Investing in Nigeria’s Telecoms Industry? Here Is How to Get an NCC License

Nigeria's telecommunication industry is one industry that has been on the rise for decades. While investors look for an industry to invest their funds in, it's my pleasure to draw you to this gold mine.  

The Nigerian Communication Commission, NCC, is an organization that ensures that investors and organizations willing to broadcast in Nigeria follow the right channel before they get their brand to the Nigerian people.

Here at Investingport, we'll be guiding you through the steps one can use to register under the NCC and the things you should avoid when you're planning to invest in the industry. Sit tight and read carefully!

How to Get a License in Nigeria’s Telecommmunication Industry

Getting a license in telecommunication is important for those who chose to provide communication services in Nigeria. However, it's important you follow the right channel so as to avoid sanctions from the Nigerian Communications Commission (NCC).

To get a license from the NCC, it's important you know that the commission has two ways you can get licensed, and they are Individual license and Class license. The two licenses have different requirements and different methods of getting them. 

For an application to be considered, the licensee should be registered as a corporate body in Nigeria, comply with NCC technical requirements for operating the right license, and make sure it can operate on a long-term basis to the NCC's satisfaction.

Procedure for Securing a Registered License Through the NCC

Getting a license through the Nigerian Communications Commission, NCC, is not difficult when you get the right information. The NCC offers two types of licenses of which are:

• Individual License

• Class License

Read below to know how to get started by registering under the NCC.

How to Get a Class License in the Nigerian Communications Commission

The only way to register under the NCC is by procuring a Class License in Nigeria. The applicant is expected to push a registration notice to the NCC by purchasing the application form and forwarding evidence by submitting it alongside other relevant documents to the commission. However, the NCC has the power to de-register an entity that fails to pay the fees required under the license, fails to meet up with the terms and conditions in the license, goes against any law written issued by the commission, and fails to offer value to the public.

Application Requirements to Get a Class License in the Nigerian Communications Commission

This is what you will need to submit before you'll be approved by the NCC:

• Corporate Profile

• Contact Information

• Ownership Structure

• Profile of Technical Staff (Only applicable to Applicants for Sales/Installations only)

The application should come along with the submitted documents:

•     Duly completed application form

•     Certificate of Incorporation or Registered Business Name

•     Tax Clearance Certificate

•     A certified true copy of the Articles & Memorandum of Association

•     A certified true copy of form CAC 1.1

•     2 Passport photographs of the authorized representative.

•     Certificate of qualified technical staff

•     Summary of the proposed service

•     Passport photographs of Directors of the Company/Sole Proprietorship

A Licensing fee must be paid alongside the application and any other documents. Within 30 days after receiving the application, the NCC would notify the applicant in writing of its decision to approve or deny the application in line with Reg. 26(2) of the Licensing Regulation.

How to Get an Individual License in the Nigerian Communications Commission

In Nigeria, getting an individual license can be done in a few different ways, including the following:

1. Auction

2. Tender

3. Fixed price

4. Competitive bid process or

5. Any other method which the Commission may consider as appropriate.

The NCC issues Individual License using any of the five approaches listed above. In the Auction Information Memorandum or Invitation to Tender, the NCC must state the Auction's rules and criteria. The NCC must set the price and terms for the Fixed Price procedure. The NCC must publicly invite proposals for competitive bidding. 

An organization operating under a Class License may be denied an Individual Licence by the NCC.

Application Requirements to Get an Individual License in the Nigerian Communications Commission

It is important to submit to the NCC a request for an Individual License, which should include the following information:

• Company information

• Corporate Profile

• Ownership Structure

• Full particulars of the company's experience and expertise

• Project Feasibility Report

The following items of documentation need to be submitted together with the application:

• Certificate of Incorporation

• Tax Clearance Certificate

• A certified true copy of the Articles & Memorandum of Association

• A certified true copy of form CAC 1.1

• Feasibility report of proposed service applied for (where applicable)

• 3 Passport photographs of an authorized representative

• Passport photographs of the Directors of the company

• Memorandum of Understanding with Operator(s) (for VAS Content applicants only)

The application form and relevant documentation must be submitted with a non-refundable administrative charge of 5% of the relevant licensing cost. After license approval, the license money is due.

The NCC then seeks further information from an applicant to verify a license application and reject it if it is not submitted within the specified timeframe.

The NCC will notify the applicant in writing within 90 days of receiving a valid application if it is not subject to a competitive bid procedure. If an application is approved, the NCC must send an offer letter to the applicant and inform them of the license's terms and conditions. If it's denied, the NCC must explain why. The licensee must pay the licensing fee within 30 days of receiving the Offer Letter.

Take Note!!!

Applicants who fall within the categories listed in section 18 of the Licensing Regulation cannot get an Individual Licence from the NCC.

1. An Applicant has a controlling stake in another licensee if the Commission determines that granting such a license will likely result in anti-competitive concerns; or

2. One who has applied for a license from the Commission before and failed to follow the terms of that license.