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NCC Extends Deadline for MVNO Licence Application by 30 Days

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NCC Extends Deadline for MVNO Licence Application by 30 Days

The Nigerian Communications Commission (NCC) has extended the deadline for its Mobile Virtual Network Operators’ Licence advertisement.

According to the Commission in a note seen by Business Metrics, the deadline extension came after several requests by prospective Mobile Virtual Network Operators (MVNO) and Mobile Network Operators (MNO).

Consequently, the application deadline initially pegged on September 11 has now been extended by 30 days till November.

“Interested applicants are thereby advised to take advantage of this extension and ensure to submit their applications on or before the 11th October, 2022 in the office of The Director Licensing and Authorization as late submissions will not be entertained,” the Commission strictly instructed.

It further justified the deadline extension considering the magnitude of the requirements for the grant of this License being the first of its nature in the Industry, and to allow the Host Mobile Network Operators abreast.

A mobile virtual network operator (MVNO) is a wireless communications services provider that does not own the wireless network infrastructure over which it provides services to its customers.

After obtaining licence from the telecoms regulator, the NCC, an MVNO will be able to enter into a business agreement with a mobile network operator such as MTN, Airtel, 9Mobile and Globacom, to obtain bulk access to network services at wholesale rates, then sets retail prices independently.

For the MVNO project to take off in Nigeria, the NCC has identified five tier classifications that the constitute the sub-sector.

They are Tier 1 as a Virtual Operator; Tier 2 as a Simple Facilities Operator; Tier 3 as a Core Facilities Operator; Tier 4 as a Virtual Aggregator/ Enabler; and Tier 5 as the Unified Virtual Operator.

Rules of Engagement

According to the NCC, Tier 1-4 entrants are expected to pay 5% of the License fee as non- refundable administrative charges, while tier 5 entrants are to pay N50 million non-refundable administrative fees prior to negotiations with the MNOs.

“For the purpose of clarity, negotiations with Host Mobile Network Operators commence immediately after the grant of the Licence. Such agreements will be filled with the commission,” the telecoms regulator said.

Other guideline, according to the commission are as follows:

  • Mobile Network Operators (MNOs) are not eligible to apply for the MVNO license
  • One unique competent technical partner per Applicant
  • License Application Form can be downloaded from the Commission’s website www.ncc.gov.ng, fill and return.
  • Local Content Policy will be observed
  • You may refer to the MVNO Framework published on the Commission’s website for guidance on the fee structure, the scope of operation, and other requirements.

Authority

  • The Nigerian Communications Commissions is the Independent National Regulatory Authority for the telecommunications Industry in Nigeria.
  • The Commission is responsible for creating an enabling environment for competition among operators in the Industry as well as ensuring the provision of qualitative and efficient telecommunications services throughout the Country.
  • Pursuant to the NCA 2003, Licensing Regulation 2019, and other subsidiary Regulations, the Commission has created an enabling environment where various players provide diverse services based on licenses issued by the Commission.
  • In its drive to create an enabling environment, the Commission hereby introduces Mobile Virtual Network Operators (MVNOs) License that will generate employment and bridge the gap between the unserved and the Underserved in Society.
  • It will also further engender competition and provide choices for telecommunication consumers.

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