The National Telecommunications Policy instituted in September 2000, indicated that the number of telephone lines as at Independence in 1960 was only 18,724. This figure was for a population of about 40 million people and translated to a teledensity of about 0.5 telephone lines per 1,000 people. The telephone network consisted of 121 exchanges of which 116 were of the manual (magneto) type and only 5 were automatic.
The installed switching capacity at the end of 1985 was 200,000 lines as against the planned target of about 460,000. Meanwhile, that has been modest development in the telecommunications industry since the inception of Nigerian Telecommunications Limited (NITEL). As at the year 2000, Nigeria had a public network of about 700,000 lines capacity but only 400,000 lines were connected. Nigeria, therefore, lagged comparable even with less endowed African countries, not to mention the advanced economies.
Following the commencement of deregulation of the industry initiated to tackle these observed shortcomings, the country began with the establishment of the Nigerian Communications Commission (NCC) by Decree 75 of 1992, whose main objectives include: Creating a regulatory environment to facilitate the support of telecommunications services and facilities; facilitating the entry of private entrepreneurs into the telecommunications market; and promoting fair competition and efficient market conduct among all players in the industry.
In July 1993, the NCC was inaugurated, leading to the setting up of guidelines for private sectors participation and issuance of licensees to several companies to operate in different segments of the emergent Nigerian telecom market. The Commission embarked on full deregulation of the market in 2001 with the issuance of the Digital Mobile Licence (DML) operators which finally broke the perennial monopoly of NTEL, as a historical and major operator.
Today, the telecom industry has recorded tremendous growth in all the segments of the market and the industry has witnessed quite impressive statistics, pointing to how telecommunications industry has continued to impact positively on Nigeria’s developmental vision, and with positive multiplier effects on other sectors of the economy.
By July 2022, active telecoms subscribers have grown significantly hitting 209 million from about 400,000 aggregate telephone lines in the country on the eve of concrete deregulation in the year 2000. This represents a teledenisty of 109.47%. Besides, basic Internet subscriptions have also grown from zero in the pre-liberalisation era to over 152 million as I speak. It is also gratifying that the broadband subscriptions now stands at 85 million, representing a 44.49% penetration.
The industry has also become a major contributor to our national economy. Data released by the National Bureau of Statistics (NBS) revealed that the Information and Communication Technology (ICT) sector contributed 18.44% to the nation’s Gross Domestic Product (GDP) as at the second quarter of 2022. From this figure, telecommunications sector alone contributed 15%.
The ICT contribution to GDP is, by far, the second largest contributor to the national economy coming after the agriculture sector. From less than $500 million investment in 2001, the investment profile in the nation’s telecommunications sector has surpassed $70 billion.
But what does all these statistics mean? They speak to increasing centrality of telecom to our social, economic, and political life, at work, at home and in other spheres. It has continued to redefine the way we carry out our personal, social, and professional activities with greater efficiency and effectiveness.
Across sectors, including education, finance, healthcare, agriculture, transportation, governance, and even in media systems where emergent technologies have revolutionise the pattern, tempo and sophistication of content generation, production and consumption, access to broadband has become a necessity for optimisation, effectiveness, and success.
Having laid the historical foundation, permit me distinguished ladies and gentlemen, to migrate to the other significant area of my address, which focuses on NCC’s new Strategic Vision (Implementation) Plan (SVP) 2021-2025. This initiative of the Commission is a transformation agenda, which succeeds the Eight Point Agenda I instituted in 2015 upon assumption as the CEO of NCC.
It is our management attempt to streamline for effective implementation, Commission’s responsibilities within the framework of the National Digital Economy Policy and Strategy (NDEPS) 2020-2030, the Nigerian National Broadband Plan (NNBP) 2020-2025, and the Commission’s Strategic Management Plan (SMP) 2020-2024.
