NCC reveals why the commission generated low revenue in 2024

• Nigeria Communications Commission has blamed its inability to satisfy the 2024 earnings target on TelCos refusal to aquire 5G licenses
• The NCC CEO additionally gave insights into the plans to introduce a 6G spectrum license rapidly and noted that this can even merely enhance earnings
• Not just like the Federal Inland Earnings Carrier (FIRS), NCC fell 30% immediate of its 2024 target of N292.3 billion

Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of abilities in industry reporting across digital and mainstream media.

The Nigerian Communications Commission (NCC) has blamed its low earnings abilities and failure to satisfy targets in 2024 on the refusal of telecommunication companies to aquire the 5G spectrum license.

Aminu Maida, the NCC chief executive officer/executive vp, made this identified while talking on the 2025 budget defence earlier than the Nationwide Meeting Joint Committee on Dialog on Thursday, January 30, 2025.

Maida, alongside NCC Director of Financial Services Yakubu Gontor, highlighted that telecommunications companies aquire licenses for a ten-one year duration, with handiest the 2 greatest operators having made the aquire to this point.

No longer one in all the assorted operators sold the 5G spectrum license in 2024 due to the dreadful market circumstances, and the operators pursuing varied growth plans.

Gontor explained;

“Two successfully-organized operators like already got 5G spectrum and so they’re essentially underutilizing it. Now the third greatest operator who we like been banking on to aquire this spectrum unfortunately indicated to us that per chance here isn’t the right kind time to fabricate it and so they made it certain that their strategy became once to magnify their fortune.”

NCC misses 2024 earnings target

Even supposing the commission fell immediate of its 2024 target earnings of N292.3 billion, the NCC boss explained that N137.6 billion became once generated from working bills, while N26.4 billion got here from Spectrum bills.

The commission generated N195.8 billion including earnings from varied sources, and remitted N111 billion of the sum into the Consolidated Earnings Fund (CRF).

To boot to not promoting any 5G spectrum license, the commission failed to accurate the 12.5% sequence costs from the Federal Authorities, as earlier projected, LEADERSHIP reviews.

NCC targets N272.4 billion earnings in 2025

NCC CEO Aminu Maida spoke on the 2025 projected earnings of N272.433 billion, explaining that a successfully-organized chunk of it will strategy from working levies.

In retaining with his breakdown, working levies will generate N205.7 billion in earnings, while Spectrum bills and varied incomes will memoir for the the leisure.

Maida additionally gave a breakdown of the 2025 expenditure to encompass N30.13 billion for particular projects, N95.668 billion for recurrent expenditure, and N10.735 billion for capital expenditure; bringing the total to N136.534 billion.

NCC expects TelCos to give a enhance to service

A most trendy represent from Legit.ng presentations that Telecommunication companies are dedicated to making improvements to service shipping after the 50% tariff magnify takes kill.

Here is in keeping with the Federal Opponents and Particular person Security Council (FCCPC) directive that no network blackout will be tolerated within the contemporary tariff regime.

To fabricate this, NCC will be scoot TelCos that like purchased the license already utilize them maximally. The commission additionally announced that plans for 6G introduction are underway, and the commission may also generate as a lot as $1 billion when it is launched.

Subscribers steal NCC to courtroom

In connected info, Legit.ng reported that Nigerian subscribers are taking the NCC to courtroom in a determined flow to stop the implementation of the 50% tariff hike.

This comes after several attempts to renegotiate the magnify, met a dreary stop.

The Nationwide Association of Telecommunications Subscribers complained that the NCC has not noted their proposal for a 10% magnify in its place.

This hike, though the first in over a decade, has attracted several reactions, commendations, and criticisms.

Proofreading by James, Ojo Adakole, journalist and reproduction editor at Legit.ng.

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Source: Legit.ng