Telecom
Knocks, Pats as Operators Dissect Interconnect Rate
Argument swung left and right Friday, as stakeholders in the telecom industry disagreed on terms of measurement used in determining Nigeria’s interconnection rates regime that has caused problems in the sector.
The stakeholders at the forum called by the Nigerian Communications Commission (NCC) to review the 2009 interconnection rates determination for voice services to the regime apart and pointed at the various issues causative to high interconnection indebtedness in the industry.
Under the current regime, which kicked off in December 31, 2009, interconnection rates for mobile voice termination provided by new entrants irrespective of originating network were set at N10.12.
The rates were designed to fall progressively to N9.48 on December 31, 2010; N8.84 on December 31, 2011 and N8.20 on December 31, 2012, from which date all termination rates will be symmetric.
But Alastair Macpherson, partner, strategy consulting at the London based PWC who conducted a study on the Nigeria mobile market interconnection rates regime, noted that their study was based on asymmetric rates for the industry adopted by the NCC.
Macpherson stated that ‘asymmetry was the big issue and said they looked at the cost and scale of operation of each operator based on their capacity.
Their study, he noted was based on a ‘hypothetical operator’ which doesn’t represent any real operator in the country. “It only shows the level of termination regime that should be in operation” and added: “it is not essentially the number of sites (an operator owns) but its operational efficiency.”
Dr. Eugene Juwah, executive vice chairman & CEO of the NCC said the interconnection rates were reviewed every three years since 2006.
“The Commission reviewed the interconnection rates by applying multiple rates for mobile and fixed voice services in recognition of far-end and near-end calls termination principles.
“Notably, the subsisting 2009 Glide Path interconnection rates for voice services is the first time the Commission implemented the glide path asymmetric rates for the industry. This was in recognition of late entrants and the commencement of the unified service licensing regime in order to create an enabling environment for healthy competition in the telecommunications markets among the active players.”
But Macpherson noted that the Nigerian market still has a lot of “growth expectation, especially in GSM voice for 2013.”
He said most 3G networks were essentially urban based and stated that in reviewing the Nigeria interconnection rates regime, comparative analysis was made with countries like Tanzania, South Africa and Ghana.
According to Macpherson, Tanzania does a periodic review, South Africa like Nigeria was in the process of reviewing.
The rates operating in Ghana, he noted were lower than what obtains in Nigeria.
But as if in a rehearsed unison, operators and major industry players queried the PWC methodology used at arriving in their conclusions.
Uche Ojo, director at Visafone, Nigeria’s leading code-division multiple application (CDMA) operator insisted that the PWC presentation didn’t represent their market share of the industry.
“I’d first of like to acknowledge that you guys did a good job, but in doing so I am also going to express my disaffection that you did not represent our (CDMA) operations.
Ojo stated what the Nigerian market environment indicates is that from the very beginning, the GSM operators have ‘marked out’ the CDMA firms.
He stated that it was easy for smaller operators to survive under the current regime; hence their peculiarity should have been factored into the findings.
Steve Evans, CEO, Etisalat Nigeria, which has really captured the imagination of Nigeria mobile consumers with their innovative offerings and managed in the process of garner about 15 million customers in less than five years, said PWC did a good job.
He however noted that the ‘hypothetical’ research methodology adopted by PWC was faulty.
“First, I’d say you did a very good job. Asymmetry is a healthy option, but hypothetical option is vague, because it represents a smaller factor than some real-time operators like mine (Etisalat). There should be symmetry in two or three variances like the small, medium and larger operators,” said Evans.
While agreeing with the Visafone director, Evans noted that “it’s very clear that smaller operators are competing at a very big disadvantage. We pay more to MTN in interconnect rate than we made for ourselves even with our 15 million customers.”
Uche Onwudiwe, chief operating officer of Interconnect ClearingHouse also faulted the PWC report stating that their operation was not factored in the study.
