Revealed! NCC approves disconnection of exchange telecoms from MTN over debt

• The NCC has authorized Exchange Telecommunications Limited's separation from MTN Nigeria Communications Limited
• Exchange Telecoms was found to have provided insufficient justification for its inability to cover the expenses, according to NCC
• The business is currently the sole supplier of international call transit from all Nigerian MNO networks to A-Z destinations abroad

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

Due to unpaid interconnect fees, the Nigerian Communications Commission (NCC) has approved the disconnection of Exchange Telecommunications Limited from MTN Nigeria Communications Limited.

The commission made it clear that until further notice, the disconnection will continue. Photo Credit: MTN Nigeria
Source: UGC

In a statement released on Friday, Reuben Mouka, director of public affairs made this known.

He said that after a careful examination of the application and the debt's conditions, Exchange Telecoms was deemed to have insufficient explanation for its incapacity to pay the costs.

As per the commission, Exchange was permitted to reply to the disconnection application and make its case; nonetheless, its justifications were judged inadequate.

Section 100 of the Nigerian Communications Act 2003 and the 2012 Guidelines for Procedure for Granting Approval to Disconnect Telecommunications Operators both authorize the disconnection, which will go into effect five days after the notice date.

“At the expiration of five days from the date of this notice, MTN will discontinue passing voice and data traffic through Exchange and will, thereafter, utilise alternative channels in interconnecting with other Network Service Providers.”

BusinessDay reported that the commission made it clear that until further notice, the disconnection will continue.

The company is now the only provider transiting international calls from all Nigerian Mobile Network Operators (MNO) networks to A-Z locations overseas, according to Exchange Telecoms' website.

BusinessDay reported that Exchange has the most minutes for each of Nigeria's main MNOs and is also connected to them. MTN will use alternate methods to connect with other Network Service Providers after the two telecom behemoths cut off their services.

MTN speaks on increasing call, data tariffs

Legit.ng reported that MTN Nigeria is advocating for the support of higher telecom rates in reaction to the devaluation of the naira and the high cost of foreign exchange.

According to the telecommunication company, there would be no incentives for more investments in the sector unless a new traffic structure is authorised.

MTN Nigeria's chief financial officer (CFO), Modupe Kadri, stated this during a panel discussion organised by the Nigeria Economic Summit Group (NESG), The Punch reported.

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Source: Legit.ng