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Tag: Prof. Umar Garba Danbatta

  • Broadband penetration in telecom sector hits 33 percent, says NCC

    The Nigerian Communications Commission, NCC, on Wednesday announced that broadband penetration in the Telecom industry has hit 33 percent as at February this year.

    It Executive Vice Chairman, Prof Umar Garba Danbatta who broke the news, said it was far above the projections of the regulatory body.

    Prof Danbatta said the feat was achieved courtesy of the National Broadband Plan, adding that the Minister of Communications, Mr Adebayo Shittu would give details of the development in due course.

    Prof Danbatta made the disclosure while granting audience to the management of Airtel,  led by its Managing Director and Chief Executive Officer for Africa, Mr Raqhunath
    Mandura.

    The EVC said: “It is good to see Airtel providing services, especially 4G services.

    “It is good to hear the level of expansion because we are seeing a remarkable improvement in broadband penetration.

    “The figures are increasingly going up. We are at about 33% now.  This we can attribute to a very ambitious expansion of network operators like Airtel in places like Lagos, Kano, Rivers, Ibadan, Abuja. This lends credence to figures we are seeing from broadband penetration.

    “We are seeing an increase in broadband subscription, especially to services provided by Airtel.

    “It is good for Nigerians to hear this that Airtel is helping us to hit the broadband penetration target.

    “We were supposed to achieve 30% as at December 2018 but we have exceeded that target courtesy of National Broadband Plan.

    ” We are steadily seeing an increase in broadband penetration. As of February, there is a new target of 70% in the next five years.  We will come up with new.

    “So far, no official announcement has been made on that by the minister.

    ”  I am sure government will come up with an official announcement on the new National Broadband Plan, Phase 2.

    ” In the area of data usage, there is also steady increase in data usage. We are again seeing that from 4G  network services.

    “It is important to talk about other statistics. As at February 2019, we had 174million Nigerians had access to telecom voice services. And the number is steadily rising.
    Internet penetration too in real terms is 100milion.”

    Prof Garba further said it is heartwarming that all growth parameters are steadily growing courtesy of expansion programme on 4G operators in the country, especially Airtel.

    In his remarks, Mr Mandura said Nigeria is the fastest growing Telecom market and also the biggest market we have in Africa.

    He said: “It is a critical market for us as we expand broadband penetration.

    “We are impressed about the way Nigerian telecom market is growing.  This is the fastest growing market in Africa.

    “We are committed to very heavy investment and to help digitize the country.

    “We are here to thank the NCC management for their support and to discuss about future broadband.

    “It comes because of great vision and leadership from both the NCC and government of Nigerian for the market to be what it is”.

  • ‘Regulatory stability grew telecoms sector’

    The Executive Vice Chairman of the Nigerian Communications Commission, Prof Umar Garba Danbatta, yesterday said the regulatory stability enhanced by President Muhammadu Buhari-led adminsitration has accelerated the growth of the telecoms sector.

    Danbatta, in a statement signed by the Director, Public Affairs of the Commission, Mr Nnamdi Nwokike, congratulated Buhari on his re-election and extolled his virtues, adding that the victory was a reward for his selfless service to the nation.

    He said the Commission has, in the last four years, received the support of the president, which helped not only in reasserting its regulatory independence, but also making it a global household name in the area of regulatory excellence, and operational efficiency.

    The country had surpassed its national broadband penetration target of 30 per cent, as 31.48 per cent penetration was attained at the end of December last year.

    The broadband penetration figure was 8.5 per cent when Buhari took over the mantle of leadership of the country and appointed Prof Danbatta as the Chief Executive Officer (CEO) of the NCC in August, 2015.

  • Fines: MTN pays N165b to NCC, says Danbatta

    Telecommunications giant, MTN has paid N165billion out of the N330 billion imposed on it, Executive Vice Chairman of the Nigerian Communications Commission (NCC) Prof. Umar Garba Danbatta stated on Thursday.

    Danbatta however said the government was weighing options on another $8.5billion sanctions on MTN by the Central Bank of Nigeria (CBN).

    He said the administration of President Muhammadu Buhari was working to find amicable resolutions to the challenges facing MTN.

    He said the government was adopting flexibility to issues that have adverse effects on the economy.

    Danbatta, who made the submissions while fielding questions with some journalists in Abuja, said NCC as a regulator prefers amicable settlement of all issues with MTN.

    He said: “That has since been settled. The MTN fine that NCC did has since been settled. As I am talking to you, there is a Settlement Agreement with MTN according to which MTN will pay N330 billion.

