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NCC, Stakeholders Dialogue on Best Spectrum Auction Model

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Players in the telecommunications industry have tabled their positions hoping to influence the Nigeria Communications Commission (NCC) in the sale frequencies in the 2.6GHz Spectrum.

Arguments swung left and right but majorly for the maintenance of the present pattern of national licensing.

Another handful called for a regional licensing approach that will create room for more players and improved deployment phase.

Speaking at the Forum, Engineer Peter Igoh, chairman, Nigerian Communications Commission said that, the transparent way in which the Commission had conduct its licensing processes, including auctions, have been globally recognized.

He said, the Forum was part of NCC’s consultative disposition in which it strive to ensure inclusiveness in its decision-making processes, fairness and openness in dealings, and predictability in the nation’s telecom regulatory atmosphere.

On his part, Engineer Austin Nwaulune, director, Spectrum Administration at NCC, also said that the Commission has 2 x 70 MHz Slot in the 2.6GHz Band up for sale.

He said they were determined to put it up for the most qualified organizations to utilize them for the benefit of the nation.

Listing issues involved in the process such as the possibility of introducing spectrum caps, licensing options, tenures, roll out obligations and some key issues that the Commission’s auction committee may have put up for consideration, Nwaulune said the Commission’s transparent disposition in the ways and manners in which the auction will be conducted is not negotiable.

Engineer Lanre Ajayi, president, Association of Telecommunication Companies of Nigeria (ATCON), applauded the sense of seeking stakeholders’ views on the process but sought to know why close to 30 companies expressed interest during the sale of 2.3GHz band earlier in the year, but only two went ahead to bid.

He urged NCC to review the process, create changes for business viability.

According to him, most organizations might become skeptical about the bidding should NCC fail to declare its intentions on time, citing the sale of 2.6GHz few months after the 2.3GHz as unpalatable for ventures.

On the Modalities licencing model, Ajayi said he believes in Spectrum Trading, where a company with either a National or a Regional Licence can have the leverage of selling the same to another company without been queried by the NCC.

Nwaulune swiftly explained that spectrum trading might be unfavourable for the industry, as some companies could arm-twist others to get the licence, whereas the end-users bear the blunt.   

But, Engineer Bayo Banjo, president, Nigeria Internet Group (NIG), has a different view, saying that the industry should learn from past experience that allocation of licences on National bases has not alleviated the broadband penetration challenges.

According to him, National frequency allocation has caused more harms than good, creating hiccups for organizations during deployment and recouping of investments hard to attain.

He opined that such practice can become viable if the bidders and eventual winners are meant to sign agreement to cover the 36 States and the FCT, and no redundancy in spectrum utilization in any of the States.

Nodding in agreement, Chidi Ibisi, chief marketing officer, Broadbased Communications, said that Regionalization of the licencing is the way forward, hence it will boost chances of local companies participation and help in building Companies, which has been the primary focus of Dr. (Mrs) Omobola Johnson, led Ministry of Communication Technology.    

On his part, Mr. Aremu Olajide, head of Network Operations, Globacom, said that NCC should work towards ensuring that organizations with pedigree in spectrum administration are given opportunity to manage the scarce resources for the best interest of the nation’s broadband availability and affordability plans.

He urged NCC not to depart from the objectives of these programmes centered on deepening competition and improve broadband penetration in the Country.

Meanwhile, Igoh said that the Commission has commenced the processes for the selection of Infrastructure Companies for Lagos and North Central Region in line with the Open Access Model that was launched in 2014.

In due course, qualified companies will be selected in that process to give impetus to the drive to achieve robust deployment and service provisioning for broadband services across the country.

 


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Telecom

FG Plans EO to Criminalise Fiber Cable Damage Costing Telcos Billions

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Nigeria will criminalize the destruction of broadband fiber cables following repeated complaints by MTN Nigeria Communications Plc and other telecommunications companies that they are losing billions of naira, according to people familiar with the matter.

FG Plans EO to Criminalise Fiber Cable Damage Costing Telcos Billions

Federal ministry of works, which supervises federal road constructors, is finalizing the regulation that will be signed as an executive order by President Bola Tinubu, said the people, asking not to be identified as they weren’t authorized to comment.

