Broadcasting
N2.5Bn DSO Allegation: Our Story By Pinnacle Communications
Pinnacle Communications Limited, the private licensed signal distributor for the Federal Government’s approved implementation of the Transition from Analogue to Digital Terrestrial Television (DTT) Broadcasting in Nigeria, has absolved the firm of alleged complicity and misapplication of money meant for the implementation of the digital switch-over (DSO) project.
The management of the company in a statement issued over the weekend, dismissed as untrue, false and unsubstantiated the media reports linking it with the allegation that N2.5 billion seed grant released to the National Broadcasting Commission (NBC) for the project had been misapplied. The Independent Corrupt Practices and Other Related Offences Commission (ICPC) was reported s investigating the allegation.
In the statement by Dipo Onifade, chief operating officer, Pinnacle Communications stated that the firm has always been transparent in all its dealings with the NBC and it has discharged its obligations on the digital switch-over project in compliance with the terms and conditions of the contract.
A statement by the company read:
ICPC Investigates NBC, DSO :
Statement by Pinnacle Communications Limited
The Management of Pinnacle Communications Limited is constrained to issue this statement as a matter of record in response to the flurry of news reports in the media on Thursday evening copiously quoting a statement allegedly attributed to the spokesperson of the Independent Corrupt Practices and Other Related Offences Commission (ICPC), Rasheedat Okoduwa disclosing that the Commission was investigating the Nigerian Broadcasting Commission over the “misapplication of N2.5 billion seed grant released to the agency by the federal government for its digital switch-over programme” for which the Commission has so far quizzed the Director General, Dr. Ishaq Moddibbo Kawu, and other top management staff of the agency over their alleged involvements in the misapplication of the fund”.
In view of the references made to Pinnacle Communications Limited in connection with the investigation and the necessity of providing the correct account of the involvement of Pinnacle Communications Limited in the issues raised, which were deliberately omitted and/or distorted in the ICPC spokesperson’s alleged statement as widely reported in the media, we hereby state as follows:
- Pinnacle Communications Limited is the only private licensed signal distributor for the Federal Government approved implementation of the Transition from Analogue to Digital Terrestrial Television Broadcasting in Nigeria in accordance with the 2012 Government White Paper section 11.2 (a) which approved that “more than one signal distributor be licensed in addition to NTA, the public licensed signal distributor. Another signal distributor should be licensed immediately.”
- In the year 2014, Pinnacle Communications Limited emerged successful bidder out of 9 companies after a rigorous public tender and full compliance with due process. Pinnacle Communications was licensed following payment of the stipulated license fees to the National Broadcasting Commission (NBC), NOT NIGERIAN BROADCASTING CORPORATION as stated in the alleged press release of ICPC spokesperson.
- Since then, Pinnacle Communications Limited has been a major facilitator of the Digital Switch Over (DSO) implementation process in Nigeria, notably as the broadcast signal distributor for the National Launch of the DSO in Abuja in 2016 at its state-of-the-art Broadcast Centre on Mpape Hill, performed by His Excellency, Yemi Osinbajo, Vice President of the Federal Republic of Nigeria. The Company was also responsible for the Kaduna Digital Broadcast Signal Distribution Centre commissioned in 2017 by the Kaduna State Governor, His Excellency, Nasir Ahmed El-Rufai.
- This factual background to the involvement of Pinnacle Communications Limited in the DSO project in Nigeria is contrary to the alleged statements attributed to the ICPC spokesperson that the company was “fraudulently recommended to the Minister of Information and Culture for the release of N2.5 billion against the guidelines contained in the White Paper” and further reference to Pinnacle Communications as “an unqualified company.” The 2014 licensing of Pinnacle Communications in the DSO predates the appointment of the current DG of NBC in 2016.
- The DSO is all about the transition from Analogue to Digital Terrestrial Television (DTT).
Broadcast Engineering is a field in which Pinnacle Communications Limited has earned recognition and patronage for more than two decades of expertise and dependability of world class service and installations across Nigeria.
- Neither the DSO nor Pinnacle Communications Limited has anything to do with “migration of telephone lines from analogue to digital platforms” as the ICPC spokesperson is alleged to have stated.
- Pinnacle Communications maintain that the facts and clarifications provided above sufficiently define the context and extent of its involvement in the implementation of the DSO program in Nigeria and the nature of its working relationship with the National Broadcasting Commission (NBC).
