Telecoms operators decry over-regulation from NITDA’s operations

Telecommunications operators have decried the increasing
over-regulation of the sector with particular emphasis on the
recent incursion of the National Information and Technology
Development Agency (NITDA).

The operators under the aegis of the Association of Licensed
Telecoms Operators of Nigeria (ALTON), claimed there have been
serious regulatory overlap on the part of NITDA on some areas,
which were core jurisdiction of the Nigerian Communications
Commission (NCC).

In a letter dated July 30, 2019, signed by ALTON’s Chairman,
Gbenga Adebayo, which was addressed to the Executive Vice-Chairman,
NCC, Prof. Umar Danbatta, and required the attention of the
Director, Legal and Regulatory Affairs, Yetunde Akinloye, and
Director, Compliance Monitoring and Enforcement, Efosa Idehen, the
operators pointed out that certain provisions in three subsidiary
legislations and frameworks issued by NITDA were currently under
the regulatory purview of the NCC.

The said framework sets out rules for the provision of Public
Internet Access (PIA) without regard to the powers of the
Commission and extant competition considerations.

“We note the framework empowers NITDA to license a Public
Internet Access Provider (PIAP) which technically is a provider of
data services and prescribes minimum quality of service for such
providers. The key concern is that NITDA appears to be assuming the
role of a parallel regulator for data services.”

On framework for Data Centre Facilities; ALTON in the letter
titled: ‘‘Introduction of Legal Instruments by the National by the
National Information Technology Development Agency with attendant
impact on the operations of entities regulated by the Nigerian
Communications Commission—Request for Guidance, “claimed NITDA
wrote to some of its members in July 2019 stating it has commenced
registration of Data Centre facilities in Nigeria and requested
that they initiate the registration of their Data Centre facilities
with NITDA”.

According to NITDA, the registration is in furtherance of
Presidential Executive Orders 003 and 005 on local content
development.
“However, a careful review of the Orders does not reveal anything
specific to the operation of data centres. Additionally, the
promotion of local content in the industry, which is the bedrock of
NITDA’s position is not the agency’s exclusive preserve, as the
commission is also well positioned to address same for the
communications industry,” ALTON stated.ALTON also identified
Nigeria Data Protection Regulation 2019 guideline issued by NITDA
as another infraction.

“The Nigeria Data Protection Regulation 2019 defines the rules
governing the processing of data. It contains far-reaching
provisions on personal data which includes communications
identifiers such as IP address, IMEI number, IMSI number, SIM and
Personal Identifiable Information, etc., as well as the procedure
for procuring consent from customers and the transfer of data
outside of Nigeria.

“By implication, it will appear that NITDA has assumed the role
of a Data Protection Agency in Nigeria and its Regulation overrides
the Commission’s existing provision on data processing in the
industry. In this regard, we note NITDA recently announced in the
print media that it has commenced investigation of alleged breach
of data security of customers by telecommunications companies and
Banks.

“The foregoing developments bring to light the dreaded multiple
regulation, which has been a reoccurring challenge for the
industry. We recall with delight that the Commission successfully
tackled the National Environmental Standards and Regulations
Enforcement Agency (NESREA) in the past, when the Agency attempted
to regulate the infrastructure deployment in the industry without
recourse to the Commission.

“It is our view that the current issue with NITDA requires
urgent intervention by the Commission to safeguard the interest of
market players and preserve the powers of the Commission.

“Accordingly, and in a bid to avoid a situation where members
are caught in the crossfire of multiple regulations, we
respectfully request the Commission’s guidance on how to proceed
with the NITDA on the aforementioned Frameworks and Regulation.
This guidance will provide the much-needed clarity for the industry
moving forward,” ALTON said.

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