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Licensing of 700MHz will bring dividends to Nigerians – NBC insists

By on September 16, 2015

Contrary to allegations that the licensing of the country’s 700MHz spectrum to MTN by the National Broadcasting Commission (NBC) was illegal and that the deal must have denied other telecoms operators the legitimate right to bid for the spectrum, the commission has said the licensing will afford Nigerians the best option for the  provision  of  high  quality converged  broadcasting  and  telecommunications  services,  while enabling  the  funding  for  a  successful  Digital Switch Over (DSO),  which  would  free  up  more  spectrum  for sale.

The Director General of NBC, Mr. Emeka Mba, who gave the clarification, said without  the licensing if the spectrum to MTN, there would have been no  other option.

Reacting to the allegation that NBC sold  the spectrum  to  MTN  for  N34  billion  without  the  knowledge  of  the Nigerian Communications Commission (NCC), Mba said: “The  NBC  and  the  NCC  regulate  separate  and  clearly  demarcated  sections  of  the  spectrum.  Each administers  its own  bundle  without  interference  from  the  other.  The  basis  for  prior  notification  of  NCC  ahead  of  the  licensing  of  MTN  does  not  arise  at  all,  constitutionally,  legally  and  by  regulatory  practice. The  licence  issued  was  for  a  converged  digital  broadcasting  licence  based  on  the  existing  National Frequency Management Commission (NFMC)  protocol  for  broadcast.”

He insisted that the 700MHz  was  still  a  broadcast  spectrum and does  not  belong  to  the  NCC, since  it  remains  within  the  broadcasting  frequency  spectrum.

“Several  stations  are  currently  broadcasting  on  that  spectrum  in  several  cities  across  Nigeria. Cable  and  UHF  stations  are  on  this  frequency.  The  NCC  is  fully  aware  of  this  incontrovertible  fact.  The  NBC  enjoys  a  good  working  relationship  with  the  NCC  and  each  of  us  respects  each  other’s  boundaries,” Mba said, adding that it is  only  after  the  successful  DSO  that  the  700MHz and  portions  of  the  800MHz  will  be  transferred  to  NFMC.

Mba said: “It  is  important  to  state  that  the  NBC  does  not  sell  spectrum  but  licensces  organisations  based on  their  applications  to  broadcast  using  available  broadcast  spectrum,  and  other  forms,  such  as  IPTV. “ He therefore said the  allegation  that  NBC  sold  spectrum  is  misleading, and that NBC’s approvals  were based  on  applications  after assessment  of  the  need  and  impact  on  the  audiences  and  the  market.

Although it was alleged that NBC had no  right  to  sell  telecoms  spectrum  that  exclusively  belongs  to  NCC, Mba clarified that NBC  would  do  no  such  thing, since it does  not  possess  any  spectrum  that  belongs  to  NCC.  “So  if  you  don’t  even  have  something,  how  do  you  sale  it?  We  are  law  abiding  and  act professionally.

The allegation question  got  it  all  wrong. It is  within  the  sole  authority  of broadcasting  sector  and  therefore  under  NB,” Mba said.
On the allegation that NBC  did  not  seek  the  permission  of  the  National  Frequency  Management  Council,  and  that  the  sale  did  not  follow  due  process, Mba said: “First  of  all,  the  NBC  is  not  required  by  law  or  practice  to  refer  back  to  the NFMC  each  time  we  issue  a  broadcast licence.  These  frequencies  have  since  been  allocated.  The  segment  for broadcasting  had  been  ceded  to  the  NBC  by  the  NFMC  since,  as  has  been  with  the  Telecom  frequencies  with  the  NCC.  The  NBC  does  not  require  approval  or  permission  from  NFMC  for  the  licensing  of  the  spectrum.”

The NBC boss further explained that the  issue  of  paucity  of  funds  for  DSO, which  caused  the  country  to  miss  the  switch  over  deadline,  became  a  major  issue  at  the  NFMC  as  well,; the  matter  was  tabled  and  efforts  were  being  made  at  the  NFMC  level  to  find  funding  for  DSO.

Mba further explained that the former Minister  of  Communications Technology, Dr. Omobola Johnson, who  serves  as  the  Chairman  of  NFMC, did  not  only  raised  this  issue  for  deliberation,  but  also  approved  that  NBC  should  find  ways  of  generating  funding  for  DSO  on  its  own.

“It  is  very  important  to  emphasis  that  this  was  not  a  “sale”  as  alleged  but  the  licensing  of  an  operator  to  utilise  the  frequency  to  offer  converged  DTT  services  in  the  broadcasting  industry.  As  to whether  or  not  we  followed  due process,  again  the  allegation  is  untrue.  The  Commission’s  licensing  process  is  remarkably  different  from  the  NCC  since  our  approvals  are  based  on  applications  and  the  easement  of  the  submitted  application  proposals,” Mba said. He adding that in this  case,  the  NBC  followed  its  own  laid  down  process  and  international  best  practice  of  broadcast  licensing  procedures  proper  and  for  that  purpose,  the  NBC  sought  and  received  all  necessary  approvals  from  all  relevant  authorities  to undertake this important  assignment  necessary  to  raise  fund  for  the  successful DSO of  Nigeria  which  would  free  more  frequency  spectrum.

The NBC DG insisted that without  the  successful  transition  of  analogue  to  digital  terrestrial  television  broadcasting,  there  cannot  even  talk  of  digital  dividend  spectrum,  which  was  already  being  cannibalised  by  the  NCC in several  piecemeal allocations  without  raising  the  necessary  funds  for  the  DSO.

Mba made it clear that NBC did  not  ‘sell’  the  700MHz  belt, but merely  being  put  to  use  through  a  proper  process  in  which  all  concerned  were  involved.

Senior Partner, Integrated Network Management Consultants, Mr. Ojie Panama, had raised the concern that NBC secretly sold the country’s 700MHz spectrum, which is a national frequency that is meant for telecommunications service offering, to MTN without the knowledge of the NCC), the telecommunications industry regulator that is empowered to sell such spectrum through a transparent auction process.
Panama insisted that the spectrum in question should be returned to the rightful custodian, the NCC, and called on government to carry out thorough investigation on the matter and punish any culprit or any person found to have aided this infraction.

 

[ThisDay]