- While noting that the ICPC spokesperson allegedly stated that the Commission was investigating “misapplication of N2.5 billion seed grant released to the agency (NBC) by the federal government for its digital switch-over programme” we wish to clearly emphasize that Pinnacle Communications Limited has not and cannot as a licensee of NBC trespass into the statutory functions of the NBC and/or the Federal Ministry of Information on the implementation of the DSO program.
- To this extent therefore, all transactions between NBC and Pinnacle Communications have always been transparent and within the official approved operational guidelines and regulations as processed and executed by the NBC and in compliance with the terms and conditions of the license for signal distribution that Pinnacle Communications duly obtained.
- Having made all the necessary statements in response to the ICPC’s investigations and taking cognisance of the pendency of Suit No FHC/ABJ/CS/779/2018 that Pinnacle Communications instituted in July 2018 in the Federal High Court, Abuja on a related matter against ICPC and 2 others,(NOT RELATED TO STOPPING ANY INVESTIGATION BY ICPC) Pinnacle Communications considers it unprofessional, ill-advised, injudicious, prejudicial and unfair for the ICPC spokesperson to make as alleged random references to disjointed portions of comprehensive submissions to its investigators, clearly skewed to portray Pinnacle Communications Limited as complicit in the alleged or any “misapplication” of funds by the NBC, over which Pinnacle Communications have no responsibility or control. Pinnacle Communications challenges the ICPC spokesperson, if the alleged press release was indeed made by her, to publish the full statements made to the ICPC by Pinnacle officials.
- Moreover, if truly made, the ICPC statement went beyond mere announcement of on-going investigations into the realm of unsubstantiated incriminations in the fashion of trial-by-media that invariably paints a premature and amateur picture of guilt, prior to judicial determination.
- In the circumstance, Pinnacle Communications Limited shall refrain from further clarification of the muddled statement allegedly issued by the ICPC spokesperson in its firm belief that judicial process will provide the appropriate and fair opportunity to comprehensively and decisively prove its hard-earned reputation as a world class company that, unlike the ICPC spokesperson, upholds integrity, ethics and legality in all its transactions, in accordance with international best practices.
- Pinnacle Communications wishes to assure NBC, stakeholders in the DSO, its staff, international and local business associates and numerous clients that it remains committed to meeting all its obligations notwithstanding the malicious statement by the ICPC spokesperson.
DIPO ONIFADE
COO
PINNACLE COMMUNICATIONS LIMITED
Lagos State Electricity Regulatory Commission (LASERC) has issued a new directive establishing a formal regulatory framework for electricity market operations within Lagos.
With the release of Order No. LASERC ORDER/001/2025, the commission finalizes the shift of oversight from the Nigerian Electricity Regulatory Commission (NERC) to LASERC, aligning with the Electricity Act 2023 and Lagos State Electricity Law 2024.
Under the new regulations, individuals or entities involved in electricity-related activities in Lagos must obtain a license or permit from LASERC. Licenses issued by other regulatory bodies will no longer be recognized. Unlicensed operators must immediately halt operations and apply for proper authorization to avoid penalties, which include a fine of ₦20 million and additional daily fines of ₦20,000 for continued violations.
LASERC has encouraged entities unsure of their regulatory status to seek clarification to prevent sanctions. Despite the transition, existing national guidelines, including tariff structures, grid codes, and safety regulations, will remain in effect unless amended.
Dr. Fouad Animashaun, CEO and Executive Commissioner of LASERC, emphasized that the order is designed to ensure a secure, efficient, and reliable electricity market in Lagos.
He reiterated the commission’s commitment to global standards and safeguarding the interests of electricity consumers and investors.
This policy marks a significant shift in the state’s power sector and aims to enhance regulatory compliance while ensuring a more structured and effective electricity market.
Video entertainment company MultiChoice’s woes are persisting with the company continuing to suffer massive losses in revenue and subscribers.
This emerged today when the DStv parent company announced its financial results for the year ended 31 March (FY25).
In a statement to shareholders on the Stock Exchange News Service, the JSE-listed firm says the past two financial years have been a period of significant financial disruption for economies, corporates and consumers across sub-Saharan Africa due to challenging macro-economic factors.
Combined with the impact of structural industry changes in video entertainment such as the rise of piracy, streaming services and social media, this has materially affected the overall performance of the MultiChoice Group, it notes.
Over this period, MultiChoice says the group lost 2.8 million active linear subscribers and had to absorb a R10.2 billion negative impact on its topline due to local currency depreciation against the US dollar.