Osondu Nwokolo, director government and regulatory affairs at Airtel Nigeria also noted that PWC should have segmented their asymmetric study into three principal market regimes: ‘very large, 2nd set and 3rd set.”
Rather, he noted that “your presentation reflects on two-lines of operators: dominant and other GSM, plus the CDMAs.”
Reacting swiftly, Ms. Oyeronke Oyetunde, general manager, regulatory affairs at MTN Nigeria said: “asymmetry should look at operational cost and not necessarily size of operator. Care should be taken in terms of segregation.”
She implored the industry regulators, NCC to give operators time to study the review model presentation and revert at a later date.
Mohammed Buhari, senior manager, Interconnect & Carrier Services at MTN also raised objections to comparisons between Ghana and Nigeria.
He stated that Ghana’s system is sync with the global voice growth (GVG) regime, which means “it has a separation of termination rate.
In Nigeria, such doesn’t exist because it is the NCC based fixes our interconnection termination rate.
“If all of the West African countries are placed on the international rate, then you would discover that what obtains in Nigeria should be far cheaper than in Ghana, or elsewhere in the region.”
He also faulted another aspect of the report which mentioned operators having one alternate power generating set at a BTS.
“In Nigeria, no BTS can be served on one generator. Your analysis should be two generators by BTS because that is what obtains in this market,” said Buhari.
Ikechukwu Nnamani, CEO of Medallion Communications, queried the non-factorisation of fixed wired/wireless operators into the study.
He noted that the new policy thrust of the NCC which gives preference to broadband connectivity implies that fixed operators would become essential market elements.
Macpheson in a bid to save his study said that the study was essentially based on Nigerian market factors with mobile operators has dominant factors.
National Information Technology Development Agency (NITDA) has reiterated the Federal Government’s commitment to leveraging innovation, digital skills, and emerging technologies to accelerate Nigeria’s transition into a globally competitive digital economy.
NITDA
This commitment was reaffirmed at the Port Harcourt Tech Expo 2026, held at the EUI Centre, Port Harcourt, Rivers State, where NITDA participated as a key stakeholder in discussions aimed at advancing technology-driven economic growth and innovation across Nigeria.
Dr. Kashifu Inuwa Abdullahi, CCIE, Director-General/Chief Executive Officer of NITDA, who is represented by the Director of Stakeholder Management and Partnerships, Dr. Aristotle Onumo, delivered the Opening Keynote Address at the two-day event themed “Syntropy: Collective Futures – Systems, Solutions, Synergy and Societies.”
Addressing policymakers, technology leaders, startup founders, investors, academics, development partners, and young innovators, Kashifu emphasized that the future of Nigeria’s prosperity would increasingly be determined by its ability to harness technology, innovation, and human capital rather than reliance on natural resources.
According to him, the global digital economy presents unprecedented opportunities for Africa and Nigeria to create jobs, attract investments, and improve productivity through emerging technologies such as Artificial Intelligence (AI), data analytics, cloud computing, cybersecurity, and digital platforms.
“The future is not something we inherit; it is something we build. Nigeria’s greatest resource is not oil but its people. Our ability to develop digital talent, foster innovation, and create enabling ecosystems will determine our competitiveness in the digital age,” he stated.
He noted that AI and digital technologies are rapidly transforming industries across the world and urged stakeholders to embrace innovation as a catalyst for economic diversification and sustainable development.
He further highlighted NITDA’s ongoing implementation of the Strategic Roadmap and Action Plan (SRAP 2.0), which focuses on digital literacy, emerging technologies, innovation, cybersecurity, digital infrastructure, and inclusive economic growth.
The keynote also underscored the need for stronger collaboration among government, industry, academia, development partners, and the startup ecosystem to unlock the immense potential of Nigeria’s youthful population.
The Port Harcourt Tech Expo brought together a broad spectrum of stakeholders to deliberate on issues relating to Artificial Intelligence, startup development, digital skills, innovation financing, technology adoption, entrepreneurship, and ecosystem growth.
