Court Rules FCCPC Can Sanction MTN, Airtel, Other Telcos

By Adedapo Adesanya

A Federal High Court in Lagos has ruled that the Federal Competition and Consumer Protection Commission (FCCPC) has the legal authority to regulate competition and consumer protection in all sectors, including telecommunications.

The ruling of the court on Friday, February 7, 2025, affirmed the agency’s statutory authority to regulate competition and consumer protection across all sectors, including telecommunications despite the Nigerian Communications Commission’s (NCC) role in the industry as contained in the FCCP Act of 2018.

The protection body in December threatened to sanction the telcos amid an investigation due to the poor service offerings to customers.

The court dismissed a lawsuit by an MTN shareholder, Mr Emeka Nnubia, who sought to block the FCCPC’s investigation, ruling that the agency acted within its powers in summoning MTN and requesting information, which did not violate data protection laws.

Mr Nnubia argued that the FCCPC’s inquiry could violate data protection laws and that regulatory authority over MTN resided with the NCC rather than the FCCPC.

The ruling clarifies that while the NCC regulates telecom operations, it does not have exclusive authority over competition issues, reinforcing the need for cooperation between regulators while affirming FCCPC’s primary role in competition and consumer protection enforcement.

The ruling also confirms that FCCPC acted within its statutory powers in issuing a summons to MTN Nigeria as part of its ongoing inquiry into potential anti-competitive practices.

On the issue of cost, the court acknowledged that the case raised important questions regarding the evolving landscape of competition and consumer protection law in Nigeria.

While the court recognised that costs ordinarily follow events, it declined to award costs due to the public interest significance of the case.

The court also held that entering into a Memorandum of Understanding (MoU) with sector regulators is not a condition precedent for FCCPC’s enforcement of its statutory functions. Instead, it is the obligation of sector regulators to engage with organisation to define working arrangements, not the other way round.

The development was welcomed by the FCCPC in a statement on Sunday, noting that it floored MTN at the court.

“The ruling reaffirms that FCCPC’s jurisdiction remains paramount in competition and consumer protection matters, while also recognising the role of the NCC in regulating telecommunications operations,” the statement said.