For the year ended 31 March, the company reveals that linear subscribers were down 1.2 million or 8% year-on-year (YoY) to 14.5 million active subscribers, with the loss evenly split between South African (600 000) and Rest of Africa (600 000).
Although reflecting an improvement on FY24 trends, MultiChoice says this indicates ongoing broad-based pressure across the group’s entire customer base.
Active paying Showmax subscribers were up 44% YoY, reflecting healthy growth and gaining regional market share, it adds.
Group revenue declined by R5.2 billion or 9% YoY to R50.8 billion, mainly due to an 11% decline in subscription revenues (-1% organic) caused by foreign currency and subscriber volume headwinds and the deconsolidation of the NMSIS insurance business from December 2024, it explains.
According to the firm, this was partially offset by inflationary pricing and new product growth (DStv Internet, DStv Stream and Extra Stream).
Trading profit, which declined by R3.8 billion or 49% YoY to R4 billion, was materially affected by the R2.3 billion organic increase in trading losses in Showmax and the R5.2 billion in foreign currency revenue losses, partially offset by a significant outperformance in delivering total cost savings of R3.7 billion.
Adjusted core headline earnings, the board’s revised measure of the underlying performance of the business, shifted to a loss of R800 million (FY24: earnings of R1.3 billion) due to lower trading profit and hedging losses in FY25 (compared to gains in FY24), partially offset by smaller losses on cash remittances from Nigeria.
The group incurred a free cash outflow of R500 million in FY25 (FY24: inflow of R600 million), impacted by lower profitability, higher lease repayments due to timing and partially offset by improved working capital management as well as a 29% YoY decline in capex.
At year-end, the group held R5.1 billion in cash and cash equivalents and retains access to R3 billion in undrawn general borrowing facilities.
A part of the R12 billion term loan was repaid early by using the R900 million upfront proceeds from the NMSIS transaction (ie R1.2 billion, net of tax), says the company.
The group operates in numerous markets across Africa and internationally, resulting in significant exposure to foreign exchange volatility.
Amid the challenges, MultiChoice states that management acted decisively to ensure that the group could withstand these headwinds, focusing on key areas within its control.
It notes that this has meant maintaining a discipline of inflationary pricing, with price increases of 5.7% in South Africa in FY25 (FY24: 5.6%) and an average of 31% in local currency in Rest of Africa (FY24: 27%), which enabled the group to offset subscriber volume pressures and deliver 1% YoY organic revenue growth in the current financial year.
In addition, further efficiencies were implemented to manage costs and cash flows without unduly sacrificing the group’s customer value proposition, it adds.
In this regard, the group delivered R3.7 billion in cost savings, well ahead of management’s initial R2 billion target (and the revised R2.5 billion target set at interims) and almost double the R1.9 billion saved in FY24, the company says.
Afia TV & Radio has announced its official entry into the Lagos media market, in its commitment to expanding the broadcaster’s footprint, connecting businesses to audiences across Nigeria, and redefining regional media excellence.
Chief Emeka Mba,
Nnamdi Obanya, general manager of Afia TV & Radio, said there is only one digital satellite and one digital station in the southeastern region of Nigeria, which is Afia.
Obanya, stated that: “We are specialists in developing products. A programme on our channel, ‘How Market’, is where we talk to the people in the market to tell their stories and advertise their products on AFIA.”
According to him, “the market world has changed a lot, as the physical market has become a ware house while people are buying digitally.”
Chief Emeka Mba, founder and CEO, stated: “The parley brought together top media buyers, advertising agencies, and communication professionals for engaging conversations around emerging trends, innovation, and future-forward strategies in media planning and buying. The event also served as a platform for Afia TV and radio to unveil its offerings, platforms, and unique value proposition to Lagos-based stakeholders.”
While noting that they are thrilled to bring Afia’s fresh, original, and regional perspective to Lagos, Mba said, “this parley signals our readiness to collaborate, innovate, and deliver impactful results for our partners through data-driven content and targeted reach especially for brands looking to penetrate the southern Nigerian market.”
Equipped with modern broadcast studios, digital-first production capabilities, and a highly experienced team, Afia TV & Radio is poised to make a bold impression on the Lagos media landscape.
The media brand delivers high-quality programming ranging from news and documentaries to lifestyle, business, culture, and entertainment only in south-east but in Lagos, African and beyond, we want to be chief marketing platform of the eastern region, we are the only 24/7 radio station now in Enugu.
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