Technology
Senate Confirms Danbatta’s Reappointment as NCC Boss
The reappointment of Prof Umar Danbatta as the Executive Vice Chairman and CEO of the Nigerian Communications Commission (NCC) has been confirmed by the Senate.
The upper legislative chamber of the National Assembly confirmed his reappointment for the position at the plenary on Tuesday.
The name of Mr Danbatta was no sent to the red chamber by President Muhammadu Buhari for confirmation for the position he has held since 2015.
Business Post reports that Mr Danbatta was appointed, in the first instance, for a five-year term in office as the NCC’s boss on August 4, 2015 and was subsequently confirmed by the Senate on November 25, 2015.
At the plenary on Tuesday, July 21, 2020, in Abuja, the Senate confirmed his nomination after the adoption of a report submitted by the leader of the Senate Committee on Communications, Mrs Oluremi Tinubu.
Mr Danbatta had, on Wednesday, July 15, 2020, appeared before the senate screening committee and gave impressive accounts of his stewardship as the country’s chief telecoms regulator in the last five years.
With the senate confirmation, Mr Danbatta has received a vote confidence to continue to steer the regulatory activities of the countries over $70 billion telecommunications industry for another five years towards fast-tracking Federal Government agenda on digital economy development.
His visionary leadership has been hinged on NCC’ Strategic Vision Plan (SVP) for the fiscal years 2015-2020, focused on the 8-point agenda, the effective implementation of which has led to impressive broadband penetration which rose from a mere 6.0 per cent in 2015 to 40.14 per cent in May, 2020.
Active Internet subscriptions also increased from 93 million to over 141 million currently during the period.
The number of active telephone subscribers also rose from 150 million in 2015 to 192.32 million in May 2020 with teledensity currently standing at 100.72 per cent, following the rebasing the teledensity to 91 per cent in March, 2019.
The increase in broadband penetration, Internet usage, number of access to telephone and several other initiatives by the commission, especially in the areas of driving tech innovations, creating employment, promoting digital inclusiveness, have helped improve the sector’s Gross Domestic Product (GDP) contribution from 8.50 per cent in 2015 to over 11 per cent currently, with a lot of digital activities taking place in all the sectors of the economy.
Mr Danbatta is set to consolidate the modest achievements of the past five years by focusing on broadband penetration, consumer protection and empowerment, efficient resource utilisation, and facilitation of fibre infrastructure deployment.
Technology
Telco Subscribers Threaten to Sue Over 50% Tariff Hike
By Adedapo Adesanya
An association representing the interest of telecommunication subscribers in Nigeria has rejected the 50 per cent tariff increase announced by the Nigerian Communications Commission (NCC) and has threatened legal action.
On Monday, the NCC approved a 50 per cent tariff increase for telecom operators in the country, the first since 2013.
The 50 per cent call was lower than the 100 per cent recommended by the other stakeholders, including the Association of Licensed Telecommunications Operators of Nigeria (ALTON) and the Association of Telecommunications Companies of Nigeria (ATCON), which has members like MTN and Airtel.
Now in response, the National Association of Telecoms Subscribers (NATCOMS) has faulted the move, saying the 50 per cent was too high and called for another review.
The association’s president, Mr Deolu Ogunbanjo, said on Channels Television’s Lunchtime Politics, monitored by Business Post on Tuesday, that the body would approach the courts if there’s no reversal.
He noted that Nigerians are already bearing the brunt of a cost of living crisis, adding that the 50 per cent hike which was supposed to reprieve from the initial 100 per cent recommendation, was still not acceptable.
“It is not it at all. It is so much for subscribers to bear. Already, we are grappling with a lot of things that are surrounding the business climate here… fuel cost, electricity cost, and all that… you are now looking at telcos asking for 100 per cent and NCC now is granting them 50 per cent It is a no-no,” he said.
“We are definitely not going to accept this,” he declared.
