The Federal High Court in Lagos has ruled that while the Federal Competition and Consumer Protection Commission (FCCPC) has the legal powers to protect consumers and regulate competition in Nigeria’s telecommunications sector, it cannot issue telecom operating licences.
Justice Allagoa gave the ruling in a suit filed by the Wireless Application Service Providers Association of Nigeria Ltd/Gte (WASPAN), which challenged the Direct Emergency Operator Notification (DEON) Regulations introduced by the FCCPC.
WASPAN had argued that only the Nigerian Communications Commission (NCC) has the authority to regulate the telecommunications industry under the Nigerian Communications Act and urged the court to nullify the FCCPC’s DEON Regulations.
The FCCPC, however, asked the court to dismiss the case, arguing that the suit was incompetent because the association failed to comply with the statutory pre-action notice requirement and that it disclosed no reasonable cause of action.
Justice Allagoa dismissed the preliminary objection, holding that the plaintiff had complied with the pre-action notice requirement and that the case was properly before the court.
Delivering judgment on the substantive issues, the court held that the Federal Competition and Consumer Protection Act empowers the FCCPC to investigate anti-competitive practices, protect consumers and make regulations within its statutory mandate.
The judge ruled that there is no conflict between the Federal Competition and Consumer Protection Act and the Nigerian Communications Act, explaining that the FCCPC’s consumer protection and competition powers exist alongside the regulatory responsibilities of the NCC.
Justice Allagoa, however, made it clear that the NCC remains the only statutory body empowered to issue telecommunications licences in Nigeria.
He further held that the DEON Regulations do not amount to a telecom licensing framework and therefore do not infringe on the powers of the NCC.
The court consequently dismissed WASPAN’s suit and affirmed the validity of the FCCPC’s Direct Emergency Operator Notification (DEON) Regulations.
