Telecom
Danbatta Highlights Achievements Says Broadband Penetration on Fast-tract
The national target to achieve 70 per cent broadband penetration by 2025 is receiving renewed attention from the Nigerian Communications Commission (NCC), which promises 50 per cent before the end of 2023.
This promise was one of the highlights of the special media chat with executive editors and media chiefs in the northern part of the country, hosted by the Executive Chairman of the Commission, Prof. Umar Danbatta, to unveil his achievements since the resumption of office till date.
At the occasion, where Danbatta informed the media chiefs that Fifth Generation (5G) services subscriptions have already hit half a million in subscription, the various efforts of the Commission to improve broadband penetration are yielding fruitful results with the current estimates as at July 2023 standing at 47.01 per cent.
Using the extant reviewed five-pillar Strategic Vision Plan as building block, the EVC spoke to 119 milestones achieved under the five strategic pillars, including regulatory excellence, universal broadband, market development, digital economy and strategic collaboration.
Danbatta said through effective implementation of NCC’s mandates under his leadership and cooperation of internal and external stakeholders since 2015, telecommunications industry in Nigeria has achieved remarkable milestones under our leadership.
“While we acknowledge the challenges encountered by the industry, we have also witnessed explosive growth, improved regulatory standards, and digital innovations that have garnered global recognition,” he said.
While reeling out impressive statistics that have characterized his leadership at NCC from 2015 to date, the EVC said active telephone subscribers had increased from less than 150.7 million to 218.9 million, representing a teledensity growth of 115.70 per cent from 107.87 per cent in 2015.
Through stimulating broadband infrastructure across the country, Danbatta said broadband penetration, which stood at 6 per cent in 2015 has increased significantly to 47.01 per cent as of July, 2023, enhancing over 89.73 million subscriptions on 3G, 4G and 5G networks in the country. Additionally, general Internet subscriptions have reached 159.5 million up from less than 100 million in 2015.
“Also, from 8 per cent contribution to the Gross Domestic Product (GDP) in 2015, telecommunications sector now contributes 16 per cent quarterly to the Nigerian economy as of the second quarter of 2023. besides, following the authorization of more telecommunications companies to operate in the Nigeria’s telecoms sector, the investments profile has increased tremendously from $38 billion in 2015 to $75 billion currently and this keeps growing daily. From the sales of Fifth Generation (5G) C-Band Spectrum, the NCC has generated over $847.8 million for the Federal Government,” he said.
Danbatta, who has received a gallery of awards nationally, regionally and globally in recognition of the outstanding performance of Nigeria’s telecom industry also listed several achievements recorded since 2015.
“Other milestones and initiatives recorded aside the regulatory activities that culminated in the landmark launch of 5G services in Nigeria include the introduction of Spectrum Trading Guidelines, re-farming and re-planning certain spectrum band for efficiency, the emplaced collaborative process for the release of C-Band Spectrum by Nigerian Communications Satellite (NIGCOMSAT) Limited, and introduction of the Expanded Revenue Assurance Solution (ERAS) to address revenue leakages and improve government revenue from the telecoms industry.
“These initiatives also include Licensing of Satellite Earth Stations, issuing of operating licence to SpaceX Satellite, facilitating the landing of additional submarine Cables, such as the Google 2,000km Equiano subsea Internet cable in 2022, listing of MTN on the Nigerian bourse, licensing of Mobile Virtual Network Operators (MVNOs), introduction of new unlicensed millimeter wave spectrum, and regulation of white space spectrum,” Danbata said.
Also as part of NCC’s commitment under Danbatta’s leadership, the Commission has endowed professorial chairs in Nigerian universities and committed over N500 million naira to Research and Development (R&D) in the telecoms sector.
“The creation of the Digital Economy Department, the mandate to drive the implementation of the indigenous telecoms sector growth through the operation of the Nigeria Office for Developing Indigenous Telecom Sector (NODITS), are also important strides made by the Commission,” he said.
Danbatta said other consumer-focused initiatives of the Commission have also centered on the establishment of Emergency Communications Centres (ECCs) in over 30 States of the Federation and the Federal Capital Territory (FCT). All these centres are operational, as well as the creation of the Computer Security Incident Response Team (CSIRT).
The EVC said these two initiatives have been helping consumers to get succour in times of emergencies as well as ensuring effective protection for telecom consumers while online.