Participants explored opportunities for positioning the Niger Delta as a major hub for technology, innovation, and digital entrepreneurship while discussing strategies for addressing challenges related to skills development, startup financing, infrastructure, and technology commercialization.
During the event, NITDA engaged with technology companies, startups, innovation hubs, academic institutions, and development partners on potential areas of collaboration aimed at advancing digital inclusion and innovation-led development.
The Agency also used the platform to amplify the several of its flagship initiatives, including the Digital Literacy for All (DL4ALL) programme, the National Centre for Artificial Intelligence and Robotics (NCAIR), and programmes under the Office for Nigerian Digital Innovation (ONDI).
Observers at the event commended NITDA’s leadership in driving Nigeria’s digital transformation agenda and noted the growing impact of the Agency’s interventions in supporting startups, promoting digital literacy, and strengthening the country’s innovation ecosystem.
The Expo concluded with a renewed commitment by stakeholders to deepen collaboration, support innovation, and create opportunities for young Nigerians to participate actively in the digital economy.
As Nigeria continues its digital transformation journey, NITDA reaffirmed its commitment to fostering partnerships, developing talent, enabling innovation, and creating a technology-driven economy that delivers sustainable prosperity for all citizens.
Mr Khalil Suleiman Halilu, executive vice chairman and chief executive officer of the National Agency for Science and Engineering Infrastructure (NASENI), has reaffirmed the Agency’s commitment to strengthening Nigeria’s healthcare sovereignty through local manufacturing of medical diagnostic technologies.
L-R: CEO/Co-Founder, NASENI-Troment Biotechnologies Limited, Dr. Selim Hani; Team Lead, Science of Defeating Malaria initiative, Professor Dyann F. Wirth; EVC/CEO of NASENI, Khalil Suleiman Halilu; and Dr. Sami Hani, Board Member, NASENI-Troment Biotecnnologies during the dinner organized for the delegates of the initiative in Abuja at the weekend.
Halilu made the remark while hosting participants of the Harvard University-led Science of Defeating Malaria programme at a closing dinner in Abuja at the weekend, following their visit to the NASENI-TROMENT Biotechnologies Factory, where they commended the facility’s role in advancing disease control and healthcare innovation in Africa.
The delegation, led by Professor Dyann F. Wirth of Harvard University and comprising about 85 global health professionals, scientists and policymakers, toured the state-of-the-art facility and described it as a significant step towards combating malaria and other infectious diseases across the continent.
Speaking at the dinner, Halilu noted that the commendation further validated the vision behind the NASENI-TROMENT Biotechnologies Factory, a strategic project initiated 18 months ago to reduce Nigeria’s dependence on imported diagnostic kits and strengthen local healthcare manufacturing capacity.
He explained that the facility is designed to produce up to 600 million diagnostic kits annually, enough to meet about 80 per cent of Nigeria’s diagnostic testing needs while creating opportunities for export to other African countries and global markets.
The factory manufactures rapid diagnostic tests (RDTs) and in-vitro diagnostic (IVD) products under the N-CheckUP brand for diseases and conditions including malaria, hepatitis B and C, HIV, typhoid, syphilis, COVID-19, pregnancy and blood glucose monitoring.
According to Halilu, the project aligns with NASENI’s broader mandate of deploying science, technology and innovation to address national challenges, create jobs and build industrial capacity.
He expressed appreciation to Professor Wirth and members of the Harvard delegation for their recognition of the progress made at the facility and reaffirmed NASENI’s commitment to developing innovative solutions that improve lives and position Nigeria as a leading healthcare manufacturing hub in Africa.
The Science of Defeating Malaria programme, which was held in Abuja from June 7 to 13, brought together global experts committed to advancing strategies for malaria elimination and strengthening public health systems worldwide.
National Information Technology Development Agency (NITDA) has entered into a strategic partnership with the Development Agenda for Western Nigeria (DAWN) Commission through the signing of a Memorandum of Understanding (MoU) aimed at accelerating digital literacy, innovation development, and economic growth across Southwest Nigeria.
