*Head office of the NCC in the Federal Capital Territory (FCT), Maitama, Abuja
Nigerian Communications Commission (NCC), a Nigerian agency that regulates the communications industry in Africa’s most populous nation said midweek that it has suspended the 2018 guidelines on spectrum trading in line with efforts by the government to promote efficient use of all assigned radio frequencies in the country.
This development may not be unconnected with the trend in the industry where existing telecoms firm acquired idle spectrum from moribund companies or organisations underutilising their frequencies to boost their own operations and to grab more market shares. Insiders said many telecoms firms that have failed to utilise their spectrum either by way of in-activities or demise of the companies and are in the process of disposing of such may forfeit the right to the frequencies.
The regulator said the suspension remains in line with the NNBP 2020 – 2025, which stipulates that licensees have the obligation of ‘the Use-It-or-Lose-It’ policy in a bid to promote optimal use of spectrum. It said, “In accordance with the NNBP 2020 – 2025, for optimal use of spectrum, licensees have the obligation of the Use-It-or-Lose-It policy because idle high demand spectrum does a disservice to poorly served populations and should be released for effective use as may be required to promote efficient use of assigned spectrum.
“The ‘Use-It-or-Lose-It’ rule should, therefore, apply in all instances where assigned spectrum is found to be non-utilised or underutilised and ensures unutilised spectrum is fairly traded to facilitate rollout by other operators,” a statement signed by Henry Nkemadu, the Director, Public Affairs stated of NCC explained. According to him, the NCC is responding to the need to review the 2018 guidelines to reduce the incidence of idle spectrum in the system and promote the efficient use of any assigned spectrum. The NCC further stated that spectrum remains a scarce commodity, which when inefficiently utilised greatly limits broadband coverage and speeds.