    “They are busy paying. So far, they have paid 50 per cent of this amount meaning that they have paid N165billion to the coffers of the government.

    “And they will be paying the next tranche in December this year. So, the fines have since been settled a long time ago. Aren’t you aware?”

    On the $8.5billion issue, Danbatta said it was an issue between the Central Bank of Nigeria( CBN) and MTN.

    He added: “The $8.5billion is a CBN issue and as a regulator, we pray and hope that this will also be amicably settled because what affects MTN will have serious consequences for the telecommunication sector.

    “So, our prayer is that this issue will also be amicably resolved, it is being resolved amicably.

    “I heard reliably and we hope to read very soon that this issue is over also. The Nigerian government is disposed to amicable resolution of the MTN matter with the CBN. This information should go out.

    “This information was provided at the last event of the ITU Telecoms World.

    “I think this is part of the stance of this government showing flexibility to resolution of issues of this magnitude.

    “Issues that have bearing on the economy, the government is always disposed to finding amicable resolutions.

    “This has always been the position of this government on issues that may have adverse effects on the economy.

    “You know, they (the government and its officials) tread the path of flexibility, humility at times, to find amicable resolution to any issue. And this is to the credit of this government, I think.”

  • ‘Digital transformation key to economic development’

    To the Nigerian Communications Commission (NCC) Executive Vice Chairman, Prof Umar Garba Danbatta, for the country to take its rightful place, digital transformation should play a key role. In this interview with LUCAS AJANAKU, he speaks about Nigeria’s participation at the ITU Telecom World conference in South Africa, and strategies to drive investment in the country.

    The Nigeria Communication Commission (NCC) has been at the forefront of wooing foreign investors, especially in the telecoms sector. What is government doing to attract these investors through tax incentives?

    The Economic Recovery and Growth Plan (ERGP) document of the Federal Government clearly shows government’s willingness to create an enabling business environment for investors to thrive in Nigeria. For example, in the ERGP document, there is a pioneer status given to investors, who are coming in to invest in any sector of the economy, including the telecoms sector. The pioneer status incentive is 30 per cent, which means a reduction of Company Income Tax by as much as 30 per cent. This is in addition to other incentives like the relaxation of monetary policy of the government, access to foreign exchange, fiscal policy, reduction and waivers on custom duties, among others like the Executive Orders 5 and 6 of the ease of doing business.

    All these are measures put in place by the government to make business in Nigeria very easy and profitable for willing investors, and we at the NCC will continue to encourage investors to come to Nigeria and invest in the telecoms sector, and our efforts are beginning to yield good results. The telecoms space is big enough to accommodate more investors and we will continue to encourage Foreign Direct investments (FDI) in Nigeria.

    Last year, the NCC gave an update on telecoms investment in Nigeria, which was put at $70 billion. What is the contribution of the telecoms sector to Nigeria’s Gross Domestic Product (GDP)?

    I must make it clear that we get statistics about telecoms contribution to GDP from the National Bureau of Statistics (NBS).  The figure we gave last year about telecoms investment in the country was $70 billion, and the figure was what the NBS released as at last year. Although the bureau has not released statistics for this year, I can confidently say that the total telecoms investment in Nigeria has surpassed $70 billion. This is true, based on reliable information we have that telecoms investments, which include FDI and portfolio investment, has currently reached 10.5 per cent, up from 9.15 per cent in the previous year. The NBS quarterly report puts the contribution of telecoms to GDP at $5 billion per quarter, which is 2 per cent rise per quarter. This, of course, is a steady quarterly growth and when you calculate the four quarters in the last one year after the $70 billion figure was released, it becomes clear that telecoms contribution to GDP has surpassed $70 billion in the last one year, and this is a significant contribution to the Nigerian economy.

    In the last one year, Nigeria recorded a steady growth in voice and data services offering, including broadband penetration and all these put together in monetary terms, clearly shows the immense contribution of the telecoms sector to the Nigerian economy.

    What are some of the opportunities for additional foreign investors that may be interested in the nation’s telecoms sector?

    There are lots of opportunities for investors in the county’s digital transmission system including microwave, satellite and optic fibre, such as submarine cable communications, as well as digital exchanges for both wired and wireless lines. We also have investment opportunities in our billing systems and data communications networks, broadband and integrated service digital network (ISDN).

    Nigeria needed 120,000km metropolitan optic fibre coverage for ubiquitous network connections nationwide, but the country has only 38,000km coverage now, which I see as an investment opportunity beckoning on both foreign and local investors to take advantage of, and invest in the country.

