The Nigerian Communications Fee has commenced a evaluate of the Nationwide Telecommunications Coverage 2000 (NTP), almost three a long time after its approval, citing speedy technological modifications and evolving market realities which have outpaced the present framework.
The Fee introduced the graduation of the evaluate course of on Monday because it launched a session paper looking for stakeholders’ inputs into the proposed modifications to the coverage.
The NCC mentioned the evaluate is aimed toward repositioning Nigeria’s telecommunications coverage to replicate present dynamics in digital providers, web governance, satellite tv for pc communications, broadband growth and common entry, whereas sustaining the sector’s function as a key driver of financial progress.
Why the NCC is saying
In accordance with the Fee, the Nationwide Telecommunications Coverage 2000 was itself a response to an earlier framework that had change into out of date.
It added that the NTP changed the 1998 coverage and launched full market liberalisation, stakeholder session and a unified regulatory framework beneath the NCC.
Authorized beneath a nascent democratic authorities, the coverage marked a decisive shift from state management to liberalisation, competitors and market-driven progress.
- “Previous to the liberalisation, midwifed by the NTP, Nigeria’s telecommunications sector was dominated by the Nigerian Telecommunications Restricted (NITEL), which was a government-owned monopoly.
- “NITEL was reputably characterised by out of date gear, poor high quality of service and low teledensity,” the Fee said.
Nonetheless, the Fee famous that simply because the 1998 coverage turned outdated by speedy international technological modifications, the 2000 coverage now requires a complete overhaul to handle right this moment’s realities, together with platform-driven digital providers, broadband-dependent functions and rising non terrestrial networks.
Backstory
The formulation of the Nationwide Telecommunications Coverage led to the licensing of GSM operators in 2001 and 2002, a transfer that reworked the market nearly in a single day.
- Cellular subscriptions rapidly surpassed fixed-line customers, revealing large pent-up demand and market potential.
- Extra considerably, the coverage paved the best way for the enactment of the Nigerian Communications Act 2003, which established a powerful statutory and regulatory basis for the sector.
- Since then, telecommunications has change into considered one of Nigeria’s most vibrant industries, attracting unprecedented overseas direct funding and contributing considerably to GDP.
The NCC acknowledged that the NTP performed a central function in enabling e-commerce, digital monetary providers and the broader digital financial system, marking Nigeria’s transition from a slow-moving, state-controlled telecom sector to a aggressive and innovation-driven market.
Proposed modifications
As a part of the evaluate, the Fee is proposing focused updates to a number of chapters of the coverage.
Chapter Seven on the Web is ready for revision to accommodate on-line security, deepen web change protocols and supply clearer coverage course on content material moderation, on-line platforms and digital providers working inside Nigeria.
Chapter Eight on Satellite tv for pc Communications can also be slated for a complete evaluate to ascertain a contemporary coverage framework for satellite tv for pc harmonisation, higher and decrease stream service provisioning and coexistence between terrestrial and non-terrestrial networks.
The NCC mentioned this would come with clearer spectrum mapping to enhance service high quality and price efficient common connectivity.
As well as, Chapter Ten on Financing and Funding will probably be reviewed to handle financial and monetary assist wanted to stimulate sector progress, particularly within the context of ongoing tax and monetary reforms.
The NCC can also be looking for stakeholder enter on coverage measures to deal with persistent challenges akin to a number of taxation and overlapping rules.
Past revisions to present chapters, the Fee is proposing a brand new chapter centered on broadband aims, safety of essential nationwide communications infrastructure, harmonisation of proper of approach expenses throughout all tiers of presidency and the introduction of a one cease allowing course of for telecom infrastructure deployment.
What it is best to know
Regardless of the expansion recorded within the sector through the years, the excessive price of right-of-way has remained a significant impediment to the growth of telecom infrastructure.
- Except for slowing the tempo of infrastructure deployment by telecom operators, this continues to push up the price of operations within the sector.
- In accordance with knowledge launched by the NCC, working prices of telecom operators within the nation jumped by 85% to N5.85 trillion in 2024, pushed largely by Proper of Means price.
The plan to incorporate a brand new chapter on Proper of Means expenses within the new coverage being proposed could assist the trade to handle this problem.