Management was convinced that the SVP would accelerate the consolidation of all the lofty gains of telecom liberalisation and subsequently advancing the actualisation of digital economy policies, programmes and targets of the government as stipulated in a marching order given to me by Mr. President in 2015, which also aligns with Federal Government’s vision in the Economic Recovery and Growth Plan.
As earlier indicated, the Strategic Vision Plan (SVP) 2015 – 2020, a forerunner of the SVP 2021-2025, was premised on 8 pillars, which we refer to as the 8-Point Agenda. In that blueprint, each plan or pillar had its focus and targets that have been satisfactorily achieved over the period.
The Eight Point Agenda (SVP 2015-2020), focused on: Facilitating Broadband Penetration, Improving Quality of Service, Optimizing Usage and Benefit of Spectrum, Promotion of ICT Innovation and Investment Opportunities, Protection and Empower of Consumers, Promotion of Fair Competition and Inclusive Growth, and Regulatory Excellence and Operational Efficiency.
The need to take the Commission’s vision to greater heights facilitated the development of a new Strategic Vision Plan which was unveiled on September 7, 2021. In developing the new SVP (2021 – 2025), we have taken cognizance of the several notable advancements in the Nigerian telecommunications industry within the last five (5) years, as well as the current global realities.
These realities, all of which have been incorporated into the SVP 2021-2025, include the International Telecommunication Union (ITU) Strategic Plan (2020 – 2023), the NCC’s Strategic Management Plan (SMP) 2020-2024, the National Digital Economy Policy and Strategy (NDEPS) 2020-2030, the National Broadband Plan (NBP) 2020-2025 and the Economic Recovery and Growth Plan (ERGP) of the Federal Government.
The new SVP 2021-2025 has five focal points as follows:
- Organizational Renewal for Operational Efficiency and Regulatory Excellence.
- Facilitate the Provision of Infrastructure for a Digital Economy which fosters National Development.
- Promote Fair Competition, Inclusive Growth, Increased investment and Innovative Services.
- Improve Quality of Service (QoS) for Enhanced Consumer Quality of Experience (QoE).
- Facilitate Strategic Collaboration and Partnership.
One important aspect of the SVP 2 is the implementation metrics put in the place which provide for tasks to be done and the timelines within which they should be carried out. That is one main departure from the SVP 2015-2020. In the SVP, there is an implementation matrix that assigns responsibilities to various departments of the Commission and more importantly, there is provision for monitoring and evaluation.
So, at any given point in time, in the process of implementation of the plan, we can be able to tell Nigerians who our critical stakeholders are, about exactly where we are, how far we have gone, and what more we need to do to attain the desired objectives specified in the plan for the development of our economy.
Let me emphasize at this juncture that, the Commission seeks increased partnership of the Nigerian media professionals gathered here today to help in tracking progress being recorded and identifying challenges to achieving each of the 5 visions in the SVP 2021-2025. Indeed, Management of the Commission will be delighted to receive recommendation of practical solutions for addressing the challenges within the context of the targets and expectations in the new SVP.
I would like to emphasise that the Board, Management and staff of NCC will continue to do their best in the discharge of the Commission’s mandate, especially in facilitating broadband deployment, which is central to diversifying the Nigerian economy and bolstering national development in line with the National Digital Economy agenda.
It is our belief that the communications industry, under the leadership of the Ministry of Communications and Digital Economy, will experience more quantum leap and retain its current leadership role in the telecommunications space to lead Nigeria into the next level of development after 60 years of Independence.
Also, the NCC will continue to strengthen collaboration with the media in many ways as may become necessary towards creating an environment where businesses and people can seamlessly leverage digital infrastructure and technology such as the 5G network which will make it possible tasks to be accomplished faster because of its speed.
For the media, it means the process of news gathering, processing and dissemination will be accomplished faster, thus enabling the media to inform and educate the citizens on happenings around them more timeously, accurately, and adequately towards achieving greater socio-economic development in our country.