    The NCC is intensely focused on bringing efficient, qualitative and affordable ICT platforms within the reach of individuals and corporate bodies through the implementation of our 8-point agenda, the Federal Government’s Economic Recovery and Growth Plan (ERGP) and the ICT Roadmap to drive synergies, which would expand opportunities for disruptive technology innovation and global competitiveness in Nigeria.

    What are some of the regulatory measures taken by the NCC to deepen broadband penetration in the country?

    Several regulatory measures have been put in place by the NCC to further grow broadband penetration in the country. The Commission had earlier assigned 2.3GHz licence to Bitflux Consortium and six of the 14 slots available on 2.6GHz to MTN Nigeria and two slots to Openskys, and six slots are still available for assignment.

    Nigeria had a mere five per cent broadband penetration in 2012, but now we have attained 22 per cent and hope to hit the 30 per cent recommended by National Broadband Plan by December 2018, through various initiatives, including granting subsidies to Infrastructure Companies (InfraCos) licencees, and for spectrum trading. In line with our initiatives to encourage investment for InfraCos’ roll out, the Commission created subsidy provisions in its 2017 and 2018 budgets for the InfraCos, which is expected to be disbursed by piecemeal to the InfraCos as the deployment of their infrastructure progresses. We have, however, assured all the licencees that the subsidy is based on the implementation and milestones of their rollout obligations

    As part of the flexible approach to regulatory management and constant stakeholders’ engagement, the Commission introduced spectrum trading only a few months ago. This is to enable holders of such spectrum that is not in use to transfer, lease or share such spectrum with those who may have a need for it.  We see this as a cutting edge regulatory initiative to safeguard the use of this scarce national resource. The NCC undertook these regulatory steps in line with the National Broadband Plan (NBP) of 2013-2018, where it is anticipated that 30 per cent broadband penetration will be attained by the end of 2018.

    At the opening ceremony of the ITU Telecom World 2018, the  South African President, Mr. Cyril Ramaphosa, highlighted three pillars on which his country is driving digital transformation. What are the strategies for Nigeria in driving its digital transformation?

    Yes, I heard clearly, the South African president’s speech at the opening ceremony of ITU Telecom World 2018 conference, when he listed the three pillars on which his country is driving digital transformation, to include Women, Youths and SMEs. The truth is that every county has its own strategy and I subscribe to the position of his Excellency, President Cyril Ramaphosa of South Africa on the country’s drive in digital transformation for a digital economy. The Nigerian strategy is similar to the South African strategy as enumerated by their president, but we have additional strategies beyond that of South Africa.

    In Nigeria, we have identified about five strategies of the digital ecosystem, but to successfully achieve these strategies in Nigeria, we need government enabling polices and the right institutions that will enhance digital transformation in Nigeria, because digital transformation is key to Nigeria’s development. As part of the Nigerian strategy for digital transformation, we have considered the youths, women and SMEs in our policy. In all of these, the role of the NCC in the digital transformation of the country is key and the NCC is currently giving access to telecommunication services in the underserved and unserved areas of the country, more so in a situation where only 50 per cent of Nigerian households have access to telecommunication services. Again, we are building the critical mass adoption and use of telecommunications services in order to achieve the right broadband internet penetration. We have a National Broadband Plan which the NCC is at the forefront of pushing it to ensure that we have a deeper broadband penetration for Nigeria. We have currently achieved 22 per cent broadband penetration in the country, which is above the minimum target of achieving 30 per cent broadband penetration, with plans to achieve the maximum target by the end of this year. So, the NCC is also targeting massive capacity building in schools and colleges, including tertiary institutions and communities outside the schools. The other aspect of the digital transformation for Nigeria is in the area of telecoms infrastructure. In order to boost the rollout of telecoms infrastructure across the country, we decided to zone the country into seven zones and licensed Infrastructure Companies (InfraCos) in all the seven zones. The role of the InfraCos is to provide broadband infrastructure that will facilitate faster rollout of broadband service across the country. All these initiatives are targeted at enhancing digital transformation in the country.

    Are there incentives that will motivate the InfraCos to roll out broadband infrastructure much faster?

    To ensure rapid rollout of broadband infrastructure across the country, the NCC provided some palliatives in the form of incentives for all InfraCos that are willing to roll out in rural communities, including underserved and unserved communities. Aside the incentives, the InfraCos licence was made very cheap to encourage InfraCos. The NCC is not interested in making money out of InfraCos, but to encourage them to roll out broadband infrastructure in all nooks and crannies of the country. Beyond women, youths and SMEs, we also have plans for the physically challenged persons and we give them opportunities to belong to the country’s digital transformation process.

