Telecoms operators to engage NDPC over planned levy hike

Minister meets NIMC over data breach

Telecoms operators are planning to engage the Nigeria Data Protection Commission (NDPC) over its plan to increase licencing fees for data protection compliance organisations (DPCOs) to N2 million from N50,000.

The telcos, as major data collection platforms, claimed that the increment was coming at the wrong time.

Speaking with The Guardian, the Chairman of the Association of Licensed Telecoms Operators of Nigeria (ALTON), Gbenga Adebayo, said though there is no issue, the matter needs to be reviewed.

Adebayo, an engineer, who said such fees would amount to multiple levies, among others, noted that most of the telcos agents are just doing simple basic work.

“No issue, actually, except that the NDPC recently said the data collection agency needs to register and pay a fee for that as registration. We feel that such a move won’t be positive for the sector for now. This is because the collection agents are people doing simple and basic work.

“We think that introducing a fee on them to start registering again would amount to multiple levies and we think that it will also impact on the development of the industry.

“This is because if it is today, data protection agency, tomorrow, it could be the aviation authority. That adds to the collection of levies the sector has to pay. There are already close to 50 different forms of taxes and levies imposed on the sector. So, it is not an issue of dispute but a concern that we have raised. We have rightly informed the regulator about this challenge and we think they should have a look into the matter urgently,” he stated.

Recall that the National Commissioner of NDPC, Dr Vincent Olatunji, had informed of the increment in Lagos at a meeting with the licensed DPCOs some weeks back.

The NDPC Commissioner further disclosed that many of the DPCOs that acquired the licence at N50,000 have not been functioning as they should, hence, the low registration of data controllers.

He said this led to the revocation of 19 licences last year, noting that more licences may still be revoked this year as the Commission is continually evaluating the performance of the licensees. According to him, there are currently 291 licensed DPCOs.

“Last year, we revoked 19 licences and we may revoke more this year as we evaluate their performance.

“With the increment in licence fee, what we are saying is that if you don’t have any business coming to register as a DPCO, you don’t have to come because you are paying just N50,000.

“Increasing the licence fee to N2 million is a way of screening those who are willing to do business in this sector. It means that those who will apply for the licence are people who are ready for business,” Olatunji said.

While noting that the level of compliance with the data protection law in Nigeria is still low, the NDPC boss said there has been an improvement. According to him, in the first year, only 622 audit reports were received from data controllers.

“Now, we are doing over 3,000 which is commendable, but the number of data controllers that we are expecting to register should not be less than 100,00 and that is even about 20 per cent compliance because we have over 500,000 data controllers in Nigeria.

“So the level of compliance is still very low, we need to bring more controllers on board. Our mission is to build a culture of data protection compliance in Nigeria, where we do not have to run after you before you comply,” he said.

Meanwhile, the Minister of Communications, Innovation, and Digital Economy, Dr Bosun Tijani, via X, said it had begun discussions with the Minister of Interior, Olubunmi Tunji-Ojo, on the data breach at the National Identity Management Commission (NIMC).

The Ministry of Interior currently oversees the National Identity Management Commission, the body responsible for managing Nigeria’s identity database.

“While I have engaged with my counterpart at the Ministry of Interior regarding this matter, I am confident in their commitment to safeguarding our national identity data,” Tijani affirmed.

He expressed confidence in the ongoing efforts of both the Ministry of Interior and NIMC to address the issue promptly.