While there are presently laws against vandalism, the authorities are aiming to regulate construction firms more closely.

The order will enforce stiff penalties on offenders, said the people, declining to provide more details or say when it will be signed.

“Telecom assets are critical backbone that supports the economy across sectors,” said Temitope Ajayi, a senior presidential aide, who noted that the Association of Telecommunications Companies (ATCON) has been demanding the classification for years.

New rules will provide “further assurance that the Nigerian government will protect their investments against vandals and criminal elements.”

The Nigerian Communications Commission (NCC) estimates that the sector will make up more than a fifth of the country’s gross domestic product by the end of 2027, up from 13.5% in the third quarter of last year.

The move will help alleviate pressure on the telecoms sector, which is facing increased operating costs and sales pressures from a sharp depreciation in the currency and a threefold increase in energy prices.

Repairs and revenue losses from damaged cables is estimated to have cost the sector almost 27 billion naira ($23 million) last year alone, documents seen by Bloomberg show.

MTN Nigeria, the biggest wireless operator in Africa’s most-populous nation, and Airtel Africa Plc bore the brunt of the costs, the documents show.

MTN suffered more than 6,000 cuts on its fiber cable last year, the documents show. On Feb. 28, a cut on its network in three different locations by a road construction firm, an oil serving company and someone burning rubbish in a manhole meant customers faced more than five hours of data and voice outages.

The operator relocated 2,500 kilometers (1,553 miles) of vulnerable fiber cables between 2022 and 2023, at a cost of more than 11 billion naira – enough to build 870 kilometers of new fiber lines to areas without coverage.

A presidential order on the matter would be welcomed, said Tony Izuagbe Emoekpere, president, Association of Telecommunications Companies of Nigeria.

“When it comes to communication infrastructure, they are destroyed at will, so we are eagerly awaiting the president’s order,” he said. “It would be a great boost to the industry, and it will also encourage investment.”

 

 


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Telegram Eyes 1Bn Users amidst Political Pressures

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Telegram, the messaging giant founded by Pavel Durov and headquartered in Dubai, anticipates hitting a remarkable milestone of one billion active monthly users within the next year.

Durov’s departure from Russia in 2014, prompted by governmental pressures to stifle opposition communities on his VK social media platform, underscores Telegram’s commitment to neutrality despite geopolitical challenges.

With 900 million active users currently, Telegram stands as a beacon of free speech in the digital realm, particularly influential in former Soviet Union republics and pivotal during conflicts like the Russia-Ukraine standoff.

Durov’s staunch advocacy for freedom of expression and opposition to censorship by tech giants like Apple and Google reinforces Telegram’s status as a neutral platform.

Opting for the UAE as its base, Durov cites its neutrality and openness as conducive to Telegram’s ethos, serving both opposition groups and governments alike while maintaining impartiality.

In Durov’s vision, the pursuit of freedom eclipses material gain, shaping Telegram’s trajectory as a bastion of digital liberation.

 

 


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NITDA, NIMC Announce Collaboration To Strengthen Digital Economy

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To further strengthen Nigeria’s digital economy in line with President Bola Ahmed Tinubu’s Renewed Hope Agenda, the National Information Technology Development Agency (NITDA) and National Identity Management Commission (NIMC) have announced a collaboration on National Public Key Infrastructure (PKI) and Digital Public Infrastructure (DPI) to enhance and create synergy between digital identity, payment ecosystem, and secure & seemless data exchange capabilities for Nigeria.

During the meeting between the Director-General of NITDA, Kashifu Inuwa Abdullahi, and Director General of NIMC, Engr. Bisoye Coker-Odusote, with some management staff of both organisations, they discussed various initiatives, which include building DPI stacks for a secured and seamless data exchange and forming partnerships to transform the national identity system.

This collaboration also aims to harness the potential of the innovative ecosystem and emphasise the use of Public Key Infrastructure (PKI) to drive digital transformation in Nigeria.

To ensure a smooth implementation, a 12-man committee was set up. This committee will play a crucial role in kickstarting and harmonising the initiatives. It is expected to deliver a comprehensive implementation report within the next 4 weeks


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