    What is your view about government’s position on MTN, where the telecoms company was asked to return money it repatriated from the country between 2007 and 2015 and to pay tax arrears within the same period, totaling $10.134b?

    Government is an institution whose actions are guided by law. For example, the Central Bank of Nigeria (CBN), is a government institution which regulates the financial sector of the economy, while the Federal Inland Revenue Services is another government institution that regulates the tax sector of the economy and the Nigerian Communications Commission (NCC) regulates the telecoms sector of the Nigerian economy. What is happening between MTN and the Nigerian government is based of regulatory issues in their different sectors. Although the issue is currently centred on financial and tax regulation, but there are public fears and outcry that the action taken so far by the government could cause ripple effect on other sectors of the economy because telecommunications as it were, which is the core business of MTN, cuts across all sectors of the Nigerian economy. As telecoms regulator, we are aware that there is no sector of the Nigerian economy that does not enjoy the services of telecoms sector, and we are concerned about the current MTN issue with the government because MTN Nigeria is a licensed operator under the supervision of the NCC. But I will like to say that although the alleged breach is purely on financials and taxes, but the NCC as a regulator of the telecoms sector, is doing everything possible to ensure quick and amicable resolution of the matter. We are already intervening, just the same way we intervened in the previous matters concerning MTN Nigeria. As a regulator with human face, we will always provide guidance to all our licensed operators, both big and small, during crisis of any sort. MTN has been in touch with us over the recent matter and we have mapped out strategies to address the issue, which I will not like to divulge to the media at the moment.

  • NCC orders telcos to give 14-day window to customers

    The Nigerian Communications Commission (NCC) has notified telecom service providers on users’ experiences regarding quality of service, poor reception, automatic data roll over, wrong billings and deductions, among other issues.

    According to NCC Executive Vice Chairman, Prof Umar Garba Danbatta, sanctions would be meted out to service providers who continue to fail in delivering improve services to the telecom consumers at the appropriate time.

    Prof Danbatta, who made the remarks during the “NCC Day” at the on-going 13th Edition of Abuja International Trade Fair, said the Commission has directed all service providers to give 14-day window to subscribers to enable them roll over their unused data even if they do not renew.

    Represented by Head of Public Relations, Mr Reuben Muoka, the NCC Boss also said “statistics continue to show positive movement in the provision of services to the citizenry with Internet penetration standing at over 126 million subscribers in August 2018, while phone subscription stands at over 160 million at the same period.

    “With broadband penetration of 21 per cent, Nigeria’s social media space has continued to thrive and our citizens are enjoying access to modern ways of interactions in the cyberspace”.

    ” On the quality of service issue, including poor reception, wrong billings and deductions, automatic data roll over among other issues, we have put the service providers on special notice about our current monitoring of user experience and will call them to account in due course.

    “Where the service provider continues to fail to improve services to the detriment of the consumers, the Commission will apply appropriate regulatory actions and sanctions against such service provider,” Danbatta said.

    He continued: “On this issue of data roll over, the Commission has directed all the service providers to give 14-day window to the subscribers to enable them roll over their unused data, even if they do not renew on the expiration data.

    “In other words, this will stop the current practice where subscriber lose their entire unused data if they fail to renew on the date of the expiration of the current subscription.

    “We are currently addressing the issue of Call Masking and SIM Boxing, where international calls are made to bear local numbers, thereby bringing confusion to bear on the subscribers. We have already issued sanctions to some erring operators.

    “Pre-registered SIM card has continued to attract attention as our enforcement unit has intensified efforts aimed at arresting perpetrators of this crime across the country. We call on all consumers of telecom services to be wary of the negative consequences of this phenomenon and report anybody found to be involved in distribution and sales of pre-registered SIM Cards.

    “We have continued to use the mass media to create awareness about these consumer centric solutions, and also enlighten consumers that telecommunications mast and towers do not cause any health hazards as a lot of people think.”

  • Intervention to save Etisalat necessary – NCC

    Intervention to save Etisalat necessary – NCC

    The Nigerian Communications Commission (NCC) said on Wednesday it aligned with the Central Bank of Nigeria (CBN) to protect the interest of investors, subscribers and employees of Etisalat (now 9Mobile) in order to ensure amicable resolution of this crisis between the telecommunication firm and a consortium of 13 banks.

