NCC commences review of telecoms license structure

The Nigerian Communications Commission, (NCC) has initiated the process for the review of the existing licensing structure in the country’s telecommunications industry.

This is in demonstration of its responsiveness to global trends and the dynamics in the Information and Communications Technology ecosystem.

The process of achieving this began when the Executive Vice Chairman, NCC, Professor Umar Danbatta inaugurated an in-house Standing Committee to carry out the task, in Abuja, Nigeria.

Professor Danbatta, while inaugurating the Committee, said the need for the review of the existing license structure was informed by the wide range of technological advancement, the convergence of technologies and other services.

He said the developments have characterised the global telecoms space over the years, and which impact is increasingly being experienced in Nigeria.

According to a statement by the Director, Public Affairs, NCC, Dr Ikechukwu Adinde, the NCC Boss noted that the current license structure is almost 20 years old, hence the need for an urgent review of the existing license pattern.

He said this will reflect new licensing trends in line with international standards while providing opportunities for improved revenue for the government.

“Therefore, it is evidently clear that this Standing Committee, drawn up from competent hands in various departments of the Commission, is perfectly suited and capable of addressing the enormous task of reviewing the existing license structure of telecom licensees in Nigeria,” Danbatta explained

While noting that the work of the Standing Committee will be carried out in phases, he stated that effective delivery of the Committee’s task will help the Commission to institute a process, which will culminate in the review of the terms and conditions of the various license categories.

He said these would include licensing fee, identification of the limitations of the various license categories, to clearly determine licenses that should be phased out or amended.

New license undertakings

Danbatta outlined Management’s seven-point deliverables from the Committee to include a comprehensive review/report on existing licenses; a report and recommendations on the consultative forum and a report on recommended new license undertakings.

Others include a report on recommended amendment to license fees and durations, present a report on benchmarking of license with similar jurisdictions, a report on the impact of certain licenses on other license holders.

The Committee is also expected to recommend solutions, develop an updated regulatory framework for new and amended licenses and produce a final report on the project with all recommendations.

Also speaking during the inauguration of the Committee, the Director, Licensing and Authorisation, NCC and Chairman of the Committee, Mohammad Babajika, assured the Commission’s Management of the Committee’s resolve to deliver on the terms of their assignment.

It is expected that at the end of the Committee’s assignment, and following due consultations with industry stakeholders, the Commission envisages a new draft framework for new and amended licenses.