Director General NITDA, Kashifu Inuwa CCIE, Director General DAWN Commission Dr Seye Oyeleye alongside representatives of both organisations, display signed copies of the Memorandum of Understanding (MoU) upon its signing at NITDA Headquarters, Abuja.
Speaking at the signing ceremony in Abuja, NITDA Director General, Kashifu Inuwa, described the agreement as a significant step toward leveraging human capital and fostering regional collaboration to drive sustainable national development.
He commended the Southwest region for its longstanding culture of cooperation, noting that collective action remains essential for national progress.
“The Southwest continues to inspire when it comes to collaboration because no one succeeds in isolation. Other regions can learn from this model of cooperation.
“For Nigeria to grow, we must understand our strengths at both the state and regional levels and build on them,” he said.
Inuwa emphasised that Nigeria’s greatest resource is its people, stressing that investments in digital skills, innovation, and technology are critical to creating prosperity and expanding economic opportunities.
According to him, the partnership will facilitate knowledge exchange, capacity building, and innovation-driven initiatives capable of empowering citizens to develop local solutions with national and global impact.
Highlighting NITDA’s ongoing efforts to deepen digital transformation nationwide, he said the Agency is scaling digital literacy programmes, supporting innovation hubs, and promoting technology development across the country.
He noted that innovation flourishes where talent, infrastructure, and supportive policies intersect, making it important for every region to identify and strengthen its comparative advantages.
“Lagos has already established itself as a fintech hub and the commercial centre of the country. Abuja is emerging as a GovTech cluster, while other regions can develop specialised ecosystems around manufacturing, commerce, and other sectors.
“Every region possesses unique strengths that can be transformed into thriving innovation clusters,” he stated.
The NITDA boss expressed optimism that the collaboration would accelerate the implementation of the Agency’s strategic initiatives throughout the Southwest.
He added that both organisations had already begun working together prior to the formalisation of the agreement and called for swift action following the signing.
“We are excited about this partnership and look forward to translating our shared vision into tangible outcomes. While engagements have already commenced, I would like to see even greater momentum after the signing of this MoU,” he added.
In his remarks, the Director General of the DAWN Commission, Seye Oyeleye, highlighted the importance of digital literacy in preparing citizens for future opportunities and ensuring meaningful participation in the digital economy.
He noted that the Commission, which coordinates development initiatives across Ekiti, Lagos, Ogun, Ondo, Osun, and Oyo States, views the partnership as a strategic vehicle for advancing Nigeria’s digital transformation agenda.
Oyeleye highlighted Nigeria’s target of equipping 100 million citizens with digital skills by 2030 through the Digital Literacy for All Initiative, stressing that the Southwest has a pivotal role to play in achieving the national objective.
“Nigeria has committed to equipping 100 million citizens with digital skills by 2030. Southwest Nigeria is not merely a contributor to that vision; it is central to its success,” he said.
He explained that the MoU formalises a shared commitment to ensuring the effective implementation of NITDA’s programmes, particularly the National Digital Literacy Framework, across the region.
He added that the Commission would leverage its extensive network and partnerships across the six Southwest states to bridge federal digital initiatives with local communities, institutions, and young people.
“We will work to ensure that NITDA’s frameworks are not only implemented but strengthened. Our reach across the Southwest positions us to connect federal digital infrastructure and programmes with communities and young people who require the skills needed to thrive in the digital economy,” he stated.
Oyeleye further assured NITDA of the Commission’s commitment to delivering measurable results throughout the five-year duration of the agreement, noting that the true value of development institutions lies in the impact they create rather than the agreements they sign.
The MoU reflects the shared determination of both organisations to advance digital literacy, strengthen innovation ecosystems, and create sustainable economic opportunities for citizens across Southwest Nigeria, further supporting the country’s journey toward a robust and inclusive digital economy.
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