Nigerian ICT sector in 2011 , expectations for 2012
By Emma Elebeke
BY every standard, the Nigerian ICT sector recorded some improvements in 2011. This could also be seen by some landmark events that marked the year.
For a sector that boasted of over 125 million total connected lines before end of last quarter in 2011 , its contribution to making the country one of the fastest growing economies of the world was not mistaken.
However, there are significant events that marked 2011 which if fully implemented would also shape activities in 2012. these included the SIM card registration conducted and concluded by the Nigerian Communications Commission, between March and August last year, e-registration exercise carried out by the Independent National Electoral Commission, INEC; The introduction of mobile money policy by the Central Bank of Nigeria, CBN and the launching of the NigComSat-lR among others.
Highlights of events
Taking them in no special order, Hi-Tech brings to you highlights of some of those events that characterized 2011 and probably predict the shape of 2012.
E-registration by INEC
In the late 2010, the independent National electoral Commission, INEC introdcuced electronic registration system. The project was handled by about three contractors led by Nigeria’s Zinox Technologies took proper shape in 2011.
With Zinox supplying over 75 percent of the total machines used in executing the exercise, Nigeria perhaps, for the first time, witnessed a digital way of collating data for the purpose of conducting proper, free, fair and convenient elections. Though, the exercise recorded its own plus and minuses, it was however a total departure from the traditional electionering processes that are fraught with malpractices and criticisms.
SIM card registration
In March, 2011, the Nigerian Communications Commission (NCC), the telecoms regulatory body, commenced the registration of Subscriber Identity Module (SIM) card. It took the commission six months to conclude the exercise on September 28.
NCC apart from embarking sensitization campaign sensitize Nigerians on the need to register their SIM cards, also threatened to bar any subscriber that failed to comply by the directives.
This was after, the service providers had earlier started , sequel to NCC’s directives to register only new Sim cards.
ICT ministry established
Shortly after the inauguration of the new government after the April general elections, ICT professionals in the country renewed clamour for creation of a ministry that could directly see to the accelerated growth of ICTs in the country.
President Jonathan however reacted with the announcement of a new ICT ministry with Mrs. Omobola Johnson appointed to to head the new ministry. Although the new ministry is just about six months old, there is every belief that it is capable of enhancing accelerated growth of the ICT industry in 2012 and beyond.
Communication Tech Minister, Johnson
Mobile money policy by CBN
As a continued effort of the Central Bank of Nigeria (CBN) mobile money initiative in 2010, the apex bank in August 2011 announced eleven licensed operators from the previous 16 names earlier listed.
The approved operators were given a guideline with a mandate to carry out full mobile money operations in cities and remote parts of the country. The idea is to reach the unbanked segment of the society.
The system, allows customers to transfer -and receive money through their mobile phones, make deposits, and pay utility bills, even without having a bank account.
As part of plans to strengthen the strategy, a sakeholders’ forum was held in September to enable them brainstorm on the planned policy implementation by the central bank of Nigeria in collaboration with the telecommunication regulator, NCC.
E-library
The year 2011 also witnessed the introduction of two e-libraries in each state of the federation by the Universal Service Provision Fund (USPF) of the NCC. The project was aimed at awakening the consciousness of Nigerians on IT knowledge and boosting IT education in the country.
Regulations
Still under the year in review, the Nigeria Communication Commission, NCC in September axed an internet service provider, ISP operator, Cobranet, and shut down the operations and offices of the firm in Lekki Phase 1, Lagos.
The regulator said that Cobranet, an internet service provider ISP, was found operating illegally on the frequency band, which is licensable but was not licensed to the firm.
Number portability
In October, The NCC appointed a consortium for the proposed number portability implementation in Nigeria.
The service will allow phone users to move from one network to another without losing their numbers will soon become a definite reality as the the Nigerian Communications Commission announced the appointment of a consortium of three companies to implement the project.
A consortium of telcos comprised Interconnect, Saab Grintek, and Telecordia, and were announced by NCC as preferred operators for the service after the technical, financial and demo presentations by bidders. A license for the job, to be given by NCC, is for five years.
The consortium will be responsible for the set up and implementation of Number Portability Clearing House in Nigeria, and provide mobile number portability solution administration in Nigeria within six months of receiving the license with a testing period of two months.
ICT Incubation Centres
The Federal Government has commenced the processing small and medium size entrepreneurs through establishment of ICT incubation centres across the country.
Such entrepreneurs, after they must have bel through a precess of technology incubation, are contribute to the growth of the ICT sector of the economy.