    The NCC Executive Vice Chairman, Prof. Umar Garba Danbatta, disclosed this when he received in audience the Chief Executive of 9Mobile, Mr. Boye Olusanya, and Vice-President, Regulatory Affairs at the NCC, Mr. Ibrahim Dikko, in his office in Abuja.

    Danbatta said: “The over $2billion Foreign Direct Investment (FDI), by Mubadala of United Arab Emirates (UAE) was hanging, while 20million subscribers and over 2,000 workers would have been affected if we did not intervene in the matter with a view to finding an amicable resolution.”

    In a statement signed by NCC’s Director of Public Affairs, Tony Ojobo, Prof. Danbatta maintained that “resolving the issue was also partly to forestall any form of disincentive to the FDI.”

    According to him, if the company had gone under, this would have created a social problem especially with the job of over 2,000 Nigerians on the line.

    He added that such situation was capable of creating security challenges for the country.

    Prof. Danbatta said NCC collaborated with CBN to avert a looming economic disaster adding “we want to see a viable and thriving 9Mobile and we want to cooperate with you so that things can move seamlessly and be successful.”

    He assured the 9mobile team of the Commission’s cooperation in the efforts to grow its network.

     

  • Telecom sector investment hits $68bn

    Telecom sector investment hits $68bn

    The Nigerian Communications Commission (NCC) on Wednesday said investment in the telecommunication sector has increased to $68.2 billion from $50million in 2001.

    The NCC Executive Vice Chairman, Prof. Umar Garba Danbatta, said the development was due to the huge potentials and the resilient nature of the sector despite the present economic situation in the country.

    Danbatta made the remarks during a meeting with 22 Defense Attaché and Advisors from different embassies led by Commodore Aminu Hassan, Deputy Director of Foreign Liaison, Nigerian Defense Intelligence Agency.

    He said, “Even with Nigeria going through recession which is now a global phenomenon with the exception of U.S, Iran and a few other countries, you can see that the telecom sector in Nigeria is resilient and with huge potentials for growth.

    “In the first quarter of the year 2016 against all negative predictions, the telecom sector contributed about 1.4 trillion naira to the GDP and now in the second quarter of 2016, it has contributed over 1.6 trillion naira. This is a credible statistic from the National Bureau of Statistic.”

    The NCC chief added that the number of active GSM subscribers has increased from about 400,000 in 2002 to 150 million in 2016,  stressing that the commission had recently granted license to two infrastructures companies  for the development of facilities in the North central  and Lagos.

  • Senate confirms Danbatta as NCC chief

    Senate confirms Danbatta as NCC chief

    The Senate on Thursday confirmed the appointment of Prof. Umar Garba Danbatta as the Executive Vice Chairman and Chief Executive of the Nigerian Communications Commission (NCC).

    He was appointed in acting capacity by President Muhammadu Buhari on August 4 following the expiration of the tenure of Dr. Eugene Juwah as NCC chief.

    According to a statement issued by the Director of Public Affairs, NCC, Mr. Tony Ojobo, the confirmation on Thursday followed “thorough screening by the Senator Gilbert Nnaji -led Communication Committee, before the Committee of the whole affirmed Prof. Danbatta appointment for the next five years.”

    The statement reads: “Before his appointment, he was the Acting Vice Chancellor, Kano State University of Science and Technology, Wudil.

    “Born in Danbatta Local Government Council of Kano State, Prof. Danbatta obtained his BEng and MSc degrees from the Technical University of Wroclaw in Poland and his PhD from the University of Manchester Institute of Science and Technology (UMIST) UK respectively.

    “He has served as a lecturer in the Department of Electrical Engineering, Faculty of Technology, Bayero University, Kano, for 28 years, where he taught courses in telecommunications engineering and electronics and held academic positions of Dean of the Faculty and Head of Department. His main responsibilities, in the university, included Deputy and Acting Dean of Students’ Affairs, Administrator of the Works Department and later, Director of the Centre for Information Technology (CIT).

    “He was also a member of over 60 University committees and task forces, including numerous stints as Chairman.  In administrative and other responsibilities outside the university, he has served on over 20 committees, prominent among which was his Chairmanship of the implementation Committee of pioneer Deputy and Acting Vice-chancellor when it took off in 2001.  Prof. Danbatta has supervised more than 60 PhD, MEng and BEng projects in diverse areas of telecommunications.

    “He has to his credit more than 50 articles in journals, conference proceedings and technical reports.  He is also the author of a six-chapter, 167 – page book titled – Element of Static Engineering Electromagnetics.”