ITU calls for streamlined regulations to boost Nigeria’s digital transformation

Joy Agwunobi

The  International Telecommunications Union (ITU) has issued a pressing recommendation for the Nigerian government to  streamline the regulatory functions of the Nigerian Communications Commission (NCC) and the National Information Technology Development Agency (NITDA). This move aims to resolve the regulatory overlap that currently hampers the country’s  digital sector.

The ITU’s report, titled “Collaborative Regulation: Accelerating Nigeria’s Digital Transformation,” highlighted  the critical need for clear delineation of responsibilities between NCC and NITDA. As Nigeria’s digital landscape continues to evolve, the report underscores that overlapping roles in areas such as ICT policy development, data protection, and content regulation could lead to inefficiencies and regulatory confusion.

Central to the report is the concern that both agencies currently share responsibilities in developing sector-specific ICT policies and overseeing data protection and content regulation. This convergence in their mandates could lead to conflicts and inefficiencies, particularly as the boundaries between telecommunications, IT, and ICT sectors become increasingly blurred.

The ITU emphasised  that a well-defined separation of duties between NITDA and NCC is crucial. With technological advancements driving greater convergence across these sectors, having clear-cut roles is essential for effective regulation and to prevent potential conflicts that could arise from overlapping jurisdictions.

Adding to the complexity, the ITU pointed  out that the ongoing NITDA Amendment Bill, currently before the National Assembly, is expected to address these ambiguities. However, there are concerns that the bill might inadvertently worsen  the situation.

There have also been concerns that  the bill’s broad mandate could place NITDA in a position that overlaps with other regulatory bodies, including the NCC, the National Office for Technology Acquisition and Promotion (NOTAP), and possibly other entities.

“The NITDA mandate, in terms of policy-making and regulation, is currently unclear,” the ITU report notes. “There is significant debate among stakeholders about whether NITDA should act as a standards body, a regulatory authority, or a policy-making institution.” According to the ITU, this lack of clarity could lead to regulatory overlap, resulting in duplicate roles, licences, and fees.

The ITU warns that unless the roles of NCC and NITDA are streamlined or clarified, there is a risk of forum shopping and regulatory redundancy as this  could increase operational costs for ICT sector companies due to overlapping licences and fees, thereby impeding the sector’s growth and innovation.

Stakeholders in Nigeria’s ICT industry have voiced their concerns  about the proposed NITDA Amendment Bill. Prominent organisations, including the Computer Professionals Council of Nigeria (CPN), Nigeria Computer Society (NCS), Association of Licensed Telecommunications Operators of Nigeria (ALTON), and Association of Telecommunications Companies of Nigeria (ATCON), have expressed fears that the bill might endow NITDA with excessive regulatory power, effectively making it a ‘super regulator.’

Ayoola Oke, CEO of ICT Derivatives Ltd., reflects these concerns. He argued that the original NITDA Act of 2007 was designed to promote ICT adoption and infrastructure development, not to create a new regulatory authority.

Oke noted  that the new bill’s attempt to expand NITDA’s role could lead to regulatory overlaps with existing agencies, disrupting the current regulatory ecosystem.