The NCC Chief Executive said the Commission has also taken very clear actions on consumer protection, advocacy, information-sharing and education.
“These include introduction of data roll-over just before the expiration of subscribed data plans, introduction of the 622 toll-free number for lodging service-related complaints to the Commission, the Do-Not-Disturb (DND) 2442 Short Code for tackling the menace of unsolicited text messages, elimination of forceful/deceitful subscriptions to telecom services on mobile networks, tackling the issue of call masking, ensuring effective Subscriber Identity Module (SIM) registration, launching of National Roaming service and reduction of access gaps to telecom services from over 217 to 97, thereby enhancing access to telecom services by more Nigerians,” Danbatta said.
However, Danbatta said while the industry still faces a number of challenges such as vandalism, securing equitable Right of Way (RoW) from governmental stakeholders, as well as multiple taxation and regulation, the Commission has put framework in place to work with necessary stakeholders to overcome the obstacles possed by these challenges and to sustain the growth trajectory which has been the hallmark of telecoms sector as an enabler of socio-economic development in Nigeria.
Wireless Application Service Providers Association of Nigeria (WASPAN) has asked the Court of Appeal to suspend the enforcement of the Federal Competition and Consumer Protection Commission’s (FCCPC) Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025 (DEON Regulations).
WASPAN warned that the implementation before the determination of its appeal could expose telecom value-added service providers to sanctions and disrupt their operations.
Millions of subscribers across the country rely on borrowed airtime to communicate.
Seun Sofoluwe, an Abeokuta, Ogun State resident, said another interruption would have severe consequences for many Nigerians who depend on airtime and data lending services for their daily communication needs.
“A lot of people depend on the services, and it will be very bad for them, especially those who are so reliant on it that they do debt-to-debt servicing,” he said.
Debt-to-debt servicing refers to the practice of repaying an outstanding airtime loan immediately to qualify for another advance, underscoring the extent to which some subscribers depend on the facility to remain connected.
Sofoluwe’s concerns echo the experience of Lagos-based employee Farouk Rabiu, who recounted the hardship caused by the six-month suspension of airtime lending services before they were restored.
“I was devastated because, after exhausting my data, I was hoping to borrow credit to access my bank account. Instead, it was a major disappointment,” Rabiu had said after the services resumed.
Adding another dimension to the debate, Gbenga Adebayo, chairman of the Association of Licensed Telecommunications Operators of Nigeria (ALTON), said the earlier disruption showed that airtime credit had evolved far beyond a conventional telecommunications offering.
“What this episode demonstrated is that airtime credit is not a financial product in the way regulators initially characterised it. It is economic infrastructure that approximately 40 million people use regularly, with the vast majority of them at the base of the economy,” Adebayo said.
WASPAN, which represents licensed value-added service providers, has asked the Court of Appeal to restrain the FCCPC from enforcing the DEON Regulations pending the hearing of its appeal against the July 20 judgment of the Federal High Court in Lagos.
The association argued that immediate enforcement would expose operators to sanctions, create regulatory uncertainty and disrupt telecom-enabled services, including airtime credit and data advances, used daily by millions of Nigerians.
The FCCPC, however, has defended the resumption of enforcement, insisting the regulations are intended to sanitise the digital lending industry, curb predatory debt recovery practices, protect consumer data and eliminate illegal digital lenders.
The Court of Appeal is expected to determine whether enforcement of the regulations should remain suspended while it considers WASPAN’s appeal, a decision that could shape the future of telecom-based digital lending services and determine whether subscribers continue to enjoy uninterrupted access to airtime and data credit.
Nigerian Communications Commission (NCC) and the Rural Electrification Agency (REA) have entered into a partnership to deploy renewable energy solutions for telecommunications infrastructure in rural and underserved communities, a move expected to reduce operators’ energy costs and improve network availability.
Abraham Oshadami, executive commissioner for Technical Services at the NCC, disclosed this during the signing of a memorandum of understanding (MoU) in Abuja.
According to Oshadami, the NCC-REA Stakeholder Forum and MoU signing ceremony will enable telecom base stations located near mini-grids to access cleaner and more affordable electricity, reducing their reliance on diesel-powered generators.
He said the agreement came at a time when telecom operators are facing rising operational costs due to increased spending on diesel to power network sites amid unreliable electricity supply from the national grid.
