executive commissioner of the NCC.

    The Senate had reportedly said that Mr. Benjamin’s discipline as a nurse does not qualify him to occupy that post.

    He accused the Senate President Bukola Saraki of allowing petty politics in Kwara state to override the interest of the State and Nigeria.

    Addressing reporters yesterday in Ilorin, the state capital, the former speaker turned pastor, said “from the first day of the announcement of my nomination, there have been talks that I was going to be a victim of vicious politics by local politicians in my home state.

    “I have been inundated by people who called themselves loyalists of the Senate president and who have been beating their chests that without the endorsement of the Senate President, my clearance would never see the light of the day. They said that Senator Bukola Saraki would stand in the way of my nomination for the reason that he did not nominate me,” he said.

    But Saraki in his reaction to the accusation urged the former speaker to stop playing on sentiments and address issues.

    Special Adviser ( Media and Communications) to Senate President, Yusuph Olaniyonu, said that “though I do not have the details of his allegation, but let me say that the decision as to whose Presidential nominee will be cleared after screening is first that of the Senate committee members before whom the nominee will appear and then that of all the 109 members of the Senate who will indicate their opinion on the suitability or otherwise of that nominee for the post he has been nominated into based on the recommendation of the committee.

    “The Senate President is primus inter pares, that is, first among equals in the Senate. He cannot single handedly take a decision or override the decision of the majority. No nominee will be rejected if the majority does not support his rejection. In any case, there was a reason given for the rejection of this particular nominee. Why doesn’t he address the specific issue of why the Senate rejected his nomination and found him unsuitable for that post?

    “If the President feels very strongly that the NCC cannot function without this nominee, the President can get the nominee to correct the anomaly raised by the Senate committee which screened him and then represent his name to the Senate for reconsideration.”