Communication Technology Minister Mrs Omobola Johnson, recently inaugurated a 19- member committee that will produce a framework for the establishment of pilot IT incubation centres by the end of the year 2012.
Network congestion
The year 2011 despite growth witnessed deteriorating poor quality of telecom services. Both the subscribers and the regulator, the Nigerian Communications Commission at one time or the other had to come down hard on the operators to up their game.
Although the NCC also believed that things would turn out right and quality of service improved, it also went ahead to give a time frame under which the operators were expected to improve the quality of their service or risk sanctions.
NITEL’s failure in 2011
The effect of NITEL’s failure was apparent on the nation’s network in general. Even with the wide spread of Gsm services across the country, price of service remained high and quality remained low as well. Stakeholders were of the view that, if NITEL was to be operational, it would have helped at improving the situation.
Former Executive Vice Chairman of the Nigerian Communications Commission, NCC, Engr Ernest Ndukwe, at an event, revealed that the failure of NITEL and the consequent collapse of M-Tel resulted into the beginning of network congestion which telecommunications users in Nigeria are facing even at the moment.
Ndukwe, said that the migration of subscribers of NITEL and the mobile arm, Mtel to the newly licensed operators in 2001, put a burden to their networks and congestion began its journey which has not ended as at today.
Collapse of Blackberry network
In October, Nigerian Blackberry users had a traumatized experience from blackberry services, that led to a complete black out. Users all over the world were asking for compensation for the pains of not connecting to loved ones and business associates.
At the period, while many operators have shanked the responsibility of compensation, a lot of operators from different countries of the world including the United States of America, South Africa and Qatar among others, have agreed on one form of compensation or the other, to assuage the frail nerves of their subscribers who mainly subscribe to the Blackberry services using their mobile lines.
However, all the subscribers across the globe including Nigerians finally got reprieve. This is after the operator agreed to compensate its blackberry users after the global disruption.
Some of the compensation came in the way of service waiver, even though the fault was attributed to the service provider, Research in Motion (RIM).
Nigeria gets ICANN job
Former NIG President Lanre Ajayi, also in 2011 got top ICANN appointment. Engr. Ajayi who was the immediate past president of the Nigeria Internet Group (NIG) and Chief Executive Officer of PiNet In
Shape of Things to Come
Harmonised national ICT policy ready for review
The draft of the harmonized Information Communication Technology ( ICT) policy has been released by the Ministry of Communication Technology for comments and views by members of the public is expected to create digital based economy.
It would be recalled that the Minister had in August 2011, set up an Adhoc Committee to harmonize all the various policies for the different sectors in the ICT industry including Telecommunications, Broadcasting, Information Technology and Postal Services.
The national ICT policy was developed in support of the development goals of the Nigerian vision 20-2020 imperative
The policy document is the harmonization of the disparate policies governing the ICT industry.
With this development, the policy is expected to be the overarching guide and platform for the overall development of the ICT industry and will facilitate the creation of a digital, knowledge base economy.
Zinox to commission digital plant
As part of arrangements to commemorate its 10 year anniversary, Zinox Technologies, the manufacturers of Zinox Computer brand said it will install one of Africa’s largest Digital computers assembling plant in response to the improved power supply in the country.
Zinox Chairman, Leo Stan-Ekeh revealed this revealed that the installation would be concluded in February, 2012 to serve as a major IT manufacturing platform from which the rest of Africa would be supplied.
MTN to invest $1b in Nigeria to boost network
MTN Nigeria said it has concluded plans to spend more than $1 billion this year to improve its network in Nigeria after the nation’s phone regulator last year demanded better service.
Spokesman for MTN Nigeria, Akinwale Goodluck, who confirmed the statement said “The investment will relieve congestion and improve the quality of the network and that the funds will be directed toward second- and third-generation technologies, MTN’s core network, and power generators to run transmission stations.
MTN, had spent about $1 billion on its Nigerian network in 2011 and has assured that its investments will help achieve the NCC’s goal.
Airtel to build 2,000 more base stations by March 2012
As part of effort to boost quality of service in the new year, Airtel Nigeria said it will build about 2,000 more base stations across the country.
The CEO of the company, Rajan Swaroop said the company would ensure the relaization of the goal, despite the obvious Nigerian environment challenges stating that his management has been working steadily to close gaps in business infrastructure which came about as a result of the successive changes in management ownership.
Deployment of Broadband
Even with the over $2.24m investment already made in submarine fibre cables in the country, it is still a wonder why less than one per cent of it has been utilised so far, to make available broadband capacity. It is now a challenge for the Federal Government and all relevant agencies to ensure that broadband is taken to various parts of the country to enhance telecommunications services among other benefits.