The partnership reflects the growing relationship between the power and telecommunications sectors, as both rely on each other to deliver essential services.
Oshadami explained that while telecom infrastructure requires a steady power supply to remain operational, digital connectivity also supports electricity services such as smart metering, electronic payments and remote customer management.
According to him, the collaboration is aimed at improving access to reliable electricity and telecommunications services, particularly in remote communities where inadequate power supply has slowed digital inclusion.
He said both agencies had identified telecom base stations located within one to two kilometres of existing mini-grids, allowing the implementation of the initiative to begin immediately.
“Where mini-grids exist, we are able to identify nearby base stations and connect them to those power sources,” Oshadami said.
He added that future mini-grid projects would be planned with telecommunications infrastructure in mind, ensuring that electricity investments also support the expansion of digital services.
Telecom
Ex-Pan African Towers CEO Alleges DPI, Verod Using Court Suit to Pressure Him in $30m Buyout Dispute
A fresh twist has emerged in the legal disputes surrounding the acquisition of Pan African Towers (PAT), with the company’s former Chief Executive Officer, Azeez Amida, alleging that a lawsuit filed against him is retaliatory and intended to pressure him over an ongoing $30 million management buyout dispute.
Pan African Towers
The allegation is contained in Amida’s Statement of Defence and Witness Statement filed before the Federal High Court in Lagos in response to claims instituted by Pan African Towers.
According to the court filings, Amida argued that the latest suit should be viewed within the context of several pending disputes involving the company’s shareholders, including Development Partners International (DPI), Verod Capital Growth Fund III LP and African Development Partners International LLP.
The defence stated that Amida had already commenced separate legal proceedings against the investors over the management buyout transaction, seeking damages exceeding $30 million, while also pursuing claims against Pan African Towers arising from a Mutual Separation Agreement executed after his departure from the company.
He alleged that instead of filing substantive responses to those actions, Pan African Towers initiated fresh proceedings at the Federal High Court over expenditure approvals and procurement decisions made during his tenure as chief executive.
Amida maintained that the action was retaliatory and intended to exert pressure on him in relation to the earlier disputes.
The defence further explained that he had deliberately distanced himself from final expenditure approvals during his time as CEO because of disagreements over procurement practices and governance issues involving the board and shareholders.
According to the filings, following the appointment of a new Chief Financial Officer (CFO), financial approval responsibilities were structured to ensure the CFO retained final approval authority, while the CEO’s role was limited to endorsing requests that had already undergone departmental reviews.
The defence argued that many of the transactions now being challenged were processed through that governance framework, with approvals passing through the Finance and Human Resources departments before payment.
It added that the CFO, who remains with the company and has since been promoted, exercised the final approval authority over the disputed expenditures.
Amida also contended that the transactions cited in the lawsuit were not unilateral decisions but formed part of the company’s established governance and approval procedures involving multiple departments, executive management and, where necessary, the board.
According to the defence, documentary evidence, including internal emails, approval workflows and payment records, would be presented during the trial to support those claims.
The filings further stated that hospitality expenses, investor engagement costs and related business expenditures challenged in the suit were incurred in the ordinary course of business, known to directors and shareholders, reimbursed through established procedures and reflected in the company’s audited financial statements.
Amida also argued that the allegations only surfaced after his exit from the company despite extensive internal reviews conducted before both parties executed a Mutual Separation Agreement in November 2024.
He maintained that the agreement required any allegations of misappropriation unrelated to released assets to be investigated, supported by credible evidence and communicated to him within six months, with an opportunity to respond before legal proceedings could commence.
In a separate application, Amida challenged the jurisdiction of the Federal High Court, arguing that the dispute arose from his employment relationship and the Mutual Separation Agreement, matters he said fall within the exclusive jurisdiction of the National Industrial Court.
He also argued that a related case remains pending before the National Industrial Court and that the Federal High Court proceedings amount to an abuse of court process.
The defence indicated that it would rely on a range of documentary evidence during the trial, including audited financial statements, board communications, internal approval emails, banking records, employment documents, shareholder communications and the Mutual Separation Agreement.
The Federal High Court is yet to rule on the substantive claims or the preliminary jurisdictional objections.
While Pan African Towers’ allegations remain before the court, Amida has denied any wrongdoing and maintained that the action forms part of a broader pattern of litigation connected to the acquisition of the company.
The court is expected to determine the merits of the claims after hearing both parties.
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