Telecoms: NCC investigates CIS segment, contracts PwC

The Nigerian Communications Commission (NCC) has commenced the process of conducting a study to assess the current level of competition in the colocation and infrastructure sharing (CIS) segment of the Nigerian telecommunications sector.

The infrastructure sharing companies build and lease telecoms infrastructure such as base stations to network operators. Their operations allow the likes of MTN, Globacom, Airtel, and 9mobile to achieve rapid expansion of their networks across the country as they leverage the infrastructure built by other companies.

Seventy-eight companies are currently operating in the infrastructure sharing segment of the Nigerian telecoms market.

The commission in a statement revealed that it has engaged the services Messrs. Price Waterhouse Cooper (PwC) to conduct the study on its behalf, in exercise of NCC’s regulatory functions as provided in the Nigerian Communications Act (NCA), 2003.

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The study is expected to be concluded between April and July, 2022.

According to the Commission, the study is to enable the regulator to have insightful and evidenced-based facts to glean the dynamics at play and ensure the continuous growth of that segment of the telecoms market.

Speaking at the NCC’s stakeholders’ forum recently organised in Lagos on the commencement of the study, the Director, Policy, Competition and Economy Analysis (PCEA) at NCC, Yetunde Akinloye said: “In line with its mandate of creating an enabling environment for competition among operators in the industry as well as ensuring the provision of qualitative and efficient telecommunications services, the NCC periodically conducts studies to assess the level of competition in the industry.”

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Akinloye further declared that the overarching objective of the study is to provide current insights into the level of competition in the CIS market segment and articulate strategies to enhance opportunities in the market, as well as ensure the deepening of competition which will ultimately support the provision of innovative services for the benefits of both market players and the consumers at large.

“Having successfully conducted competition assessment studies in 2005, 2010 and 2013, the Commission had issued determinations based on the findings of the studies while outcome of such studies has also enabled the Commission to come up with various regulatory interventions and initiatives to continuously provide a level-playing field for the interplay of market forces. These procedures are employed by the Commission to ensure fair, efficient and sustainable competition in the Nigerian telecom industry,” Akinloye added.