Tag: NCC

The Nigerian Communications Commission, (NCC), yesterday commenced a public enquiry on the review of three key guidelines/regulatory instruments for the telecoms industry. All Mobile Networks Operators (MNOs) and other stakeholders are participating in the public enquiry at the headquarters of the Commission in Abuja.

The guidelines/regulatory instruments being reviewed as telecoms Networks interconnection regulations, the guidelines for procedures of granting approval to disconnect telecoms operators and the guidelines for dispute resolution in the industry.

According to the Executive Vice Chairman (EVC) of the NCC, Dr. Aminu Wada Maida, the review of the guidelines would shape the future of the industry in line with contemporary challenges of digital age.

The EVC described the guidelines as vital to the growth and development of the telecoms industry ecosystem, saying that the Commission was committed to ensuring transparency and accountability in the way and manner the public enquiry is carried out.

“The NCC is an independent regulatory authority for the communications industry in Nigeria, we are committed towards accessible and competitive telecoms industry.

“The Public enquiry we are conducting today is a testament to the commitment and dedication to transparency and inclusivity towards ensuring that the voices of all stakeholders are heard and considered”, Maida said.

“These regulatory instruments have played a vital role in driving our telecommunications landscape and it is essential that we revisit and revise them to address emerging challenges, trends and opportunities in the industry,” he added.

He said guidelines being considered are vital to ensuring that the communications sector meets the demands of the digital age, adding that the contributions of all stakeholders would shape the future of the industry and make the telecoms sector more innovative and competitive.

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The EVC said the telecoms networks interconnection regulation play significant role in seamless communications between two different network and facilitating the growth of the telecom industry in Nigeria.

“This review is crucial to keep pace with technological advancements,  foster competition, protect consumers interest and align with international standards and improve regulatory efficiency in the industry.

“The second is the guidelines for procedures for granting approvals to disconnect telecoms operators.

“As the industry continues to evolve there may be instances where the disconnection of operators becomes necessary. This guidelines are procedural framework through which such approval are granted to ensure that they are carried out in a transparent and accountable manner.

“Lastly, we will be reviewing the guidelines for disputes resolution. Disputes are inevitable part of any industry, There should be a robust framework for disputes resolution.

“ The guidelines aim to provide a clear and transparent mechanism for resolving conflicts within the telecoms sector, promote timely resolution and ensuring that all stakeholders are treated fairly.

“As this needs arise we must evaluate and review the guidelines to ensure they are effective in resolving conflicts and promoting a stable telecoms ecosystem,” Dr Maida asserted.

• Telcos engage subscribers

Telecom sector regulator, the Nigerian Communications Commission (NCC), has invited operators for dialogue over demand for end user tariff hike for calls, data and other services, according to an inside source.

According to the source, the regulator and operators would weigh the options so that it will be a win-win for all the stakeholders.

 “We hope the conversation will be fruitful this time. We had engaged the NCC some years ago and it appeared we were on the same page but the regulator refused to acquiesce to our demand for political reasons. You know telephony is very important to every Nigerian. So, the authorities were scared an increase in tariff could backfire. Since the government could remove fuel subsidy and the heavens did not fall, it should allow the operators to increase tariff or else the industry will die. Every other sectors of the economy have hiked services cost. The Bankers Committee comprising the chief executive officers of the bank would sit without recourse to anyone, arbitrarily hike lending cost. The tariff on electricity which accounts for 50 per cent of our running cost has been increased without consultation with end users,” the source said.

Meanwhile, telecom operators have started moves to engage with subscribers to get their buy-in into the new campaign to increase tariff.

The move came after the operators met with the Minister of Communications, Innovation and Digital Economy, Dr Bosun Tijani, in Abuja.

According to a source familiar with the meeting, the minister asked the operators to first engage with their customers and get their understanding of the issues involved.

President, Association of Telephone, Cable Tv and Internet Subscribers of Nigeria (ATCIS-Nigeria, Prince Sina Bilesanmi, in a telephone interview at the weekend, confirmed that the operators, through their body, Association of Licensed Telecom Companies of Nigeria (ALTON), has scheduled a meeting with the leadership of the subscriber body.

