The Nigerian Communications Commission (NCC) is being investigated by the House of Representatives for its incapacity to promote widespread access and use of mobile telecommunication network services throughout the country, particularly in underserved and unserved areas.
This was agreed during Thursday’s plenary when the House resolved to form an ad hoc committee to conduct the “probe” and report back within four weeks for further legislative action.
Sergius Ogun, a Reps member from Esan North East/South East Federal Constituency, sponsored the motion that resulted in the decision.
The motion was headed “Need to Examine the Nigerian Communications Commission’s Failure to Provide Mobile Telecommunication Network Services to Underserved and Unserved Regions of Nigeria Notwithstanding the Availability of Universal Service Provision Fund.”
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Investigating the NCC license renewal fee
By this motion which the lawmakers unanimously adopted, the Reps members seek to understand how the NCC has utilised the Universal Service Provision Fund, an allocation of 2.5 per cent of the annual turnover of the mobile telecommunication network operators as annual licence renewal fee.
The panel set up by the Speaker of the House, Femi Gbajabiamila, included: Messrs Bamidele Salam (Chairman), Jide Jimoh, Unyime Idem, Aisha Dukku, Sani Bala, Babajide Obanikoro, Abubakar Fulata and Chinedu Ogah, as well as sponsor of the motion, Sergius Ogun.
Reasons for the motion
The sponsor of the motion noted that the NCC has fall short of it’s responsibilities in certain key areas of Section 3 of the Nigerian Communications Act, Cap N97, Laws of the Federation of Nigeria, 2004.
According to him, the law birthed the establishment of a body known as the Nigerian Communications Commission with the responsibility of regulating the communications sector in Nigeria.
He also noted that in Section 4 of the Act, Cap N97, Laws of the Federation of Nigeria, 2004, the NCC is saddled with the responsibility of facilitating investments in and entry into the Nigerian market for the provision and supply of communication services, equipment and facilities.
The lawmaker added that Section 112(1) of the Act gives the NCC the power to consider, design and determine a system which shall promote the widespread availability and usage of network services throughout Nigeria by encouraging the installation of network facilities and the provision of network services to institutions in the unserved and underserved areas of the country, known as the Universal Service Provision.
He stressed that a community reading of the provisions of Sections 114 and 118 of the Act showed that the structure, governance, administration and control of the Universal Service Provision Fund should be as determined or domiciled in the NCC.
Ogun noted that the House is aware that in the wake of the rapid expansions of the Global System of Mobile Communication in Nigeria, most of the mobile telecommunication network operators were reluctant to move to the rural areas owing to business considerations.
“The House is also aware that the Act empowers the NCC to receive 2.5 per cent of the annual turnover of the mobile telecommunication network operators as annual license renewal fee.
“The NCC is expected to utilise the funds generated from the contributions of mobile telecommunication network operators, for implementing Universal Access Strategy and Programme in accordance with Federal Government’s policy thereon (as enshrined in Section 4 of the Act).” He said.
The lawmaker further noted that the NCC, on its own, decided to contribute 40 per cent of the fund generated from the 2.5 per cent annual turnover from mobile telecommunication network operators, translating to 1 per cent of the annual turnover of the operators to the USPF, a practice he said was common throughout Africa.
He stressed that the USPF was to be used to build infrastructure in the underserved and un-served areas of Nigeria, “which can subsequently be made available to the mobile telecommunication network operators, who will in turn utilise such infrastructure in serving the areas that are hitherto underserved and un-served.”
Ogun added, “The first major infrastructure project attempted by the NCC in this regard was the Emergency Response System, which led to the construction of emergency communications centres all over the country, with little or no results, despite the fact that the contract was awarded in millions of dollars with annual fiscal appropriations for the said project.
“The House is disturbed that the inability of the NCC to utilize the USPF to promote the widespread availability and usage of network services and applications throughout Nigeria, as enshrined in Section 112 of the Nigerian Communications Act, Cap N97, Laws of the Federation of Nigeria, 2004, is a great disservice to the nation.”