The Nigerian Communications Commission (NCC) says payments on advertisements and promotions do not amount to double taxation.
The Commission said this at the closing ceremony of a three-day public inquiry on the draft of Telecom Regulations and Guidelines review on Thursday in Abuja.
Executive Commissioner Stakeholders Management, (ECSM) NCC, Mr Adeleke Adeolu, said the new fees for advertisements and promotions are to meet current realities and protect the consumers.
Adeolu said the Advertising Practitioners Council of Nigeria (APCON) and the Nigerian Lottery Commission (NLC) are regulators of advertisements and lotteries while NCC is the regulator of the telecom industry where they operate.
“I think multiple taxations is a strong word to use there. It is not in the form of a tax. These are fees for the administration of an application process whereby licensees have to apply to us.
“This is in the interest of consumers to ensure that where advertisements or promotions are being run on telecommunication platforms, they are done with responsibility, with existing laws and to ensure that the interest of consumers are protected.
“If you look at the rates for advertisements and promotions, these rates were set many years ago.
“They do not reflect the reality of today’s time and what we are already doing is bringing them in line with current trends in the country and industry.”
He, however, said that the NLC had a role to play as the regulator of lotteries, adding that lotteries impact on consumers because people play it with their money.
He said that NLC has granted a role in ensuring that the interest of people participating in lotteries is protected and their fees at a charge for the purpose of carrying out obligations under its act.
“The NCC on the other hand has the clear mandate to protect consumers in running advertisements on promo on telecommunications networks.
“The two acts are very clear and I do not think this amounts to multiple taxations in any way,” he said.
A representative of 9mobile, Mr Ikenna Ikoku, who spoke virtually, had earlier claimed that the payment of fees on advertisements and promos will amount to double taxation.
“We pay to APCON and lottery commission paying to NCC again will result to multiple taxations. The NCC should only charge processing fees,” he said.
Another representative of Airtel, Mr Ade Gbolahan said the commission should leave the fees at the old rate of N350,000
“The proposed fees should be left at N350,000 as it is.
“This is another fee that the industry is not pleased with. We would want the commission to suspend the increase for the time been,” he said.
Mr Damian Ude, of IHS Nigeria Limited, aligned with 9mobile’s submissions and asked the commission for a downward review of the 10 metres requirement for
deployment of communication infrastructure in Nigeria to five metres, especially in congested areas.
The three-day public enquiry was a review of five guidelines, which include: Type Approval, Short Code Operation in Nigeria,
Technical Specifications for the Deployment of Communications Infrastructure, Advertisements and Promotions, as well as Consumer Code of Practice Regulations, accordingly.