 “Yes, it is true that we have been invited for a meeting with ALTON this week over the developments in the telecom sector. We hopefully will attend the meeting and engage in meaningful discussions with them. The relationship among the operators, subscribers and regulator is supposed to be mutual. No one should take any of the three for a ride,” he said.

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It would be recalled that the operators, had via a joint statement, sought regulatory nod to hike tariff to reflect the cost of doing business.

Acting under the aegis of ALTON and Association of Telecom Companies of Nigeria (ATCON) in the statement urged the Federal Government to give them the imprimatur to charge what they described as a cost-reflective tariff for services rendered.

“Despite the adverse economic headwinds, the telecommunications industry remains the only industry yet to review its general service pricing framework upward in the last 11 years, primarily due to regulatory constraints. For a fully liberalized and deregulated sector, the current price control mechanism, which is not aligned with economic realities, threatens the industry’s sustainability and can erode investors’ confidence. ATCON and ALTON call upon the government to facilitate a constructive dialogue with industry stakeholders to address pricing challenges and establish a framework that balances consumers’ affordability with operators’ financial viability,” the operators said, adding that telecommunications infrastructure development required substantial investments in network expansion, maintenance and technology upgrades.

Nigerian mobile payment company, Paga, at the weekend urged the Nigerian Communications Commission (NCC) to take a second look at its regulation on data pricing.

It also said the country is not a prime destination for offshore cash, saying it is not easy getting a business profitable in the country in the face of a myriad of challenges.

Its founder/CEO, Tayo Oviosu, who spoke in Lagos at the weekend during a media session to mark the company’s 15th anniversary, said the company has navigated the fintech space over the period and commended the Central Bank of Nigeria (CBN) for providing the leadership. 

Oviosu, who said the company has processed cash transactions valued at N14 trillion during the period under review, said 80 per cent of the transactions were recorded in the last five years.

He said to deepen financial inclusion in the country, the Nigerian Communications Commission (NCC) needed to rework its regulation on data to make access to it affordable. According to him, the cost of data is high, serving as a disincentive for the uptake of digital financial services.

According to data released by the Nigeria Inter-Bank Settlement Systems (NIBSS), mobile money operators in the country, including Paga, Opay, and Palmpay, among others, processed transactions valued at N17.2 trillion between January and March, this year.

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“As of today, we have 23 million users. At the end of March, we had processed 335 million transactions since inception, worth over N14 trillion or $32 billion and 80 per cent of that we did in the last five years.This last quarter was our best quarter ever.

“When you look at our 10th anniversary, which was five years ago, from then we have grown volumes by five times and transaction values by seven times,” he said on the consumer side of the business.

While recalling the company’s milestones in the last 15 years, Oviosu said one of the biggest achievements of the company was the several people it was able to empower through job creation. According to him, the company has created 1,000 direct jobs and over 100,000 indirect jobs through its agents spread across the country.

The Paga founder noted that the company has expanded beyond the agent network to providing infrastructure for others through platform-as-a-service and serving 150 businesses.

Oviosu said the Nigerian payment landscape is very competitive because it is a very attractive market. He, however, noted that there is a huge opportunity for every player to create a niche and acquire customers.

On the performance of the CBN thus far, he said: “The regulator has made very clear the categorization and that has attracted a lot of competitors. And that’s a good thing. We don’t look at that as a bad thing because it also keeps us on our toes.

“And so all the competitors are a bit different in how they do things. I think our market is very similar to India. I don’t think it’s a winner-takes-all because there is no one person in Nigeria that has only one financial account. I’ve not met a Nigerian who has only one account. So, it’s not a winner-takes-all, but you probably have one that you prefer.”

Speaking on the challenges the company has faced over the years, the Paga identified dearth of funds as a major issue, especially at the inception of the business.

“When I started Paga, there were no angel investors; there was no tech ecosystem because nobody was doing anything at that time. So, when you are going out to pitch to investors, you are not just going out to pitch Paga, you have to pitch the story of Nigeria. And that was very hard because of the macro issues in Nigeria, so that was a real challenge,” Oviosu added.