‘FCCPC’s Enforcement Could Disrupt Airtime Lending Service for Subscribers’

With more than 40 million low-income Nigerians who rely on airtime borrowing services may again face disruption as the Wireless Application Service Providers Association of Nigeria (WASPAN) has asked the court to stop the Federal Competition and Consumer Protection Commission (FCCPC) from enforcing its Digital, Electronic, Online or Non-Traditional Consumer Lending (DEON) Regulations 2025 pending the determination of an appeal.

The association warned that renewed implementation of the regulations could create regulatory uncertainty for operators and interrupt airtime lending services widely used by millions of subscribers across the country.

WASPAN’s position is contained in an affidavit deposed to by its chairman, Ayo Stuffman, in support of an application seeking an injunction pending appeal against the July 20 judgment of the Federal High Court in Lagos, which upheld the FCCPC’s authority to issue and enforce the DEON Regulations.

The suit, marked FHC/L/CS/760/2026 seeks to determine whether the FCCPC has the legal authority to regulate telecommunications-based airtime lending services or whether such powers lie exclusively with the Nigerian Communications Commission (NCC) under the Nigerian Communications Act, 2003.

Following the judgment, WASPAN filed a notice of appeal on July 21 and urged the court to restrain the FCCPC from implementing the regulations until the appellate court determines the matter.

According to the affidavit, the association became concerned after the FCCPC announced the immediate resumption of the regulations’ enforcement.

The commission had stated:,”The Federal Competition and Consumer Protection Commission (FCCPC) has resumed implementation of the Digital, Electronic, Online or Non-Traditional Consumer Lending Regulations, 2025 (DEON Regulations).

“Accordingly, the legal impediment that had necessitated the Commission’s temporary suspension of implementation and enforcement of the DEON Regulations has been removed, and the Regulations are once again fully operational and enforceable.”

Reacting, Stuffman argued that enforcing the regulations before the appeal is determined could expose operators to sanctions and disrupt services relied upon by millions of Nigerians.

He said, “I know for a fact that unless restrained by the orders of this Honourable Court, the Defendant will proceed to enforce the said regulations against members of the Plaintiff.”

He further stated, “Unless restrained by this Honourable Court, the Plaintiff’s members will continue to suffer regulatory uncertainty, exposure to sanctions, and disruption of their lawful business activities if the Defendant proceeds to commence the full implementation and enforcement of the regulation as stated in its press release of 20th July, 2026.”

Stuffman maintained that immediate enforcement would undermine the association’s right to challenge the judgment on appeal.

He argued that members of the association were already being constrained and overridden with respect to their operational freedom under their primary regulator, the Nigerian Communications Commission, with the imposition of Defendant’s additional control, partnership approval, service agreement regulations.”**

According to him, any enforcement action by the FCCPC would “render the substantive reliefs sought in the Plaintiff’s appeal nugatory and defeat the entire purpose of the appeal.”

The affidavit also disclosed that Senior Advocate of Nigeria, Chukwudi Enebeli, who represents WASPAN, advised that the appeal raises substantial, weighty, arguable and recondite issues of law regarding the extent of the FCCPC’s regulatory powers over telecommunications services.

The legal advice reproduced in the affidavit further stated that there is a real likelihood of disruption to the Plaintiff’s members’ business by the Defendant under the guise of resuming the implementation of the Deon Consumer Lending Regulations.

WASPAN argued that refusing the injunction would create a fait accompli before the Court of Appeal has the opportunity to determine the substantive legal questions surrounding the dispute.

However, the case has drawn significant attention across Nigeria’s telecommunications industry because of its implications for the airtime lending ecosystem, which industry stakeholders estimate is worth between ₦ 300 billion and ₦400 billion annually and serves about 40 million Nigerians, particularly low-income earners, traders, artisans and other participants in the informal sector.

Earlier in the proceedings, the Association of Licensed Telecommunications Operators of Nigeria (ALTON) had argued that airtime credit should not be treated as a conventional financial product, describing it instead as critical communications infrastructure that enables millions of Nigerians to remain connected, particularly during emergencies.

The regulatory dispute had previously led to the temporary suspension of airtime borrowing services by major mobile network operators before the court granted interim relief that allowed the services to resume pending the determination of the substantive suit.

WASPAN is now seeking a similar order pending the outcome of its appeal, arguing that preserving the status quo is necessary to prevent another disruption to airtime lending services.

Responding, the FCCPC maintained that it would continue to implement the regulations in line with the court’s judgment.

The Commission’s Director of Corporate Affairs, Ondaje Ijagwu, said,”The Commission has always maintained that the rule of law is fundamental to effective regulation and good governance.”

He added, “Now that the Court has affirmed the validity of the DEON Regulations, the Commission will continue to discharge its statutory responsibilities faithfully, professionally and in accordance with the law.”