The NCC, announcing the hike on Monday, said the increase was pursuant to its power under Section 108 of the Nigerian Communications Act, 2003 (NCA) to regulate and approve tariff rates and charges by telecommunications operators.
“…Over 100 per cent requested by some network operators was arrived at taking into account ongoing industry reforms that will positively influence sustainability.
“These adjustments will remain within the tariff bands stipulated in the 2013 NCC Cost Study, and requests will be reviewed on a case-by-case basis as is the Commission’s standard practice for tariff reviews. It will be implemented in strict adherence to the recently issued NCC Guidance on Tariff Simplification, 2024,” the announcement statement noted.
Technology
NCC Approves 50% Hike in Call, SMS, Data Tariffs
By Adedapo Adesanya
The Nigerian Communications Commission (NCC) on Monday approved a 50 per cent tariff increase on calls, SMS, and internet data for telecoms companies in the company.
This comes after telcos suggested a 100 per cent hike in the tariffs, the first of such changes in over 10 years.
Despite the recommendation, the NCC was concerned about the impact this would have on Nigerians, who are battling a cost of living crisis.
The NCC rationalised the 50 per cent hike, saying it wanted to strike a balance between protecting consumers and ensuring the industry’s sustainability.
“The adjustment, capped at a maximum of 50 per cent of current tariffs, though lower than the over 100 per cent requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability,” a statement from the NCC read on Monday night.
Recall that the Minister of Communications, Innovation and Digital Economy, Mr Bosun Tijani, has said the federal government may consider between 30 and 60 per cent hike in tariffs.
“I think it should not be more than anywhere between 30 and 60 per cent,” he said during an interview recently.
On his part, the Chief Executive Officer of MTN Nigeria, Mr Karl Toriola, said telcos are proposing a 100 per cent increase in tariffs to the Nigerian government.
He, however, pointed out that it won’t get such approval but said a substantial change, beneficial to all stakeholders, could be agreed upon.
It is not certain what the reaction of the telcos may be concerning this new development. If they disagree with the approval, it may lead to another round or dialogue or limitation of service offerings.
Technology
Nigerians Hail Acceptance of Naira for AWS Cloud Subscription
By Modupe Gbadeyanka
The acceptance of the Naira for payments for cloud services in Nigeria by global cloud leader, Amazon Web Services (AWS) has continued to excite its customers in the country.
Before now, Nigerians subscribing to the company’s cloud services were forced to purchase foreign currencies, particularly the United States Dollar (USD).
But to make transactions easier for its teeming clients in the country, AWS announced it was now accepting payments in local currency.
“With payments in their local currencies, customers can avoid foreign exchange costs associated with making foreign currency payments.
“This also removes payment friction for customers in countries where local regulations put limits on the foreign currency amount a customer can access,” the American firm said in a statement.
By lowering the barrier for Nigerian companies to pay for cloud services in their local currency, AWS has given itself an edge, but the growing local alternatives may still present a challenge.
The organisation said it is not just about price anymore—it’s about local relevance and helping businesses navigate the complexities of Nigeria’s economic environment.
The decision of AWS to accept naira payments comes in response to the growing appeal of local cloud providers in Nigeria.
Recall that in January 2023, the firm launched its AWS Local Zones facility in Lagos to reduce latency and improve performance for Nigerian businesses—often an important factor since many Nigerian companies host their services in AWS’s European region due to geographical proximity.
By offering a new payment option alongside this infrastructure, AWS can solidify its foothold in the Nigerian market, especially as local providers continue to present an attractive, economically aligned alternative.
“This is a welcomed development. We have been waiting for this to happen for a long time. I am glad it has finally become a reality. I don’t need to buy forex (foreign exchange) to pay for Amazon cloud services,” a tech enthusiast based in Lagos, Mr Kolade Adewale, told Business Post.
“I want to believe that the competition from Microsoft’s Azure may have forced AWS to include the Naira as a payment option. This is what competition does to the market. You can see such in the telecommunications and petroleum sectors with Dangote Refinery,” another tech enthusiast, Mr Goke Fashina, said.
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